Titan shares slide nearly 4% as jewellery sales miss forecasts

Titan Company's shares dropped close to 4% on Tuesday, reaching a low of ₹4,371 after a second-quarter update revealed slower jewellery growth than projected. While the company's consumer segment, excluding bullion and digital gold, posted a 25% year-on-year increase in line with expectations, jewellery sales climbed just 21%, falling short of the 25% estimate. The shortfall was linked to a high-base effect from elevated gold prices, a decline in gold-coin sales, and a timing shift of festive demand from Q2 to Q3.

Despite the dip, watch and eyewear segments outperformed forecasts, and the firm added 34 new stores, raising its total to 1,379 locations. Analysts noted that higher-margin studded jewellery performed well, partially offsetting the weaker plain gold segment.