Watch-to-jewellery manufacturer Titan Industries Ltd aims to grow its turnover to $2 billion (approximately Rs 11,000 crore at the present exchange rate) by the end of this fiscal. For the year ended March 31, 2012, the company’s turnover stood at Rs 8,848 crore.
According to Bhaskar Bhat, Managing Director, Titan, the growth will be fuelled by an all-round growth in sales in its watches and jewellery businesses.
“Despite the tough economic conditions, we have been able to grow our top line by 9 per cent and bottom line by 20 per cent so far during this year. So we are hopeful of closing this year at a turnover of $2 billion and profit before tax of Rs 1,000 crore,” Bhat said at a press meet on the occasion of the launch of a retail format store in the city on Monday.
Watches and accessories together account for about 25 per cent of the company’s total sales. The segment has been growing by about 8 per cent in volume terms and 13-14 per cent on value terms, he said.
Titan holds a 40 per cent share in the Rs 5,000-crore watch market in the country. Its share in volume terms stands at 25 per cent, he said.
The company plans to go for greenfield expansion in Hosur and Coimbatore in Tamil Nadu. While the Hosur plant will be for its precision engineering for manufacturing of precision parts for automotive and aerospace industries; that in Coimbatore will be for manufacturing watch cases.
Diversification
The company would look at diversifying its product basket by entering into unorganised segments targeted primarily at the youth and women categories. Titan through its sub-brand Fastrack aims to add new product categories such as motorcycle helmets, footwear, fragrances and leather bags, Bhat said.
“We are looking at making our presence felt in segments which are largely dominated by the unorganised market. With this in mind we will be foraying into lifestyle products such as fragrances, shoes, ladies footwear,” he said.