Ethos Limited , a prominent player in the luxury watch retail sector, has made a strategic move to strengthen its position in the watch industry by incorporating a new subsidiary focused on watch services and repairs.

New Subsidiary Details

Ethos Limited announced the incorporation of Micron Watch Services Private Limited on August 22, 2025. The new entity, registered with CIN U95294HR2025PTC135383, will have its registered office at 359, Udyog Vihar, Phase-II, DLF QE, Gurgaon, Haryana, India, 122002.

Ownership and Investment

Ethos has acquired a 50.10% initial shareholding in Micron Watch Services Private Limited, investing Rs. 5,01,000 for 50,100 equity shares at Rs. 10 each. This acquisition was made through cash consideration. Notably, Yashovardhan Saboo, a key figure in Ethos Limited, will hold 100 equity shares as a nominee shareholder of the company.

Strategic Objectives

The primary objective behind this new venture is to establish watch service centers in select Indian cities. This move is expected to enhance Ethos Limited's service offerings and strengthen its position in the luxury watch market.

Industry Focus

Micron Watch Services Private Limited will operate in the watch service and repair industry, complementing Ethos Limited's existing retail operations. This expansion into services demonstrates the company's commitment to providing comprehensive solutions to watch enthusiasts and customers.

Related Party Transaction

As Micron Watch Services is now a subsidiary of Ethos Limited, the acquisition is classified as a related party transaction. This classification ensures transparency in the company's operations and adheres to regulatory requirements.

Market Impact

The establishment of this subsidiary signals Ethos Limited's intent to capture a larger share of the watch market value chain. By venturing into services and repairs, the company is positioning itself to offer end-to-end solutions in the luxury watch segment.

Ethos Limited's strategic expansion into watch services through Micron Watch Services Private Limited reflects the company's vision to enhance its market presence and provide comprehensive solutions in the luxury watch industry. This move is likely to strengthen Ethos's competitive position and potentially open new revenue streams in the growing Indian luxury market.

Ethos Limited , a leading luxury watch retailer in India, has reported a robust 26.7% year-over-year increase in revenue for the first quarter, despite facing challenges from currency fluctuations.

Financial Highlights

• Revenue surged to ₹346.30 crore, up from ₹273.20 crore in the same period last year.
• Net profit decreased to ₹19.10 crore from ₹22.80 crore year-over-year.
• EBITDA rose to ₹52.00 crore from ₹49.70 crore, although the EBITDA margin compressed to 14.8% from 17.8%.

Currency Impact and Strategic Investments

Ethos faced significant headwinds due to volatility in the CHF/INR exchange rate, which had an adverse impact of ₹5.70 crore on the company's profitability. This included approximately ₹3.80 crore from gross margin erosion and ₹1.90 crore of notional exchange loss on currency restatement.

Pranav Saboo, MD & CEO of Ethos Limited, commented on the results, stating, "We are pleased to report that Ethos Limited has delivered robust top-line growth of 26.7%, demonstrating the strength of our brand portfolio and the continued aspiration for luxury timepieces in India."

Strategic Expansion

During the quarter, Ethos made significant strides in expanding its luxury retail footprint:

1. Launched the 'City of Time' in Gurugram: A pioneering 22,000 square feet Haute Horology concept featuring five Exclusive Brand Boutiques and two Multi-Brand Boutiques representing over 50 independent luxury watch brands.

2. Opened India's first exclusive 'Messika Paris' boutique through its subsidiary, Ethos Lifestyle Private Limited, marking the formal entry of the renowned French jewellery house into the Indian market.

3. Added 8 new boutiques and introduced 3 new watch brands to its portfolio.

Operational Highlights

• Billing from Certified Pre-Owned (CPO) watches grew by 42% year-over-year.

Future Outlook

Ethos remains focused on managing currency-led input cost fluctuations. Select brand partners have implemented calibrated price increases effective July, which are expected to support margin recovery in the coming quarters.

Mr. Saboo concluded, "Ethos continues to build for the long term—with a clear focus on profitable growth, brand consolidation, and creating differentiated customer experiences. We believe these pillars will ensure sustainable value creation for all stakeholders."

As Ethos navigates through macroeconomic headwinds, the company's strategic investments in high-impact concepts like the City of Time and expansion of its brand portfolio position it well for future growth in the luxury watch market in India.

Board Approval of Financial Results

Ethos Limited's Board of Directors approved the unaudited financial results for the quarter ended June 30, during a meeting held on August 14. The results include both standalone and consolidated financials, accompanied by a Limited Review Report. The board meeting lasted from 12:00 PM to 14:15 PM. The financial results will be published in newspapers as required under listing regulations and made available on the company's website.