BlueStone Jewellery and Lifestyle Ltd (BLUESTONE) Q2FY27 Concall Transcript - Sep-2026 Qtr
Danish: Ladies and gentlemen, good day, and welcome to BlueStone Jewellery and Lifestyle Ltd Q2 and FY '27 earnings conference call. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star, then zero on your touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Ms. Riya Dariya from EY Investor Relations. Thank you, and over to you, Riya.
Riya Dariya (EY Investor Relations): Thank you, Danish. Good morning to all the participants on the call. Welcome to the Q2 and H1 FY '27 earnings call of BlueStone Jewellery and Lifestyle Limited. Before we proceed with the call, let me remind you that the discussion may contain forward-looking statements that may involve known and unknown risks, uncertainties, and other factors. It must be viewed in conjunction with our business risks that could cause future results, performance, or achievements to differ significantly from what is expressed or implied in such forward-looking statements. Please note that we have mailed the results, and the same is available on the exchange. In case you have not received the same, you can write to us, and we'd be happy to send the same over to you. To take us through the results today and answer your questions, we have the management of BlueStone represented by Mr. Gaurav Singh Kushwaha, Founder and CEO, and Mr. Rumit Dugar, our CFO. We will start the call with a brief overview of how the quarter has gone, and then conduct the Q&A session. With that said, I'll hand over the call to Gaurav. Over to you.
Gaurav Singh Kushwaha (BlueStone Jewellery and Lifestyle Ltd): Thank you, Riya. Good morning, everyone, and thank you for joining BlueStone's quarter two FY '27 earnings call. Revenue grew 44% year-on-year to 738 crores. EBITDA more than doubled, and this is our fourth consecutive profitable quarter on a standalone basis. Strong growth with profit rising faster than revenue, that is exactly the business we set out to build. The detailed disclosures are on the exchanges, so I'll not lose my time-- so I'll use my time on what sits underneath these numbers, which is our customers. During the quarter, BlueStone crossed 1 million customers. That is a million people who chose to buy something precious for themselves and for someone they love from a brand that started life as a website to one that get that gets pegged every day.
Gaurav Singh Kushwaha (BlueStone Jewellery and Lifestyle Ltd): survey with them, and we watch closely on our own platform what they want. The clearest lesson is that today's customer wants to be elegant and aspirational and she wants her jewellery to do that for her with a touch of the contemporary and the touch of the classic. When the customer wants it all, the only way to keep up is a design language wide enough to deliver it and that is only possible because we design and make our jewellery ourselves. That is how we have reached more than 10,500 designs. The newest, a handcrafted and antique range, launched this quarter at our flagship store on Park Street in Calcutta. The second lesson is that aspiration in India no longer has a pincode. Because BlueStone started online, we were delivering to customers in towns across India years before we opened a store there. That gives us an advantage a store first jeweller does not have. We know where our customers are before we decide where to go. All seven new cities we entered this quarter were tier 2 and tier 3 cities. And customers there chose the same contemporary BlueStone designs as customers in the metros. So, when a BlueStone store opens in a new city, we're not starting from scratch. We are opening our doors to customers who already know us. The third lesson is about price. Anyone can make a beautiful piece, making one for every budget is the real craft. That is where most of our design effort has gone this year. Our redesigned entry-level range is now taking up more space in our stores, which brings the first BlueStone piece within reach of, of, of many more people. The first purchase is a chance, the second is a choice. And as more of our customers make that choice, we are moving from being a brand they shop to a brand they cannot imagine shopping without. And let me come back to where I started. A million customers is the point at which a brand becomes a legacy. And while legacy jewellers are built across generations, ours was built in one. It took us 13 years to reach our first million customers. The next million will come much faster. Not because we already have a million to rely on, but because we never take a single one of them for granted. We earn them every day and that is where our focus will stay. Thank you, and over to the operator for questions.
Danish: Thank you so much, sir. Ladies and gentlemen, we will now begin with a question and answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone. If you wish to remove yourself from the question queue, you may press star and two. Participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. First question comes from the line of Siddhesh Deshmukh with IIFL Capital. Please go ahead.
Percy (IIFL Capital): Hi, this is Percy here. Am I audible?
Danish: Yeah, Siddhesh, right? You may Yes Siddhesh, you may please go ahead.
Percy (IIFL Capital): Yeah Percy Percy. Yeah. Hello?
Danish: Percy, we can hear you. Please go ahead.
Percy (IIFL Capital): Yeah, okay. Yeah, so my question is on your strategy going ahead for growth. Right now we are seeing significant AOV growth. This quarter also was close to 30% AOV growth and at least if not entirely, a large part of it is coming from the gold price inflation. As the gold price annualizes in the next couple of quarters, this AOV growth would sort of come off. At that time obviously, as affordability improves, the bills cut per store would probably increase. My question is that what kind of sort of increase do you see in the bills cut per store versus what you are seeing right now? And is there any other lever you have to keep the growth afloat in terms of either increasing the carattage or something like that so that even the AOV growth keeps sort of on an upward trajectory? So, just to summarize, my question is that do you think that AOV growth can continue even if the gold price sort of is YoY flat? Or do you think that as the gold price becomes flat, the AOV also becomes flat and then the entire growth is based on the bills cut?
Gaurav Singh Kushwaha (BlueStone Jewellery and Lifestyle Ltd): Yeah. So, so Percy, as we have spoken several times earlier also historically we have generally not seen our overall growth numbers swinging wildly when gold rate remains flat or when gold rate increases. In fact last quarter last year was one of the most sort of
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