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MUMBAI: today reported a net profit of Rs 61 crore for the quarter ended June as against a net loss of Rs. 270 crore in the year-ago quarter. Analysts had expected the company to report a net loss of Rs. 10.7 crore for the quarter.

The jewelry company’s sales in the quarter jumped 74.5 per cent on a year-on-year basis to Rs. 3,249 crore aided by a low base in the year-ago quarter. Analysts had expected the company to report revenues of Rs. 2,856 crore for the quarter.

In the year-ago quarter, Titan’s business was severely affected by the national lockdown to contain the spread of the Covid-19 pandemic. In the reported quarter, too, business was dented by the second wave of infections and localized lockdowns.

The jump in revenue for the quarter came despite a sharp decline in income from bullion sales to Rs. 424 crore as against Rs. 601 crore in the year-ago quarter.

The jewellery division is gaining good traction in new customers and its mix in total buyers has reached the pre-pandemic levels, Titan said in a press statement. The company’s jewelry segment recorded sales of Rs. 2,467 crore as compared to Rs. 1,182 crore same period last year.

The division’s earnings before interest and tax in the quarter came in at Rs. 207 crore in the quarter as against Rs. 54 crore of loss in the year-ago quarter as the company was better prepared for lockdowns in the second wave.

On the operating front, the company reported an operating profit of Rs. 144 crore for the quarter ended June as against an operating loss of Rs. 246 crore a year ago.

“While we started the quarter with strong business momentum, the second wave of the pandemic severely disrupted it and we quickly shifted our priorities to health and safety of our employees, business associates, and customers,” said Managing Director CK Venkataraman.

Venkataraman said that with the a number of employees now vaccinated and digital presence strengthening, the company is optimistic of overall performance going ahead.

Shares of Titan Company ended 2.1 per cent lower at Rs. 1,801 on the National Stock Exchange.

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