Shringar House of Mangalsutra Ltd

Resignation of VP - Sales & Marketing

• Resignation tendered 26 June 2026; effective 17 August 2026.
• Hitesh Khandelwal, Vice President - Sales & Marketing, resigns.
• Reason: growth and better opportunities.
• Cessation on close of business hours 17 August 2026.

Key financials

• Revenue from operations: INR 548.5 crore, up 64.9% YoY
• Gross profit: INR 57.0 crore; gross margin 10.4%
• EBITDA: INR 48.9 crore; EBITDA margin 8.9%
• Profit after tax: INR 34.0 crore; PAT margin 6.2%

Operational momentum

• Bridal jewellery segment showed strong momentum in Q1 FY27
• Revenue growth driven by bridal segment and partner networks

Issue Overview

• IPO: equity shares; objectives: fund working capital and general corporate purposes.
• Net proceeds revised previously; no deviation from stated objects.

Utilisation of Proceeds

• Utilisation as disclosed; no material deviations or changes.
• Funding working capital: utilized to prior period; current quarter no new usage.
• General corporate purposes: utilized previously; no further utilisation in quarter.
• Issue expenses: partially utilised; small internal transfer for operations.
• Unutilised funds: held in bank account; not encumbered.
• Delay: no delay in implementation.

Governance and Compliance

• Statutory approvals obtained for objects.
• No material events or regulatory actions affecting viability reported.
• Management undertakings and certificates underpin MA view.

GCP

• GCP allocations fully utilized; prior period completion.
• Surplus from lower issue expenses added to GCP cost.
• Board approval for allocation not explicitly documented.

Business Overview

• Integrated jewellery maker focused on Mangalsutra and bridal jewellery for B2B customers.
• In-house design and manufacturing with expansion into bridal segment.
• New facility focusing on contemporary designs; 15 cr capex via internal accruals.

Operational Highlights

• Kandivali facility capacity expanded from 2,500 kg to 4,000 kg.
• Commercial production resumed February 23, 2026 with 57% utilization; ramp-up planned.
• Opened Pune and Delhi branch offices to widen pan-India coverage.
• Entered bridal jewellery segment and launched 24K mangalsutra.
• Invested approx. INR 15 crore to upgrade machinery and efficiency.

Financial Performance

• Q1 FY27: Revenue from operations 548.5 cr; EBITDA 48.9 cr; PAT 34.0 cr.
• Gross margin 10.4%; EBITDA margin 8.9%; PAT margin 6.2%.
• FY26 full-year: Revenue 2,245.8 cr; EBITDA 158.7 cr; PAT 115.5 cr; margins 7.1%, 5.1%.

Capital Structure & Liquidity

• Current borrowings 179.3 cr; lease liabilities 16 cr.
• Cash and cash equivalents 26.2 cr; total equity 200.8 cr.
• Non-current borrowings: 0; operating cash flow negative in FY26 due to working capital.

Strategic Priorities & Outlook

• Pan-India supply chain expansion via third-party intermediaries; opened Delhi and Pune offices.
• Strengthen relationships with existing clients to drive recurring sales.
• Invest in marketing and brand through national and regional exhibitions.
• Expand product categories, including bridal jewellery, to meet rising client demand.
• Focus on cost optimization, backward integration, and capacity utilization.

Risks & Mitigation

• Working capital intensity requires adequate liquidity to fund expansion.
• Gold price volatility hedged via GML and derivative purchases.

Governance & Leadership

• Chetan N. Thadeshwar – Chairman & MD; 40 years in jewellery industry.
• Viraj C. Thadeshwar – Executive Director & CEO; 15 years of production leadership.
• Balraj C. Thadeshwar – Whole-time Director & COO; oversees operations.
• Mamta C. Thadeshwar – Non-Executive Director; board oversight.
• Rachit S. Sinha – CFO since 21 Nov 2024; Company Secretary.
• Radhamanalan – Independent Director; 37+ years in manufacturing.
• Nitesh Mahendra Kothari – Independent Director; CA; 18+ years taxation.
• Dr. Ruchika Agarwal – Non-Executive Director.
• Anilkumar Mohanraj Marlecha – Independent Director; legal practitioner.

Results & IPO update

• Board approved unaudited standalone results for quarter ended June 30, 2026; Limited Review completed.
• Statement reviewed by Audit Committee and approved by Board; TR Chadha & Co LLP conducted review.
• IPO completed in Sep 2025; 24.30 million shares at ₹165; listed on NSE and BSE.
• Unutilised net proceeds as of 30 Jun 2026: Rs 2.54 million held in Kotak Bank.
• Company operates a single segment: Mangalsutra manufacturing and trading.
• Results are standalone unaudited; consolidation not reported.
• Board meeting time: 3:30 pm to 4:30 pm IST.
• Company name change: formerly Shringar House of Mangalsutra Private Limited.
• Auditor's review concluded no material misstatement; not an audit.

Dematerialisation status

• Securities received for dematerialisation were confirmed to depositories and listed on the exchanges.
• Physical certificates for dematerialisation were mutilated and cancelled after verification; depository name substituted as registered owner within timelines.