BlueStone Jewellery Reports Strong Q2 FY26 Performance with 87.4% Revenue Growth
BlueStone Jewellery and Lifestyle Limited achieved 87.4% year-on-year revenue growth in Q2 FY26, surpassing Rs 500 crore. The company expanded to 311 stores across 127 cities, added 19 new stores, and grew its customer base by 31% to 858,000. Same-store sales growth was 11% YoY. Adjusted EBITDA margin was 13.9%, while contribution margin improved to 31.8%. Studded jewellery contributed 62% to overall revenue. The company recorded an inventory gain of Rs 160 million amid volatile gold prices.
*this image is generated using AI for illustrative purposes only.
BlueStone Jewellery and Lifestyle Limited , a leading omnichannel jewellery retailer, has reported robust financial results for the second quarter of fiscal year 2026, demonstrating resilience in a volatile gold price environment.
Record-Breaking Revenue
The company achieved a milestone by crossing the Rs 500 crore mark in standalone revenue for Q2 FY26, marking an impressive 87.4% year-on-year growth. This strong performance is particularly noteworthy given the high base effect from the previous year, which had benefited from a custom duty cut.
Expanding Retail Footprint
BlueStone continued its aggressive expansion strategy, growing its retail presence to 311 stores across 127 cities by the end of September 2025. The company added 19 new stores during the quarter, underlining its commitment to enhancing its physical retail footprint while maintaining a strong online presence.
Customer Growth and Same-Store Sales
The company's customer base expanded by 31% year-on-year, reaching 858,000 customers. Same-store sales growth (SSSG) stood at a healthy 11% YoY, reflecting the company's ability to attract and retain customers through its design innovation and superior customer experience.
Financial Highlights
| Metric | Q2 FY26 Performance |
|---|---|
| Revenue Growth | 87.4% |
| Adjusted EBITDA Margin | 13.9% |
| Contribution Margin (excl. inventory gains) | 31.8% |
| Pre-IndAS EBITDA Margin (excl. inventory gains) | 3.1% |
The company's adjusted EBITDA margins expanded to 13.9% compared to 14% in the same quarter last year. Notably, the contribution margin, excluding inventory gains, improved to 31.8%, showing an expansion of over 300 basis points year-on-year. This improvement was driven by scale and manufacturing efficiencies.
Pre-IndAS EBITDA margins, excluding inventory gains, stood at 3.1%, a significant improvement from -5.6% in the same quarter last year, demonstrating the company's progress towards profitability.
Product Mix and Inventory
The company reported that studded jewellery contributed 62% to the overall revenue in Q2 FY26. BlueStone recorded an inventory gain of Rs 160 million during the quarter, reflecting the volatile gold price environment.
Management Commentary
Gaurav Singh Kushwaha, Founder, Managing Director, and CEO of BlueStone, commented on the results: "Our performance this quarter underscores the resilience of our business model and deep execution focus. We continue to benefit from our omni-channel strategy which seamlessly connects our online presence with an expanding physical retail footprint."
He also noted the mixed customer demand in September but highlighted a strong festive finish towards the quarter's end.
Looking Ahead
While the company refrains from providing specific guidance, management emphasized their continued focus on design capabilities, strengthening store productivity, and optimizing capital efficiency. The company's digital-first approach continues to drive its operations, from design to marketing and personalized shopping experiences.
As BlueStone moves into the traditionally strong second half of the fiscal year, it is well-positioned to leverage its expanded store network and growing customer base. The company's performance in the coming quarters will be closely watched by investors and industry observers alike.
