BlueStone Jewellery IPO: Check IPO Date, Lot Size, Price & Details

Introduction

Established in 2011, BlueStone is a D2C jewellery brand that focuses on both digital platforms and physical stores. It offers a wide variety of jewellery, including diamond, gold, platinum, and studded designs. The company has built its presence by combining online convenience with in-store shopping.

BlueStone sells its products through its website (www.bluestone.com), mobile app, and physical stores across India. As of March 31, 2025, it had 275 stores across 117 cities in 26 States and Union Territories, covering over 12,600 postal codes.

The company’s focus is jewellery designed for men, women, and couples aged 25 to 45 years, with products suitable for daily wear, special occasions, and gifting. As of March 2025, BlueStone offered more than 7,400 jewellery designs across 91 collections.

BlueStone operates three manufacturing units located in Mumbai, Jaipur, and Surat, with another facility under construction in Jaipur. These facilities help the company meet demand and maintain control over production. In the financial year 2025, more than 75% of its jewellery was made in-house.

BlueStone uses an omnichannel approach, allowing people to explore jewellery online and make a purchase either online or at a store. Features include 360-degree product views, store inventory visibility, a try-at-home option in select cities, and digital browsing tools.

Its retail network includes 275 company-owned stores and 75 franchisee-run outlets aggregating to 605,000 square feet. All franchisee stores are operated and managed by BlueStone, which helps keep the shopping experience consistent across locations.

The company also develops new jewellery designs through its in-house design team of 23 members, using customer data to guide design and inventory decisions. A dedicated facility in Mumbai allows for the quick creation of sample designs before full production.

BlueStone reported revenue of ₹1,770 Crore in FY25, up from ₹1,265.8 Crore in FY24 and ₹770.7 Crore in FY23. Studded Jewellery contributed the highest percentage of revenue over the last three years, averaging 68%. The company turned EBITDA positive last year, improving from -7.27% in FY23 to 4.19% in FY24, and currently at 4.13% in FY25. The average order value (AOV) has increased from 32038 in FY23 to 47,671.26 in FY25.

IPO Details

Objective of the Issue

• Funding for Capital Expenditure
• General corporate purposes.

Key Strengths

• Strong Position Among Digital-First Jewellery Brands in India

BlueStone is the second-largest digital-first omni-channel jewellery brand in India by revenue in FY 2024. The company follows a hybrid retail model, combining online convenience with physical stores. This helps customers explore products online and experience them offline before purchasing. High-value purchases like jewellery often require a touch-and-feel component, and BlueStone’s approach supports that. Real-time inventory checks and in-store availability help customers make informed choices. This model reflects evolving buying patterns in India, where digital influence on jewellery purchases is growing. BlueStone’s strategy is designed to serve these preferences while offering a consistent brand experience across platforms.

• Integrated Omni-Channel Platform Enhancing Customer Experience

BlueStone’s website, mobile app, and retail stores are fully integrated, allowing customers to research, compare, customise, and purchase products on the channel they prefer. Customers can locate nearby stores, check available inventory, and explore product details online before visiting. The company also offers services such as same-day delivery and ‘Try at Home’ in select locations. BlueStone has a growing base of returning customers, with repeat revenue at 44.61% in FY 2025. Its data-driven approach to inventory and customer insights supports better product availability and conversion. These efforts contribute to a consistent experience, whether online or offline.

• Proprietary Technology Driving Business and Operational Efficiency

BlueStone uses in-house technology to support everything from product design and inventory planning to store operations and customer experience. As of March 2025, its tech team had 42 members working on improving digital features, including multiple-angle product views, size visualisation, and 360-degree videos. The company also uses algorithms to manage merchandising decisions, store inventory, and product development based on customer preferences. This has supported a shift toward higher-margin products like studded jewellery. Integration with manufacturing systems allows automated restocking based on demand trends. As a result, BlueStone has improved inventory turns and achieved the highest Gross Margin Return on Investment among major jewellery retailers in India in FY 2024.

• Pan-India Store Network Supporting Brand Reach and Engagement

BlueStone has built a wide physical presence across India, complementing its digital-first model. From its first store in New Delhi in 2018, the company has grown to 275 stores across 117 cities in 26 States and Union Territories as of March 31, 2025. This includes 200 company-operated stores and 75 franchisee-owned stores, all managed by BlueStone. The store network covers more than 605,000 square feet of retail space and enables the company to connect with customers directly. This presence helps reinforce the brand, improve accessibility, and strengthen its ability to serve customers across Tier-I, Tier-II, and Tier-III cities.

Risks Factors

• Losses Since Inception and Potential Impact on Future Performance

BlueStone has not been profitable since its inception. The company reported net losses of -₹221.84 crore in FY2025, ₹142.24 crore in FY2024, and ₹167.24 crore in FY2023. In FY 2023, it also reported a negative total equity of ₹71.83 crore. These losses were primarily due to upfront investments in retail expansion, marketing, and working capital to support growth. As operations scale further, expenses are expected to increase. If profitability is not achieved in the future, it may impact the company's financial condition and the market performance of its equity shares.

• Dependency on Customer Retention and Average Order Value Growth

Customer loyalty and spending are key to BlueStone’s revenue performance. The company's Repeat Revenue Ratio (share of sales from returning customers) was 44.61% in FY2025, 39.83% in FY2024, and 34.67% in FY2023. If BlueStone is unable to retain existing customers, attract new ones, or maintain AOV levels, its revenue growth and margins could be impacted. Additionally, changing customer preferences and increased competition could affect the company’s ability to grow cost-effectively.

• Inventory Risk and Demand Forecasting Challenges

BlueStone manages its inventory based on projected demand. Its inventory stood at ₹1,652.5 crore in FY 2025, up from ₹991.22 crore in 2024 and ₹395.32 crore in 2023. Inaccurate forecasting could lead to overstocking, which may require recycling or result in potential material loss, especially during the gold melting process. Under-stocking could result in missed sales opportunities. Efficient inventory management is crucial to maintaining margins and ensuring timely product availability.

• Pledged Promoter Shares May Result in Potential Shareholding Dilution

As of the date of the Red Herring Prospectus (6^Th August 2025), the Promoter, Mr. Gaurav Singh Kushwaha, held 2.45 crore (24,465,127) equity shares of BlueStone. Of these, 92.15 lakh (9,215,127) shares, or approximately 37.67% of his shareholding, are pledged to 360 One Prime Limited. While none of these pledged shares have been invoked to date, any potential invocation by the lender may dilute the Promoter's holding and could influence investor sentiment or strategic control of the company.

Financials Snapshots

Note: GML (Gold Metal Loan) is a financial arrangement in which jewellers borrow gold from banks rather than taking out cash loans. This gold is used to produce jewellery, and the loan is repaid using the proceeds from sales. An increase in GML rates can negatively affect interest coverage, net profit margins, and overall cash flow.

KPI Comparison with Industry Peers

Conclusion

BlueStone Jewellery & Lifestyle Ltd. is a fast-growing digital-first jewellery brand with a strong omnichannel presence and plans to open 290 new stores by FY27. While the company shows impressive revenue growth and operational scale, it continues to incur losses and faces challenges with inventory management and profitability. Given the current financial performance and ongoing expansion risks, the company’s valuation appears optimistic. Therefore, investors are advised to avoid the IPO at this stage and consider reassessing once BlueStone demonstrates consistent profitability and stronger financial health.