Titan Company's Q1 2025 Watch Business Results Sets Benchmark

In a standout performance during Q1 FY26 (April–June 2025), Titan’s Watch & Wearables segment delivered a powerful combination of growth and profitability—an outcome that industry practitioners and aficionados alike will find particularly instructive. The segment posted revenue of ₹1,273 crore, marking a 24% year-on-year increase, grounded in both volume expansion and pricing discipline. Even more compelling was the EBIT of ₹287 crore, translating to an impressive EBIT margin of 22.6%, one of the strongest in Titan’s watch-franchise history.

A key catalyst was the 28% YoY growth in analog watches, stemming from balanced gains in unit sales and average selling prices (ASPs). This suggests sustained premiumization, as well as resilient consumer intent for traditional timepieces amidst global fluctuations in watch demand. Rather than chase market share through volume, Titan consciously shifted strategy in smartwatches—prioritizing profitability over unit growth. This tactical reprioritization is already paying dividends in margin enhancement and brand equity preservation. The Helios portfolio, housing curated international brands, grew by 21% YoY. Its sustained performance underscores growing Indian appetite for global watch marques, bolstering Titan’s multi-brand retail architecture. Titan added net 9 new stores during the quarter (4 Titan World, 5 Helios)—a measured expansion that emphasizes productivity and location optimization over sheer scale.

Industry Context: Why This Matters

India’s Outperformance Compared to Global Players
Against a global backdrop of subdued watch demand, Titan’s analog and Helios performance stands out. Richemont reported +6% constant-currency sales in Q1 FY26, while Swatch Group’s H1 2025 saw a –7.1% constant-currency contraction, with its Watches & Jewelry margin trailing Titan’s by a wide margin. Titan’s analog growth reflects a broader trend: regret-free purchases, improved consumer affordability, and analog’s hallmark as an expression of timeless style. Its margin advantage over mid-level global peers makes a compelling case. Helios’ Multi-brand Stores (MBS) offer global brand exposure with Titan’s Indian market heft—an appealing, scalable pathway for Western brands. The +21% growth not only signals execution strength but also validates India’s strategic importance in brand expansion.

Titan’s Watch Business: Strategic Advantages and Outlook

By reducing low-margin volume churn in wearables while focusing on analog and ASP-rich products, Titan demonstrates operational discipline. That strengthens P&L, supports reinvestment, and ensures quality growth. Titan now fields a full “good-better-best” pyramid—Sonata, Fastrack, Titan, and Helios’ international tiers—safeguarding margin bands while enabling broad reach. Modest store additions allow Titan to maintain high productivity and ease operational pressure, while its Helios footprint helps capture aspirational consumers in premium geographies. A decline in discretionary spend, especially in global markets, remains the chief external threat. Titan’s premium tilt, however, insulates it better than volume-heavy peers.

Titan’s Q1 FY26 results are not just numbers—they articulate a disciplined, future-forward strategy: premium analog leadership, margin-centric wearables strategy, Helios-fueled premium penetration, and retail discipline. Especially at a time when global makers are struggling with slack volumes and compressed margins, Titan’s ability to deliver ~24% growth with 22.6% EBIT margin represents a rare combination in the global wristwatch playbook. If sustained, this trajectory could elevate Titan’s watch business among the world’s most efficient, scalable, and premium watch retailers—anchoring its long-term leadership both in India and, potentially, in adjacent emerging markets.