Titan's Q4 jewellery sales growth seen at 17%: StanChart

Deep correction in gold price has spurred branded jewellery demand which has benefited Titan Industries in the short run, Sanjay Singh, Associate Director, Standard Chartered Securities said in an interview to CNBC-TV18.

One can expect a robust March quarter for Titan's jewellery segment. "Titan Industries could see a positive surprise in March quarter. In the March quarter, we are expecting a 17 percent topline growth for Titan's jewellery, which is quite good in the environment we are in," he added.

The key factor driving demand would be how macros pan out than gold price. "If economy ramps up, volume will compensate for the gold price to an extent because consumption buying does not happen on gold volumes, it happens on budget. But if it keeps falling, it is not possible that it will not impact sales growth because there will be postponement of demand," he explained.

Below is the verbatim transcript of his interview to CNBC-TV18

Q: Before we talk about the large consumers, have you changed your estimates on Titan Industries on account of what has been going on in the gold market?

A: As of now we have reduced our estimates somewhat around 5 percent mainly on the back of a weak macro. Given the economy where it is, discretionary purchases will get postponed.

Gold, given the scenario it is in, has been in the short run beneficial for Titan Industries. So to say because given that gold was in a secular run, short dip in the last three-four months and of course big dip a few days back has spurred the demand to an extent. At least in the branded jewellery space because people were on the sidelines for a long time probably.

So, for Titan Industries, this quarter should be quite good. We are expecting a pretty robust quarter, which is March quarter. Going forward, if gold remains weak, of course demand will get postponed. There maybe a short-term impact. We are talking about March quarter and that should be pretty okay as we speak.

Titan Industries is one of the stocks where we feel March quarter could be a positive surprise. Going forward, we need to see how gold settles down. More importantly how economy behaves because that will spur the disposable income led spending.

This news has just come in and complete details will follow shortly. We can send you an email alert when the details come. Register for your alert here.

Anda sedang membaca artikel tentang

Titan's Q4 jewellery sales growth seen at 17%: StanChart

Dengan url

https://rokokkanker.blogspot.com/2013/04/titans-q4-jewellery-sales-growth-seen.html

Anda boleh menyebar luaskannya atau mengcopy paste-nya

Titan's Q4 jewellery sales growth seen at 17%: StanChart

namun jangan lupa untuk meletakkan link

Titan's Q4 jewellery sales growth seen at 17%: StanChart

sebagai sumbernya