Altman Z″
Needs current assets and current liabilities.
TITAN · Consumer Durables · INE280A01028
Analyst mean 2.00 · 35 analysts · 25% bullishA plain-language read of the business, how it actually earns, where the edge is, and the economics of every reported segment — taken from the annual report and investor presentation, not a one-line industry label.
Numbered markers are corporate actions and, once the filings are read, capital and governance events. Prices are split-adjusted so the series is continuous.
The three to six things that actually matter about this company, each with the exact filing and note it came from — never a fact without the context that makes it meaningful.
What the numbers mean when read together — computed from the filings, not a score.
Borrowings rose 227% over 3 years, but only about 18% of the new debt shows up as productive assets — worth understanding what the rest funded.
Why this reading: Kept at caution rather than flagged: the disproportion is real but not extreme, and part of the borrowing may fund working capital or intangibles that this view doesn't capture.
New borrowing ₹21,254 cr against an asset build of ₹3,899 cr. Some gap is normal (working capital, dividends); a persistent or widening gap is where it becomes a concern.
Borrowings rose 97% over two years while the company also carries ₹3,506 cr in investments. Why borrow at interest while parking money elsewhere is a fair question.
Why this reading: Noted with caution — worth watching, but not yet conclusive on its own. Business has ups and downs; one soft reading is not a verdict.
Borrowings moved to ₹30,621 cr from ₹15,528 cr. Simultaneous large investments can be legitimate treasury management, or a sign that reported cash is not freely available.
Operating cash is 110% of trailing profit — the earnings are converting to real cash, not just accruals.
Why this reading: A positive signal: cash conversion at or above ~0.9 means reported profit is showing up as actual cash.
Operating cash ₹5,590 cr against trailing net profit ₹5,073 cr. Consistent conversion near or above 1.0 is a hallmark of genuine earnings.
Both revenue and profit grew over the last year (45.1% and 55.1%) — growth is translating to the bottom line.
Why this reading: A positive signal in the numbers, shown for balance alongside the concerns.
Trailing revenue ₹92,417 cr, trailing profit ₹5,760 cr. Profit growing at least as fast as revenue indicates operating leverage or pricing power.
Free cash flow swings between positive and negative across the cycle.
Why this reading: Surfaced for context, not as a concern — it only becomes meaningful if it persists or pairs with other signals.
Latest ₹4,713 cr, negative in 4 of 12 years.
Every score below is calculated here from the reported numbers — none of it is asserted. Open the notebook at the foot of the section to see each formula with this company's figures in it.
Needs current assets and current liabilities.
Piotroski F-Score — fundamental momentum — Joseph Piotroski, University of Chicago, 2000, in a study of whether accounting signals could improve returns among cheap stocks.
Nine yes-or-no tests across profitability, leverage and operating efficiency. Each pass scores one. It asks a narrow question: is this business getting better or worse on its own terms, year over year?
How to read it7 or more suggests improving fundamentals; 3 or fewer suggests deterioration. It measures direction, not quality — a weak company improving can score higher than a strong one holding steady.
Where it failsA single year of comparison, so one unusual year distorts it. Says nothing about valuation, competitive position or management. Piotroski designed it to rank already-cheap stocks, not to judge a company in isolation.
Needs trade receivables, current assets, other expenses.
Accruals are -1.0% of assets. Free cash flow negative in 4 of 12 years.
DuPont decomposition — Devised inside the DuPont Corporation in the 1920s and still the standard way to read a return on equity.
Splits return on equity into its three sources, so the same headline number can be traced to very different businesses.
How to read itA 20% ROE built on margin and turnover is a different proposition from a 20% ROE built on 3× leverage. The first survives a downturn; the second amplifies it.
Where it failsA single year. Negative equity makes it meaningless. Leverage is structural for lenders, so the third term carries no signal there.
Capital and revenue are growing at broadly similar rates — the asset base is being used, not just added to.
cumulative operating cash flow ÷ cumulative net profit
₹15,164 cr ÷ ₹24,524 cr, over 12 years
0.62×
Below 1.0 and persistent means profit is being recognised before the cash arrives.(net profit − operating cash flow) ÷ average total assets
(₹5,073 − ₹5,590) cr ÷ average assets
-1.0%
Negative means cash exceeded profit — the healthier reading. Positive above ~10% is where accruals start to dominate earnings.net margin × asset turnover × leverage
5.8% × 1.45 × 3.86
32.3%
Splits ROE into whether returns come from operations or from borrowing.EBIT ÷ finance cost
₹7,981 cr ÷ ₹1,180 cr
6.76×
How many times operating profit covers the interest bill.borrowings ÷ net worth
₹30,621 cr ÷ ₹15,703 cr
1.95×
Read against the sector — infrastructure carries more than software.growth in fixed assets + CWIP, against growth in revenue
capital +124% vs revenue +116%, FY2023 to FY2026
8pp gap
Money going in far faster than revenue coming out. For an incubator this is expected — the test is whether it eventually converts.Needs more balance-sheet detail (only 3 of 6 flags testable).
NOPAT over equity plus debt less cash, at a notional 25% tax. Incremental ROIC is the return on money put in since then — the number that decides whether growth creates value or consumes it.
Return on invested capital, and incremental ROIC — Standard in corporate finance; the incremental form was popularised by Michael Mauboussin as the test of whether growth creates value.
ROIC measures what the business earns on all the capital it employs — equity plus debt, less cash. Incremental ROIC asks a sharper question: what has it earned on the money put in since a chosen year?
How to read itROIC comfortably above the cost of capital — call it 11–13% in India — means growth compounds. Below it, growth consumes. Incremental below headline means recent investment is earning less than the legacy business.
Where it failsDistorted in the year of a large acquisition. Understated for companies mid-build, where capital is deployed but capacity has not yet been commissioned — an incubator will look poor until it does not.
Read downward. Cash can cover EBITDA and still not survive capex — the third rung is where a capital-hungry business shows itself.
The earnings quality ladder — Not a named model — the standard sequence an analyst walks when testing whether reported profit is real.
Three ratios read in order, each stricter than the last.
How to read itRead downward. Each rung failing where the one above passed tells you exactly where the cash is going.
Where it failsA single year of heavy capex depresses the third rung legitimately. Judge it across a cycle.
The growth rate that makes today's market value equal the discounted cash flows, at a 11.5% discount rate and 4.0% terminal growth. Not a forecast — the arithmetic of what is already in the price. Compare it with what the business has actually delivered.
Reverse DCF — the growth already in the price — A standard inversion of discounted cash flow, used to avoid the forecasting problem entirely.
Instead of forecasting cash flows and deriving a value, it takes today's market value as given and solves for the growth rate that would justify it. The output is not a view — it is the arithmetic of what the market is currently assuming.
How to read itCompare it with what the business has actually delivered. A price implying 30% a year against a decade of 15% is a demanding assumption; the reverse is a modest one.
Where it failsUseless when free cash flow is negative or unusually depressed, which is common mid-capex. Highly sensitive to the discount rate — a point either way moves the answer materially.
Against a policy rate near 6%, most sound Indian corporates borrow between 7% and 10%.
Cost of debt — Interest expense over average borrowings — the effective rate the company actually pays.
What the lenders charge, which is a market verdict on credit quality that no rating agency delay affects.
How to read itAgainst a policy rate near 6%, most sound Indian corporates borrow between 7% and 10%. Read the direction over years as much as the level.
Where it failsUnderstated where a large share of interest is capitalised into projects under construction. Not meaningful for lenders, where interest is cost of goods.
Models that need these lines are withheld rather than estimated: net worth, current assets, current liabilities, trade receivables, inventory, net block. Nothing on this page is back-solved from a figure the company did not publish.
Each framework below is a set of stated, mechanical criteria from published work, run against this company's own filed numbers. Passing or failing a screen is not a verdict — different frameworks disagree by design, and that disagreement is itself informative.
Benjamin Graham's stated criteria for a defensive stock, applied to the filed numbers. A company failing several is not disqualified — Graham designed these to be deliberately strict.
Two ratios only: what the business earns on its capital, and what you pay for those earnings. Designed to be ranked across a universe rather than read in isolation.
The fundamental half of William O'Neil's framework. The market and leadership components are judgement calls and are not scored here.
The characteristics long-term holders commonly look for: cash-backed earnings, high returns on capital, and debt that never forces a decision.
Median of the companies we hold in the same sector (Consumer Durables). Every figure on both sides is the live feed's trailing twelve months, so the two are measured the same way whatever depth of extraction this company has had. A number only means something next to something else — expensive against the market and cheap against peers are different facts.
Bars are revenue; the line is net margin. Revenue rising while the line falls is the shape worth noticing.
Operating cash first, then what the business spent and raised.
One year is a snapshot. These are the two lines that matter across a cycle.
Rising debtor or inventory days against flat sales is the earliest visible sign of stress.
Set your own assumptions and watch the numbers move. A scenario calculator — the outputs are the arithmetic of your inputs.
One canonical set of figures — the same numbers used everywhere else on this page and on the screener.
How the register has moved over recent quarters — the direction matters more than the level.
Promoter held steady from 52.90% to 52.90% across these quarters.
FII rose from 15.54% to 16.37% across these quarters.
MF trimmed from 8.23% to 8.01% across these quarters.
Other trimmed from 23.33% to 22.72% across these quarters.
Where cash gets stuck. A rising inventory or debtor line against flat sales is the earliest sign of trouble in the numbers.
| Measure | FY2019 | FY2020 | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|---|---|---|
| Debtor days
How long customers take to pay | 8 | 5 | 6 | 7 | 6 | 7 | 6 | 4 |
| Inventory days
How long stock sits before it sells | 178 | 195 | 187 | 230 | 199 | 176 | 217 | 222 |
| Payable days
How long the company takes to pay suppliers | 23 | 14 | 18 | 22 | 15 | 13 | 15 | 15 |
| Cash conversion cycle
Debtor + inventory − payable days | 163 | 186 | 176 | 215 | 191 | 171 | 208 | 211 |
| Working capital days | 55 | 69 | 36 | 68 | 51 | 42 | 35 | 28 |
| ROCE %
Return on capital employed | 26.0% | 24.0% | 13.0% | 21.0% | 25.0% | 23.0% | 19.0% | 21.0% |
| Metric | Q2 FY27 |
|---|---|
| Stores | 3,758 |
| Net store additions | 85 |
| Retail area (lakh sq ft) | 5.6 |
| Same-store sales growth | 18% |
| Inventory days (days) | 221.28 |
From the quarterly results and the earnings call, read by FinMinutes. Latest quarter, read in full.
Read using the Consumer discretionary and retail framework (named in the filing read). Primary valuation lens: P/E against same-store growth.
Read more closely in this sector: Growth from new stores against same stores · Inventory build against sales.
The shape of the business over time (annual) — read the direction, not the single print.
| Line | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|---|
| Revenue from operations | 21,644 | 28,799 | 40,575 | 51,084 | 60,456 | 87,584 |
| Other income | 180 | 177 | 306 | 534 | 487 | 450 |
| Depreciation | 375 | 399 | 441 | 584 | 693 | 826 |
| Finance cost | 203 | 218 | 300 | 619 | 953 | 1,180 |
| Profit before tax | 1,327 | 2,904 | 4,447 | 4,623 | 4,535 | 6,801 |
| Net profit (owners) | 974 | 2,198 | 3,274 | 3,496 | 3,337 | 5,073 |
| EPS (₹) | 10.96 | 24.48 | 36.61 | 39.38 | 37.59 | 57.14 |
Exceptional items, total income and EBITDA are read from the filed statements.
| Metric | Sep 2023 | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | 12,529 | 14,164 | 12,494 | 13,266 | 14,534 | 17,740 | 14,916 | 16,523 | 18,725 | 25,416 | 26,920 | 21,356 |
| Other Income | 125 | 136 | 159 | 120 | 123 | 128 | 116 | 105 | 113 | -1 | 235 | 148 |
| Expenses | 11,118 | 12,599 | 11,303 | 12,019 | 13,298 | 16,066 | 13,379 | 14,693 | 16,850 | 22,703 | 24,982 | 18,466 |
| Depreciation | 144 | 154 | 158 | 164 | 171 | 175 | 183 | 184 | 189 | 207 | 246 | 256 |
| Finance cost | 140 | 169 | 201 | 230 | 240 | 231 | 252 | 271 | 277 | 282 | 350 | 353 |
| Profit before tax | 1,252 | 1,378 | 991 | 973 | 948 | 1,396 | 1,218 | 1,480 | 1,522 | 2,223 | 1,577 | 2,429 |
| Net Profit | 916 | 1,053 | 771 | 715 | 704 | 1,047 | 871 | 1,091 | 1,120 | 1,684 | 1,179 | 1,777 |
| EPS | 10.31 | 11.86 | 8.68 | 8.05 | 7.93 | 11.79 | 9.81 | 12.29 | 12.62 | 18.97 | 13.28 | 20.02 |
| Item | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|---|
| Equity Capital | 89 | 89 | 89 | 89 | 89 | 89 |
| Reserves | 7,408 | 9,214 | 11,762 | 9,304 | 11,535 | 15,614 |
| Borrowings | 5,638 | 7,275 | 9,367 | 15,528 | 20,777 | 30,621 |
| Net block | 2,523 | 2,544 | 2,998 | 3,709 | 4,062 | 6,878 |
| CWIP | 32 | 85 | 144 | 97 | 105 | 163 |
| Investments | 2,824 | 294 | 2,515 | 2,345 | 1,988 | 3,506 |
| Total Assets | 16,444 | 21,188 | 27,020 | 31,547 | 40,645 | 60,561 |
| Line | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|---|
| Cash from operations | 4,139 | -724 | 1,370 | 1,695 | -541 | 5,590 |
| Cash from investing | -2,799 | 1,165 | -1,814 | -189 | 546 | -2,965 |
| Cash from financing | -1,234 | -403 | 457 | -1,329 | -7 | -2,159 |
| Free cash flow | 4,000 | -940 | 950 | 1,024 | -1,011 | 4,713 |
| Net change in cash | 106 | 38 | 13 | 177 | -2 | 466 |
Cash from operations is the number profit has to answer to. Free cash flow is what remains after the business pays for its own growth.
The part no one reads: the auditor's opinion, the contingent liabilities buried in the notes, the covenants, and the claims in the deck placed beside the figures that test them.
Where analysts pressed management on the earnings call, and exactly how management answered — the questions that were hardest to answer are usually the ones that matter.
These are coverage counts, not ratings. Each one asks a fixed set of questions of the filings and reports how many the company answered. A company that discloses nothing counts nothing here — that is a statement about the disclosure, not about the business.
The same read, applied to the companies this one competes with.
Titan Company Ltd. reported revenue of ₹20,614 cr for July to September 2026, +10.1% on the year and −3.5% on the quarter. That is slower than this quarter has grown in recent years (+22.4% on average). Over the last four quarters revenue comes to ₹94,306 cr, +38.9% on the four before.
Operating profit (EBITDA) was ₹2,984 cr, a margin of 14.5%, +446 bps on the year and +94 bps on the quarter. It is the widest margin of the last 8 quarters (range 7.2% to 14.5%). Operating costs grew +4.6% against revenue growth of +10.1%, so more of each rupee of sales reached operating profit.
Net profit was ₹2,393 cr, +113.7% on the year and +34.7% on the quarter, with earnings per share of ₹26.96. Profit before other income, one-offs and tax grew 54.9%, so 59 points of the headline growth came from outside the core business. The tax rate was 20% against an average of 26% over the previous 8 quarters, which lifted profit this quarter. Profit over the last four quarters totals ₹7,033 cr, +70.3% on the four before.
Of the 6 companies in Consumer discretionary and retail that have reported Q2 FY27 so far, Titan Company Ltd. ranks 6th on revenue growth; the sector median is +34.6%. Its margin moved +446 bps on the year against a sector median of +184 bps.
Titan Company Ltd. is a Nifty 50 company. Of the 29 Nifty 50 companies reported so far, the median profit growth is +20.5%; Titan Company Ltd.'s +113.7% puts it above that.
Retail growth comes from new stores and from sales at existing stores; the statements show the total, the filing shows how much each contributed.
On earnings per share of ₹79.24 over the last four quarters, the stock at ₹4,462.50 trades at 56.3 times trailing earnings.
Profit with no operating cash behind it. Where did the cash go?
Operating cash flow for the first half −₹11,177 cr against profit of ₹4,170 cr.
Source: Cash flow statement
Most of the profit growth did not come from the business. What lifted the gap?
Reported profit +113.7% on the year; profit before other income, exceptional items and tax +54.9%.
Source: Results filing
Inventory is piling up against sales. Slow demand, or stocking ahead?
Inventory at 221 days of sales, against 178 days at the last year end (₹50,861 cr now, ₹42,743 cr then).
Source: Balance sheet
Finance cost rose fast and now takes a large bite of operating profit. New borrowing, or a higher rate?
Finance cost ₹536 cr, +93.5% on the year; 18% of EBITDA.
Source: Results filing
An independent director resigned. Did they give a reason?
“Planned retirement of Vice Chairman Mr. Noel N. Tata upon reaching retirement age as per company policy.”
Source: Filing (p. outcome letter p.1)
Could not run on this quarter: Exceptional items that recur, Related-party transactions, Promoter pledges and allotments, Earlier promises against delivery. The filing did not carry these lines.
Net profit a year ago, each driver's change, and net profit now. Blue added profit, red took it away.
| Balance sheet | Sep '26 | Last year end | Change |
|---|---|---|---|
| Trade receivables | ₹1,836 cr | ₹916 cr | ▲ 100.4% |
| Inventory | ₹50,861 cr | ₹42,743 cr | ▲ 19.0% |
| Cash | ₹686 cr | ₹873 cr | ▼ 21.4% |
| Bank balances | ₹375 cr | ₹1,044 cr | ▼ 64.1% |
| Long-term borrowings | ₹74.0 cr | ₹93.0 cr | ▼ 20.4% |
| Short-term borrowings | ₹24,191 cr | ₹11,285 cr | ▲ 114.4% |
| Trade payables | ₹3,932 cr | ₹2,864 cr | ▲ 37.3% |
| Net block | ₹2,778 cr | ₹2,684 cr | ▲ 3.5% |
| Capital work in progress | ₹142 cr | ₹135 cr | ▲ 5.2% |
| Equity | ₹18,263 cr | ₹15,703 cr | ▲ 16.3% |
| Total assets | ₹71,806 cr | ₹60,561 cr | ▲ 18.6% |
| Cash flow, year to date | This year | Last year |
|---|---|---|
| Operating cash flow | −₹11,177 cr | ₹3,444 cr |
| Capital expenditure | −₹408 cr | −₹259 cr |
| Investing cash flow | ₹947 cr | −₹1,097 cr |
| Financing cash flow | ₹10,047 cr | −₹2,451 cr |
| Dividends paid | −₹1,331 cr | −₹976 cr |
Operating cash flow was -2.68× profit. Receivables at 8 days of sales (+4 days against the last year end). Inventory at 221 days of sales (+43 days).
No emphasis of matter.
₹2,500 cr still unused. “Board approved fundraising proposal for issuance of unsecured NCDs on private placement basis up to ₹2,500.00 crore.”
Planned retirement of Vice Chairman Mr. Noel N. Tata upon reaching retirement age as per company policy.
Tax: Consolidated tax expense of ₹607.00 crore (current tax ₹639.00 crore, deferred tax credit ₹32.00 crore) on Profit before tax of ₹3,000.00 crore for Q2 FY27. PBT includes non-operational Ind-AS credit of ₹671.00 crore from NCI put option liability remeasurement and custom duty gains of ₹536.00 crore.
| Metric | Q2 FY27 |
|---|---|
| Stores | 3,758 |
| Net store additions | 85 |
| Retail area (lakh sq ft) | 5.6 |
| Same-store sales growth | 18% |
| Inventory days (days) | 221.28 |
Worked out from filed numbers. Inventory Days: Inventory (₹50,861 crore) / (Annualised H1 FY27 Revenue ₹41,970 crore * 2) * 365 = 221.28 days
Jewellery business domestic secondary growth was 24% overall with like-to-like (same store) growth of 18%, confirming that sales expansion is driven predominantly by healthy same-store productivity alongside store additions.
Strong double-digit same-store growth (+18% YoY) indicates healthy underlying consumer demand rather than reliance solely on new store space.
Consolidated inventory rose 19.0% to ₹50,861 crore as of September 30, 2026 (vs ₹42,743 crore as of March 31, 2026), working out to 221.28 inventory days on annualised H1 FY27 revenue, aligning with pre-festive seasonal stocking for Diwali and Dhanteras.
Inventory buildup is aligned with major Q3 festive season demand timing and gold price appreciation.
Read using the Consumer discretionary and retail framework (named in the filing read). Primary valuation lens: P/E against same-store growth.
Read more closely in this sector: Growth from new stores against same stores · Inventory build against sales.
| Metric | Guidance | For | Against earlier guidance |
|---|---|---|---|
| Fundraising Target via Unsecured Non-Convertible Debentures | 2500.00 | FY2026-27 | unchanged or first given |
Held for next quarter's said-then-did check.
| Segment | Revenue | YoY | Result | YoY |
|---|---|---|---|---|
| Watches | ₹1,881 cr | ▲ 27.4% | ₹412 cr | ▲ 73.1% |
| Jewellery | ₹17,721 cr | ▲ 7.3% | ₹2,300 cr | ▲ 52.7% |
| Eyecare | ₹281 cr | ▲ 27.7% | ₹23.0 cr | ▲ 91.7% |
| Others | ₹808 cr | ▲ 45.1% | ₹173 cr | ▲ 147.1% |
| Corporate (unallocated) | ₹739 cr | ▲ 1,111.5% | ₹628 cr | — |
| Q3 FY24 | Q4 FY24 | Q1 FY25 | Q2 FY25 | Q3 FY25 | Q4 FY25 | Q1 FY26 | Q2 FY26 | Q3 FY26 | Q4 FY26 | Q1 FY27 | Q2 FY27 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | ₹14,164 cr | ₹12,494 cr | ₹13,266 cr | ₹14,534 cr | ₹17,740 cr | ₹14,916 cr | ₹16,523 cr | ₹18,725 cr | ₹25,416 cr | ₹26,920 cr | ₹21,356 cr | ₹20,614 cr |
| YoY | — | — | +12% | +16% | +25% | +19% | +25% | +29% | +43% | +80% | +29% | +10% |
| EBITDA margin | 11.0% | 9.5% | 9.4% | 8.5% | 9.4% | 10.3% | 11.1% | 10.0% | 10.7% | 7.2% | 13.5% | 14.5% |
| Other income, % of PBT | 10% | 16% | 12% | 13% | 9% | 10% | 7% | 7% | −0% | 15% | 6% | 27% |
| Exceptional items | — | — | — | — | — | — | — | — | — | — | — | — |
| Tax rate | 24% | 22% | 27% | 26% | 25% | 28% | 26% | 26% | 24% | 25% | 27% | 20% |
| Net profit | ₹1,053 cr | ₹771 cr | ₹715 cr | ₹704 cr | ₹1,047 cr | ₹871 cr | ₹1,091 cr | ₹1,120 cr | ₹1,684 cr | ₹1,179 cr | ₹1,777 cr | ₹2,393 cr |
| YoY | — | — | −5% | −23% | −1% | +13% | +53% | +59% | +61% | +35% | +63% | +114% |
| Core profit YoY | — | — | −4% | −27% | +2% | +32% | +61% | +71% | +75% | +22% | +66% | +55% |
| EPS | ₹11.86 | ₹8.68 | ₹8.05 | ₹7.93 | ₹11.79 | ₹9.81 | ₹12.29 | ₹12.63 | ₹18.97 | ₹13.28 | ₹20.03 | ₹26.96 |
| Flags | · | · | 1 | 1 | ✓ | ✓ | ✓ | ✓ | ✓ | 1 | ✓ | 5 |
Each quarter is read with the same rules. Balance-sheet and cash checks run on half-year and annual quarters; filing-read checks run where a read exists.