Grover Jewells IPO

Grover Jewells manufactures gold jewellery at a single Delhi plant and sells it mainly to other businesses. Chains are the bulk of the output: "Chain Roll / Chains" accounted for 97.21% of FY25 revenue, with rings, bangles, necklaces and pendants making up the rest, in 18, 20 and 22 carat. Wholesalers — buyers taking 5,000 grams or more in a year — took 65.34% of FY25 revenue and retail jewellers 34.02%; walk-in consumers at its two Delhi showrooms, in Karol Bagh and Chandni Chowk, were 0.64%. It also does job work, turning gold supplied by small jewellers into finished pieces for a labour charge, which was 0.17% of FY25 revenue. Customers sit in around 20 states, concentrated in Delhi, Uttar Pradesh, Haryana and Uttarakhand; the prospectus calls exports, to the UAE and Australia, negligible.

Revenue is largely the gold price passed through, plus a thin conversion margin. Cost of material consumed was Rs 456.88 Cr against Rs 460.80 Cr of FY25 revenue, so metal is effectively the entire cost base and reported turnover tracks bullion as much as volume. What survives is EBITDA of Rs 11.26 Cr, 2.44% of FY25 revenue, and PAT of Rs 7.62 Cr, 1.65%. The structural constraint is working capital: gold is bought before jewellery sells. Borrowings rose from Rs 9.34 Cr at 31 March 2025 to Rs 28.30 Cr at 31 October 2025, taking debt-equity from 0.56 to 1.04, and Rs 25.34 Cr of the Rs 33.83 Cr raised — 74.90% — was earmarked for working capital.