R.K. Fashion IPO

R.K. Fashion Accessories designs and sells imitation jewellery under its own brand, City Girl Jewellery, and separately trades branded cosmetics. It does not own factories: the jewellery is made to its designs by third-party contract manufacturers, using copper as the base metal with gold confined to plating and finishing. That keeps the gold content — and therefore the price point and the metal-price exposure — far below real jewellery. Almost all of the business is wholesale: B2B accounted for 90.66% of sales in the quarter to 30 June 2026, sold through wholesale distribution and a shop-in-shop model inside retail partners' stores. The company operates out of Bagree Market in central Kolkata, was incorporated in March 2010 and only converted from a private limited company to a public limited company in February 2026, a few months before this issue.

Revenue comes from two unequal streams: imitation jewellery, which is the business, and the trading of branded cosmetics, which is a secondary line. Within jewellery the mix has been shifting away from pure trading towards goods made to its own designs by contract manufacturers — that rose from 57.47% of jewellery revenue in FY24 to 72.65% in FY26 — and that shift is visible in the margin. Operating EBITDA margin went from 0.86% in FY24 to 16.74% in FY25 to 24.16% in FY26, because designing and specifying a product earns more than reselling someone else's. The model is asset-light on the factory side but increasingly heavy on working capital: the company carries the inventory and the receivables for its wholesale customers, and inventory holding stretched from 38 days in FY24 to 117 days in FY26 to 205 days by June 2026. The IPO money is meant to change the shape of this — ₹8.80 Cr builds an owned plating facility at Baruipur, bringing a finishing step in-house, while ₹5.37 Cr and ₹2.48 Cr fund a B2B showroom on Ezra Street and a B2C store on Rash Behari Avenue, both in Kolkata, which would be the company's first real move beyond wholesale.