While exploring diversification plans, India’s largest watch retailer Titan Industries is targeting about 25 per cent growth in turnover to Rs 11,000 crore during the current financial year.
“We are expecting a 25 per cent growth in turnover to Rs 11,000 crore, compared to Rs 8,848 crore last year. This is due to an overall growth in the watches and jewellery business. We have posted a posted a 9 per cent growth in topline and a 20 per cent growth in bottomline this year,” said Bhaskar Bhat, managing director, Titan Industries.
Out of the 50 million pieces watch market in India, Titan holds a majority share with 15 million pieces. “Due to cost pressure, we have been increasing prices by 21 per cent year-on-year. Moreover, we are now looking to diversify into various other areas,” Bhat added.
The company is looking to diversify into un-organised sectors targeting the youth and women. According to Bhat, the firm is exploring opportunities to foray into helmets, fragrances, shoes and ladies footwear. “These lifestyle products are our priority. Helmets would be out in another six to eight months.”
Meanwhile, it plans to invest Rs 220 crore for retail and manufacturing expansion during the current financial year. “This includes expansion of greenfield projects at Hosur and Coimbatore in Tamil Nadu. Each of these projects will be about Rs 50-60 crore. We have already acquired an additional 10 acres of land at Hosur,” he said, while launching a Titan exclusive store in the city.
The Hosur plant will be for automotive and aerospace engineering parts, while the Coimbatore plant will be for watch cases.
The firm also plans to increase its retail presence by adding 50 exclusive stores during the year. Titan currently has 350 exclusive stores, while it has presence in about 12,000 multi-brand outlets.