BlueStone Jewellery & Lifestyle , India's leading digital-first omnichannel jewellery brand, has unveiled plans to expand its retail footprint to over 500 stores, capitalizing on its strong digital presence and growth trajectory. The company aims to leverage its design-led approach to capture a larger share of the younger consumer market, particularly in the daily-wear jewellery segment.

Rapid Expansion and Growth

BlueStone has been experiencing robust growth, with a compound annual growth rate (CAGR) of over 30% in recent years. This expansion strategy is set to further accelerate the company's market presence across India. As of September 30, BlueStone operates 311 stores across 127 cities, showcasing its expansion from 292 stores in the previous quarter.

Focus on Younger Consumers

The company's strategy is centered on appealing to younger consumers through innovative, design-led daily-wear jewellery offerings. This approach aligns with changing consumer preferences, as younger buyers increasingly seek unique and modern designs for everyday use.

Omnichannel Strategy

BlueStone's success is built on its effective omnichannel model, which integrates online and offline experiences. The company's Q2 financial results reflect the strength of this approach:

The company's digital-first strategy continues to drive demand to its physical stores, while the expanding retail footprint deepens customer access.

In-House Manufacturing and Design Innovation

To support its growth and maintain its competitive edge, BlueStone plans to increase in-house manufacturing capabilities. This vertical integration is expected to improve margins and allow for greater control over product quality and design innovation.

Financial Performance

BlueStone's financial results for Q2 demonstrate strong growth and profitability improvements:

• Same-store sales growth (SSSG) of 11.1% year-on-year
• Customer base grew by 31% year-on-year to over 858,000
• Positive cash profit after tax (PAT) of ₹61 million, compared to a cash loss of ₹536 million in the same quarter last year

IPO Fund Utilization

BlueStone Jewellery and Lifestyle Limited filed a statement confirming no deviation or variation in the utilization of proceeds raised through its Initial Public Offering for the quarter ended September 30. The company's equity shares were listed on the National Stock Exchange of India Limited and BSE Limited on August 19. This filing, made pursuant to SEBI Listing Regulations, confirms that IPO funds were used according to their originally disclosed purposes without any modifications to objects or allocation amounts.

Challenges and Opportunities

While BlueStone's expansion plans are ambitious, the company faces challenges such as fluctuating gold prices and evolving consumer behavior. However, its focus on design differentiation and the ability to cater to changing customer preferences position it well for future growth.

Conclusion

BlueStone's expansion strategy, coupled with its focus on younger consumers and design-led growth, positions the company as a significant player in India's evolving jewellery market. As the company moves towards its goal of 500+ stores, its ability to maintain growth momentum while improving profitability will be crucial for long-term success. The recent confirmation of proper IPO fund utilization further underscores the company's commitment to transparency and adherence to regulatory standards, potentially boosting investor confidence.

BlueStone Jewellery & Lifestyle Limited , a leading digital-first omni-channel jewellery brand, has reported robust financial results for the second quarter of fiscal year 2026, demonstrating significant growth and improved profitability.

Key Financial Highlights

• Revenue Growth: BlueStone's standalone revenue surged by 37.4% year-over-year to ₹5,131.00 crore in Q2 FY26, up from ₹3,734.00 crore in the same quarter last year.
• Narrowed Losses: The company reported a net loss of ₹491.00 crore for Q2 FY26, substantially lower than the ₹845.00 crore loss in Q2 FY25.
• Improved EBITDA: Adjusted EBITDA showed a remarkable improvement, reaching ₹714.00 crore with a margin of 13.9%, compared to ₹51.00 crore and a 1.4% margin in the previous year.
• Positive Cash PAT: BlueStone achieved a positive cash Profit After Tax of ₹61.00 crore, a significant turnaround from a cash loss of ₹536.00 crore in Q2 FY25.

Operational Performance

BlueStone's operational metrics also showed strong momentum:

• Store Expansion: The company added 19 new stores during the quarter, bringing its total store count to 311 across 127 cities.
• Same-Store Sales Growth: SSSG stood at 11.1% year-on-year, reflecting strong consumer demand.
• Customer Base: The company's customer base grew by 31% year-on-year to over 858,000.
• Average Order Value: AOV increased to ₹59,907.00, up from ₹44,944.00 in Q2 FY25.

Management Commentary

Gaurav Singh Kushwaha, CEO of BlueStone, commented on the results: "We are pleased to report another quarter of record revenues on the back of continued focus on execution. Our digital-first approach continues to direct demand to our stores, while our expanding retail footprint is deepening customer access."

Financial Position

The company's balance sheet remains robust:

*Excluding inventory gains

Future Outlook

While BlueStone does not provide specific guidance, the management remains focused on striking the right balance between growth investments and profitability. The company's recent IPO and expanding store network indicate a strong commitment to growth and market expansion.

BlueStone's Q2 FY26 results demonstrate the company's ability to drive growth while improving profitability in the competitive jewellery market. The combination of its digital-first approach and expanding physical presence positions BlueStone well for continued success in the evolving retail landscape.