Kalyan Jewellers Outperforms Titan In Q3, Likely Beginning Of Trajectory Change: ICICI Securities

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. .ICICI Securities Report.Both Titan Company Ltd. and Kalyan Jewellers India Ltd. reported decent demand prints in Q3 FY23 update. Titan’s jewellery performance of ~11% YoY growth in revenues was similar to Kalyan’s (standalone) revenue growth of ~12% YoY. However, when we compare three year compound annual growth rate for both of these companies, Titan’s three year CAGR of 21% is superior to Kalyan’s three year CAGR 11%. Titan's new consumer recruitment and store expansion (up 22 stores in Q3) are key drivers for outperformance. Kalyan’s three year CAGR performance, though lagged that of Titan, needs to be seen in the context of lower store expansion benefit. We note that the pace of growth for both brands has decelerated as compared to last few quarters and second half of the quarter saw some deceleration due to increase in gold prices and some deceleration in consumer discretionary spends in general. We believe, jewelry segment can outperform (other consumer discretionary segments) as it is relatively immune (inelastic wedding purchases, gold as an investment asset etc.) to general slowdown in consumer discretionary spends..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Kalyan Jewellers Outperforms Titan In Q3, Likely Beginning Of Trajectory Change: ICICI Securities

Both Titan Company and Kalyan Jewellers reported decent demand prints in Q3 FY23 update.

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