Shringar House Of Mangalsutra Confident Of Maintaining Revenue, Profit Growth After Strong Market Debut

Shringar House of Mangalsutra Ltd. aims to maintain the momentum in profit and revenue growth, as seen in the last three years, after its stock market debut, according to the company’s Executive Director (ED) and Chief Executive Officer (CEO), Viraj C Thadeshwar.  

“If you see the last three years’ record, there has been a substantial amount of growth in terms of the revenue as well as the profits. After this IPO, we will be maintaining the same range of growth and will be thriving and working hard towards increasing it,” he said during a conversation with NDTV Profit on Wednesday. 

The company’s profit after tax jumped 161.6% to Rs 61.11 crore in FY25 from Rs 23.36 crore in FY23. Its revenue from operations rose 50.5% to Rs 1,429.82 crore in FY25 from Rs 950.22 crore in FY23.

Shringar House Of Mangalsutra made a strong debut on the stock exchanges on Sept. 17, with its shares listing at a 14.2% premium over the issue price at Rs 188.5 on the NSE. On the BSE, the stock opened at Rs 187.7, at a premium of 13.8% over the issue price.

The Rs 400.95-crore IPO of the company was open for subscription from Sept. 10 to Sept. 12.

He clarified that the company will use the proceeds from its IPO primarily for funding working capital and business growth rather than debt reduction. 

“I would like to emphasise that currently the company is not planning to have any debt reduction. We have expansion plans, so keeping that in mind, we would like to keep the debt maintained as it is and also increase the working capital through the medium of the IPO,” he noted.

Chetan N Thadeshwar, Chairman and Managing Director, shed light on the enduring demand for mangalsutras despite the increase in gold prices.

“Gold price is going higher and higher, but the demand for mangalsutra remains the same because this product is a regional product,” he said.

Chetan Thadeshwar also provided a promising outlook for the mangalsutra market. 

“Right now, the mangalsutra market is approximately Rs 17,000 to Rs 18,000 crore in India and research says that in 2032, it may be above Rs 30,000 crore,” he said.

The Shringar House of Mangalsutra IPO was a book-building issue of Rs 400.95 crore. It comprised entirely a fresh issue of 2.43 crore shares. The price band for the IPO was set between Rs 155 and Rs 165 per share.

Shares of Shringar House of Mangalsutra closed 13.33% higher than the issue price at Rs 187 apiece on the NSE, while the benchmark Nifty50 ended at 25,330.25, up 0.36%.