Titan's Q4 profit rises 13%. But margins lose some shine

The sparkle is there, but it's not all gold. Titan delivered a decent Q4 show — profits are up, revenue has grown, and Tanishq continues to charm consumers. But dig a little deeper, and there's some pressure building beneath the glitter. The Tata-backed lifestyle company posted a 13 per cent year-on-year jump in consolidated net profit to Rs 871 crore for Q4 FY25. Revenue rose nearly 24 per cent to Rs 13,897 crore, thanks to strong growth in its flagship jewellery segment and healthy momentum in watches. Yet, despite the top-line glow, margins slipped. And that has investors watching closely. What's driving Titan? The star performer, as always, was jewellery, clocking a 25 per cent jump in sales. What also stood out this quarter was the 64 per cent spike in gold coin sales. While that sounds impressive, there's a catch: gold coins carry much thinner margins than jewellery. So while volume surged, it didn't add as much to the bottom line. That's one reason why Titan's operating margin slid to 11.9 per cent, down from 12.1 per cent a year ago. The watches business also delivered, growing 20 per cent YoY, led by higher-value products in brands like Fastrack, Sonata, and Raga. Eyewear and the newer emerging businesses played supporting roles, but jewellery continues to do the heavy lifting. Market reaction: Investors cheer, for now Titan's stock reacted positively to the numbers, jumping 4 per cent on Friday to touch a two-month high of Rs 3,501. The rally came even as analysts flagged margin pressures, suggesting that investors are still confident in the company's brand power and growth