Advit Jewels IPO Analysis: Should You Apply?

A Jaipur jewellery maker with 43.6% RoNW and a grey market premium of 54% is hitting Dalal Street. Here’s the full breakdown — financials, valuation, peers, and an honest verdict on the Rambhajo brand’s IPO.

What is Advit Jewels?

Advit Jewels Limited is a Jaipur-based jewellery manufacturer that designs, makes, and sells handcrafted fine jewellery under the brand name Rambhajo. Founded in 2019, the company specialises in Kundan and Polki — traditional Rajasthani jewellery styles — along with diamond and coloured-gemstone studded pieces, crafted using 14K and 18K gold.

The company isn’t a pure consumer retail brand. Around 81.63% of its FY25 revenue came from B2B customers — dealers and showrooms across India — while only 18.37% came from individual B2C buyers. This means Advit Jewels operates more like a wholesale manufacturer supplying the broader jewellery retail ecosystem than a direct-to-consumer jewellery brand competing with the likes of Tanishq or Kalyan.

All manufacturing happens out of a single 6,450 sq. ft. facility in Jaipur, combining handcrafting techniques with modern tools like CAD design and 3D printing — a hybrid approach that lets the company scale production of intricate, traditional designs.

IPO snapshot — Key Details

The Financials

This is where Advit Jewels’ IPO case gets genuinely interesting. Revenue grew from ₹46.60 crore in FY23 to ₹124.94 crore in FY25 — a 168% increase in two years. Profit followed an even steeper curve, rising from ₹10.39 crore to ₹25.37 crore over the same period.

Notice the nine-month FY26 numbers (through December 2025): revenue of ₹123.80 crore is already nearly matching the entire FY25 figure of ₹124.94 crore, and PAT of ₹25.44 crore has already surpassed the full-year FY25 profit. This signals the growth momentum is continuing into the current fiscal year, not slowing down.

The number that should make any investor pause is total borrowings, which jumped from ₹5.84 crore in FY23 to ₹74.80 crore in FY25 — a nearly 13× increase. This is typical for a jewellery business, since holding gold, diamond, and gemstone inventory requires significant working capital financed through borrowing. It’s worth noting borrowings have come down slightly to ₹64.92 crore as of December 2025, and notably, ₹65 crore of the IPO proceeds are earmarked specifically for debt repayment — directly addressing this concern.

Where the IPO money is actually going

This is a 100% fresh issue with zero Offer for Sale — meaning every rupee raised goes into the company, not into promoters’ or early investors’ pockets. Here’s the breakdown:

This is a sensible, conservative use of proceeds. Roughly 79% of the raise is going toward strengthening the balance sheet — funding inventory needs and cutting down the debt that ballooned over FY24–25 — rather than aggressive, speculative expansion. That’s a meaningfully de-risking signal for an IPO at this scale.

Note: the company also completed a pre-IPO placement of 18.32 lakh shares at ₹125 each (₹22.90 crore) shortly before the IPO, which reduced the public issue size from the originally filed 1.38 crore shares to 1.197 crore shares.

Who should consider applying — and who shouldn’t

Key Dates to Remember

Bottom Line

Advit Jewels is a genuinely well-performing small business stepping onto the mainboard — strong revenue growth, an exceptional RoNW versus peers, and a fresh issue structure that puts every rupee back into the company rather than into promoters’ pockets. The debt run-up is real, but it’s also being directly addressed through the IPO proceeds, which is a more reassuring setup than companies that raise money for vague “general corporate purposes” alone.

That said, this is a small-cap, single-location jewellery manufacturer in a sector where raw material costs make up virtually the entire cost base. The 54% GMP reflects genuine retail enthusiasm, but GMP is not a forecast — it’s a mood ring. If you apply, do it because you’ve looked at the FY23–25 growth trajectory and RoNW and believe in the business, not because the grey market number looks exciting today.

Disclaimer: This article is for informational and educational purposes only and does not constitute investment advice or an IPO recommendation. All financial figures are sourced from the company’s RHP and publicly available IPO data and are subject to change. GMP is unofficial, unregulated by SEBI, and not a guaranteed indicator of listing performance. Please read the full RHP and consult a SEBI-registered financial advisor before applying.

Read More: SIP vs Lump Sum: Which Strategy Wins Over 10, 20 & 30 Years?