Titan eyes smaller watch brands as premium demand grows

Research Analyst: UJVIN NEVATIA (PROPRIETOR: NEVAT INVESTMENTS) | SEBI Registration No.: INH100009628 Titan Company Limited (

) is evaluating investments or acquisitions of smaller watch brands as it expands its premium and luxury portfolio. The company said its premium watch segment is growing nearly twice as fast as watches priced below ₹25,000. What happened? Titan said any acquisition would need to complement its broader growth strategy rather than be opportunistic. The company already uses acquisitions and investments in its jewellery business, including CaratLane and overseas investments, as part of its expansion approach. The company is also building its own premium watch capabilities. It recently launched Vetra, its branded mechanical movement platform, as it targets a larger presence in high-end global watchmaking. Why does it matter? The shift in demand toward premium watches gives Titan room to expand its average customer value and brand portfolio. At the same time, the slowdown in the sub-₹1,000 segment suggests that growth is becoming more concentrated in consumers buying watches as fashion and lifestyle products. My view The acquisition commentary is still exploratory, so I would not assign financial impact to it yet. The more measurable development is premiumisation. Titan's watches business reported 15% growth in analog watches in Q4 FY26, which the company attributed to the continuing premiumisation trend. What I am watching next The key triggers are any announced acquisition, the performance of premium watch brands and whether premium growth continues to outpace the mass segment. The economics of any acquisition will also matter, particularly the brand's growth, margins and integration requirements. No Recommendations Source: Business Standard Disclosure: I, my entity, associates or relatives don't have any holding, position or other material interest in Titan Company Limited.