Titan Company Limited has officially launched beYon, its dedicated lab-grown diamond brand, with the first exclusive store opening in Mumbai on December 29, 2025. The strategic move comes as the company reported robust Q2 FY26 results, with jewellery revenue growing 29% to ₹16,522 crore despite challenging macro conditions including elevated gold prices.

beYon Brand Launch and Market Strategy

The beYon brand operates separately from Titan's existing jewellery brands including Tanishq, Mia, and Zoya. Following the Mumbai launch, the company plans to open a second store in Delhi as part of its phased expansion strategy. Lab-grown diamonds, which are physically and chemically identical to natural diamonds, are offered at a 30-40% discount to natural diamonds.

Q2 FY26 Financial Performance

Titan delivered strong quarterly results despite macro headwinds from rising gold prices. The company's jewellery division, led by CEO Ajoy Chawla, reported significant revenue growth while managing margin pressures from elevated gold costs. Chief Financial Officer Ashok Sonthalia noted that forecasting margins remains challenging in the current gold price environment.

Strategic Rationale and Market Positioning

Market expert Sandip Sabharwal believes Titan's entry into lab-grown diamonds represents strategic alignment with global trends. He highlighted that nearly 70% of engagement rings in the US market now feature lab-grown diamonds, demonstrating rapid consumer acceptance when affordability and design converge.

"They are exactly the same product. So why should one pay more for natural diamonds?" Sabharwal noted, emphasizing that most consumers cannot distinguish between lab-grown and natural diamonds. The company's evolved stance marks a shift from its cautious approach in early 2024 to active scaling in the current period.

Addressing Market Challenges

The launch of beYon addresses specific market challenges identified during Q2 FY26. Demand weakened in lower price bands, particularly for plain gold jewellery, with buyer growth declining 11% during the quarter. Conversely, studded jewellery buyers grew 3%, indicating consumer preference for value-added products.

Titan plans to leverage lab-grown diamonds to attract younger consumers who may not enter the natural diamond segment due to price constraints. The company aims to limit cannibalisation of its natural diamond business through the multi-brand strategy, positioning beYon to capture new market segments focused on design and sustainability.

Analyst Outlook and Valuation

Analysts covering Titan expect revenue to grow 15.40% annually between FY25 and FY29, with net earnings per share projected to rise approximately 26% annually over the same period. The stock trades at a forward price-to-earnings multiple of about 68 times, above the 10-year average of 62.50 times.

According to Amnish Aggarwal, Director-Institutional Research at PL Capital, Titan's formal entry into lab-grown diamonds removes structural uncertainty that has long concerned investors about the company's ability to participate in this growing segment.

Titan Intech Limited has completed the allotment of 51,50,000 equity shares to Nadem Township Private Limited through the conversion of convertible equity share warrants. The Board of Directors approved this transaction during their meeting held on December 27, 2025, which commenced at 11:30 A.M. and concluded at 1:00 P.M.

Board Meeting Outcomes

The company's Board of Directors approved the allotment of equity shares by way of conversion of convertible equity share warrants. The decision was made after receiving the full amount for all 51,50,000 convertible equity share warrants from Nadem Township Private Limited.

Allotment Details

The share conversion details highlight the impact of the company's face value reduction on the allotment structure:

Face Value Impact

The allotment structure reflects a significant change in the company's share denomination. Originally, the preferential allotment involved 5,15,000 convertible equity share warrants at ₹55.00 per share, with a face value of ₹10.00 and premium of ₹45.00. However, due to the face value reduction to ₹1.00, the company is now allotting 51,50,000 equity shares to maintain the same investment value for the investor.

Regulatory Compliance

The allotment was conducted in accordance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company has provided detailed information as required under the listing regulations and SEBI Circular No. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated July 13, 2023.

Corporate Structure

Titan Intech Limited, incorporated under CIN L72200AP1984PLC004380, has completed this conversion process as part of its capital structure management. The conversion represents the fulfillment of the warrant holders' rights to convert their instruments into equity shares of the company.