Advit Jewels Limited

Advit Jewels Limited is a manufacturer and seller of fine jewellery, specializing in handcrafted Kundan, Polki, Diamond, and studded pieces. The company traces its heritage to the brand "Rambhajo," established in 1921. Advit Jewels largely operates on a Business-to-Business (B2B) model, generating 82.41% of its revenue from B2B sales in the nine months ended December 2025. They cater to dealers, showrooms, and jewellery retailers, while also serving B2C customers through exclusive, made-to-order pieces. The company's diverse product portfolio, ranging from bridal collections to everyday wear, heavily relies on a select group of clients. For the period ended December 31, 2025, the company's top 10 customers contributed approximately 56.49% of its total revenue from operations. In FY 2025, its top 10 customers contributed 54.17% of revenues. Advit Jewels conducts its entire jewellery manufacturing process—from melting and stone setting to polishing and quality inspection—in-house at its centralized facility located at A-5, Jamna Lal Bajaj Marg, C-Scheme, Jaipur. The facility combines traditional craftsmanship with advanced technology, utilizing modern machinery such as 3D printers, progressive and hydraulic press dyes, casting units, and laser cutting and engraving systems. The company operates with a total installed capacity of 400 kilograms per annum. During the nine-month period ended December 31, 2025, the actual production stood at 86.308 kg, translating to a capacity utilization of 21.58%. For the full Fiscal Year 2024-25, actual production was 183.438 kg (45.86% utilization), and in FY 2023-24 it was 172.072 kg (43.02% utilization). The utilization strategy is deliberately aligned with market demand, inventory management, and seasonal fluctuations. As per financial performance, Advit Jewels Limited has posted total income/net profits of Rs 46.60 Cr / Rs 10.38 Cr (FY23), Rs 69.45 Cr / Rs 14.71 Cr (FY24), Rs 124.94 Cr / 25.37 Cr (FY25) and Rs 123.79 Cr / 25.44 Cr (upto Q3 FY26). So as per previous financials data, company has shown steady growth, but debt increased three times from Rs 368.18 Cr in FY23 to Rs 1,303.21 Cr as of 9M FY26. Net Cash from Operating Activities collapsed from a positive Rs 610.89 Crores in FY23 to a negative Rs (92.00) Crores in FY25, and worsened to a bleeding negative Rs (387.70) Crores in 9M FY26. The company is recording accounting profits but burning immense cash. Company has an average EPS of Rs 6.04 and average RoNW of 46.34% for last three fiscals. Issue is priced at a P/BV of 5.28 as per NAV of Rs 26.13/- as on 31.12.25. If we attribute latest earnings of FY24, FY25 and annualised FY26 on equity post issue, then asking price is at a P/E of around 42.97, 24.92 and 18.64 respectively. As per RHP, comparison between listed peers are shown in the above market. On BRLM's front, Holani Consultants Private Limited are associated with this IPO, and has handled 6 IPOs in last three fiscal years. ( As on 15.06.26 ) As per financials, Advit Jewels Limited has shown average results, RoNW is 43.64% and P/E is 42.97, 24.92 and 18.64 respectively as per FY24, FY25 and annualised FY26 earnings. So issue looks fully priced, but negative cash flow, increase in debt and inventory are indicating risks. This IPO purely looks exit strategy for existing investors and no benefit to the company. Company is the leading non-ferrous metal recycler in terms of installed capacity, which is highly competitive business segment. So, we give NEUTRAL rating for this IPO. Readers must consult a qualified financial advisor prior to making any actual investment decisions.

• 1 Mr. Nitin Gilara
• 2 Mr. Prateek Gilara
• 3 Mr. Vipul Gilara
• 4 Mr. Krishna Vardhan Gilara