Bluestone Jewel Q2 FY27 Results (NSE: BLUESTONE)
Signal: Margin expansion
The read
The operating trajectory remains positive: consolidated revenue grew 45.1% YoY and EBITDA margin expanded 440bps to 12.5%, with A&P intensity falling to 6.0% and employee, depreciation and finance costs growing slower than revenue on a standalone basis. However, gross margin compressed 230bps to 37.6%, consolidated PAT was still a ₹44 million loss versus standalone PAT of ₹17 million profit, and net debt rose to ₹5328 million, making group-level profit conversion and funding needs the next thesis tests.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹745 Cr | 45.1% | 1.1% |
| Net profit | ₹-4.4 Cr | N/A | |
| EBIT margin | 12.5% |
P&L walk
Consolidated revenue grew 45.1% YoY to ₹7450 million and EBITDA grew 124.2% YoY to ₹935 million, expanding EBITDA margin 440bps to 12.5%, but gross margin fell 230bps to 37.6% and reported PAT was a ₹44 million loss.
Segments
Standalone PAT was ₹17 million profit while consolidated PAT was a ₹44 million loss, indicating that subsidiaries or the associate dragged group earnings despite standalone EBITDA of ₹972 million exceeding consolidated EBITDA of ₹935 million.
Key positives
- Consolidated revenue rose 45.1% YoY to ₹7450 million, supported by 28.0% same-store sales growth and expansion to 379 stores across 146 cities.
- Consolidated EBITDA increased 124.2% YoY to ₹935 million and EBITDA margin expanded 440bps to 12.5%; standalone EBITDA grew 127.4% YoY while employee cost, depreciation and finance cost grew 23.3%, 21.9% and 10.3%, respectively, below 43.9% revenue growth.
- A&P grew only 5.7% YoY to ₹444 million, reducing A&P intensity to 6.0% from 8.2%, while the customer base rose 19.3% YoY to 10,24,220.
- Repeat customers contributed 56.3% of revenue versus 51.4% a year ago, indicating improving customer retention despite AOV moderating to ₹77,290 from ₹78,081 sequentially.
Key concerns
- Consolidated gross margin compressed 230bps YoY to 37.6% as raw-material cost rose to 62.4% of revenue from 60.1%; revenue growth did not prevent cost absorption.
- Consolidated PAT was a ₹44 million loss versus standalone PAT of ₹17 million profit, showing that operating gains are not yet translating consistently at group level.
- Consolidated net debt increased to ₹5328 million from ₹3354 million at March 31, 2026, while the company also approved issuance of NCDs up to ₹300 crore for refinancing and growth requirements.
- Same-store sales growth moderated to 28.0% in Q2FY27 from 39.0% in Q1FY27, while EBITDA margin declined sequentially to 12.5% from 14.5%.
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