Ethos Limited has submitted its quarterly compliance report to BSE and NSE, confirming no deviation or variation in the utilization of proceeds from its rights issue for the quarter ended December 31, 2025. The filing, made pursuant to Regulation 32 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, demonstrates the company's adherence to its original fund utilization plan.

Rights Issue Details

The luxury watch retailer successfully completed its rights issue on July 04, 2025, raising funds up to Rs 40,990.50 lakh. The fund raising exercise operates under the supervision of CRISIL Ratings Limited as the designated monitoring agency, ensuring proper oversight of fund utilization.

Fund Utilization Status

As of the reporting date, Ethos has utilized Rs 30,011.53 lakh out of the total funds raised, representing approximately 73% of the proceeds. The company allocated the funds across three primary objects as outlined in the original placement document filed with stock exchanges and the Registrar of Companies, Himachal Pradesh.

Quarterly Performance

The company reported that no proceeds were utilized toward any of the designated objects during the quarter ended December 31, 2025. This indicates that the fund utilization occurred primarily in earlier quarters following the rights issue completion. The largest allocation of Rs 31,000.00 lakh was designated for funding working capital requirements, of which Rs 20,389.52 lakh has been utilized to date.

Compliance and Oversight

The quarterly statement confirms full compliance with regulatory requirements, with both the Audit Committee and auditors providing no adverse comments on the fund utilization. The company has made the detailed statement available on its investor relations website, maintaining transparency with stakeholders.

Ethos Limited, headquartered in Gurugram with its registered office in Himachal Pradesh, continues to maintain regulatory compliance in its fund utilization practices. The company's adherence to the original objects without any deviation demonstrates disciplined capital allocation in line with shareholder expectations and regulatory guidelines.

Ethos Limited has delivered a mixed third quarter performance, showcasing robust revenue growth and improved EBITDA alongside steady profitability, though facing some margin compression challenges. The luxury watch and jewelry retailer demonstrated strong business momentum with significant top-line expansion while navigating operational efficiency dynamics.

Strong Revenue and EBITDA Performance

The company achieved remarkable financial growth during the quarter, with total revenue reaching ₹4.7 billion compared to ₹3.7 billion in the corresponding quarter of the previous year, representing a substantial year-on-year increase of 27.03%. EBITDA performance showed solid improvement, rising to ₹606 million from ₹551 million in the same quarter last year, marking a 10.00% year-on-year growth.

Profitability and Margin Analysis

While maintaining steady profit growth, Ethos reported net profit of ₹306 million for Q3, representing a 3.03% increase from ₹297 million in the same quarter last year. However, the company experienced margin compression with EBITDA margin declining to 12.86% from 14.89% in the previous year, indicating some pressure on operational efficiency despite absolute growth in earnings.

Investor Presentation and Regulatory Compliance

Ethos Limited has released its comprehensive investor presentation covering the unaudited financial results for the quarter and nine months ended December 31, 2025. The presentation was shared with BSE Limited and National Stock Exchange of India Limited under Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015.

Business Expansion and Store Network

The investor presentation highlights the company's continued expansion strategy with new boutique openings across various locations. Recent additions include the third Ethos boutique in Chandigarh, the eighth Tudor boutique in Gurugram, and the first Ethos boutique in Nucleus Mall, Ranchi. The company has also expanded its luxury offerings with new Ethos Summit and Haute Horology locations, alongside the addition of premium brands like RIMOWA and Messika to its portfolio.

Market Position and Strategic Outlook

The robust financial performance reflects Ethos's strengthening position in the luxury retail segment, with substantial revenue expansion indicating successful market penetration. The combination of strong top-line growth with moderate bottom-line improvement suggests the company is investing in expansion while managing operational challenges. This performance indicates strong consumer demand and effective business execution, though margin management remains a key focus area for sustainable profitability.