Is PNGS Reva Diamond Jewellery IPO Good or Bad – Detailed Review

PNGS Reva Diamond Jewellery Limited’s IPO is set to open its initial public offering from February 24, 2026, to February 26, 2026. When considering applying for this IPO, potential investors might have questions about whether the PNGS Reva Diamond Jewellery IPO is a good investment and if it's worth subscribing to.

This article provides a comprehensive analysis of PNGS Reva Diamond Jewellery IPO, covering its business operations and fundamental analysis from its RHP to help you make an informed investment decision.

PNGS Reva Diamond Jewellery IPO Review

PNGS Reva Diamond Jewellery Limited's IPO is open for subscription from February 24, 2026, to February 26, 2026, with listing expected on March 04, 2026, on NSE and BSE.

The company is a retail-focused jewellery brand specializing in high-quality, contemporary designs made with natural diamonds and precious stones. Operating under the flagship brand "Reva," it functions as a design-led player in the Indian gems and jewellery ecosystem. As of September 30, 2025, the company serves customers through a network of 34 stores across 25 cities. Its core business focuses on diamond-studded ornaments in gold and platinum, as well as plain platinum jewellery, which serves as the primary driver of its revenue.

The platform serves a diverse customer base across a regional network in Maharashtra, Gujarat, and Karnataka. The company leverages a design-first, scalable retail platform that integrates an in-house design team with expert external craftsmanship. The company identifies P. N. Gadgil & Sons Limited, Govind Vishwanath Gadgil, and Renu Govind Gadgil as its promoters, who collectively hold 83.04% of the pre-issue paid-up equity share capital.

The company operates within the Indian gems and jewellery industry, which is undergoing a structural shift from unorganized to organized retail. The domestic market was valued at approximately Rs 8.80 lakh crore in 2024 and is projected to grow at a CAGR of 11.7% to reach Rs 15.33 lakh crore by CY29. This growth is fueled by increasing consumer preference for branded jewellery, mandatory hallmarking (HUID), and rising disposable incomes among the middle class, particularly in high-margin segments like diamond-studded gold jewellery.

PNGS Reva Diamond Jewellery’s financial performance reflects robust growth and high operational efficiency. Revenue from operations grew from Rs 198.85 crore in FY23 to Rs 258.18 crore in FY25, reporting Rs 156.72 crore for H1 FY26. Profit After Tax (PAT) rose from Rs 51.75 crore in FY23 to Rs 59.47 crore in FY25, with a reported PAT of Rs 20.13 crore for H1 FY26.

The company maintains industry-leading margins, with an Adjusted EBITDA margin of 30.83% and a Return on Equity (RoE) of 34.08% in FY25, significantly outperforming listed peers like Senco Gold and TBZ in terms of profitability ratios.

Key strengths include its Established Brand Legacy (linked to P. N. Gadgil & Sons’ 190-year history), a Diversified Product Portfolio across various price points, and Robust Internal Controls for inventory management. Risks involve Significant Geographic Concentration (97.54% of revenue from Maharashtra), Competitive Threats from Lab-Grown Diamonds, and High Working Capital Requirements due to intensive inventory needs (360 inventory days in FY25).

The IPO consists of a total book-built issue worth Rs 380 crore, entirely of a Fresh Issue with no Offer for Sale (OFS) component. The proceeds will be used for setting up 15 new brand-exclusive stores (Rs 286.56 crore), funding marketing and brand awareness (Rs 35.40 crore), and general corporate purposes.

Shares are priced in the band of Rs 367 to Rs 386 per share, with a lot size of 32 Shares.

Company Overview of PNGS Reva Diamond Jewellery IPO

PNGS Reva Diamond Jewellery Limited is a retail-focused jewellery brand that specialises in providing a wide range of jewellery made using natural diamonds and precious and semi-precious stones. The company operates as a design-led player in the highly competitive Indian gems and jewellery ecosystem and is a provider of high-quality, contemporary jewellery through its flagship brand, "Reva", serving customers across a network of 34 stores as of September 30, 2025.

Its core business focus is on the retail sale of diamond-studded ornaments in gold and platinum, as well as plain platinum jewellery, which forms the backbone of its revenue from operations.

The diversified product portfolio includes specialized design categories primarily retailed through its various store formats:

• Rings: A high-volume segment featuring diamond and gemstone settings in hallmarked gold and platinum.

• Mangalsutras: A significant revenue driver blending traditional cultural significance with modern diamond aesthetics.

• Earrings and Necklaces: Intricate, high-value bridal and everyday wear collections curated by an in-house design team.

• Platinum Jewellery: A modern segment catering to the growing preference for minimalist and premium metal accessories.

The retail presence serves an ecosystem of diverse customers across a regional network, including significant operations in Maharashtra, Gujarat, and Karnataka as of September 30, 2025.

The core operational strength is built around a design-first, customer-led, and scalable retail platform with a commitment to operational excellence. This strength is demonstrated by its internal control and inventory management systems, resulting in high-quality certified jewellery and a dual design approach that combines in-house creativity with expert external craftsmanship.

Furthermore, the company has successfully expanded its presence across 25 cities in Western India, maintaining a constant focus on trust and authenticity through hallmarked products and IGI or GIA certifications. As of September 30, 2025, the company has achieved significant scale with Rs 156.72 crore in half-yearly revenue from operations.

The table below provides the product-wise revenue segmentation for the company as of September 30, 2025:

The company identifies P. N. Gadgil & Sons Limited, Govind Vishwanath Gadgil, and Renu Govind Gadgil as its promoters. The promoters collectively hold 83.04% of the pre-issue paid-up equity share capital. Key leadership includes Amit Yeshwant Modak (Whole-time Director and CEO), Govind Vishwanath Gadgil (Chairman and Non-executive Director), and Kisan Maruti Shendkar (Chief Financial Officer).

Industry Overview of PNGS Reva Diamond Jewellery IPO

PNGS Reva Diamond Jewellery Limited operates within the Indian Gems and Jewellery Industry, a significant pillar of the national economy, undergoing rapid structural and formal transformation, primarily driven by increasing consumer preference for branded jewellery, quality assurance through mandatory hallmarking, and the rising disposable income of the Indian middle class.

The total market size for the domestic gems and jewellery industry in India was valued at approximately Rs. 8.80 lakh crore as of Calendar Year (CY) 2024. Within this, the market is expected to grow at a CAGR of 11.7% to reach approximately Rs. 15.33 lakh crore by CY29. This strong trajectory is projected to continue, with the gold jewellery segment, the foundation of the market, expected to reach a value of Rs. 11.55 lakh crore by CY30, growing at a CAGR of 10.9%.

Crucially, the segment remains a high-growth market, with organized firms capturing significant value as consumers move toward trusted brands that provide category expertise, particularly in high-margin segments like diamond-studded gold jewellery. This indicates massive untapped potential in Tier-2 and Tier-3 cities, the expansion of omnichannel retail strategies, and the rising demand for contemporary, lightweight designs among younger professionals and millennials.

Within this intensely competitive and fragmented environment, the industry is navigating challenges such as the potential impact of high and volatile gold prices, vulnerability to a shortage of skilled labour (Karigars), and adapting to evolving regulatory norms, including the mandatory HUID (Hallmark Unique Identification) system and stringent KYC requirements for high-value transactions.

Financial Overview of PNGS Reva Diamond Jewellery IPO

Note:

• Figures for the period ended September 30, 2025, are for six months and are not annualised.

• Return on Equity (RoE): The figures provided in the table above reflect the average shareholders' equity excluding capital reserve.

Revenue from operations has shown robust growth, driven by the expansion of its retail store network. Revenue increased from Rs 198.85 crore in FY23 to Rs 195.63 crore in FY24, then accelerated to Rs 258.18 crore in FY25, indicating healthy growth momentum. This continued into the latest half-year, with revenue reaching Rs 156.72 crore for the six months ending September 30, 2025.

In the EBITDA margin part, core business efficiency is seen through optimised operations derived from leveraging its asset-light shop-in-shop model. The adjusted EBITDA margin stood at 34.56% in FY23, dipped to 28.70% in FY24, and recovered to 30.83% in FY25. For the latest six-month period ending September 30, 2025, the company reported an adjusted EBITDA margin of 19.65%, reflecting the initial impact of transitioning toward a standalone brand-exclusive store model.

Profit After Tax (PAT) has demonstrated a significant turnaround, reflecting the company's successful transition and scale-up. PAT stood at Rs 51.75 crore in FY23, moderated to Rs 42.41 crore in FY24, and reached a high of Rs 59.47 crore in FY25. For the latest six-month period ending September 30, 2025, the company reported a PAT of Rs 20.13 crore.

The PAT margin highlights the company's bottom-line efficiency. The margin was healthy at 26.02% in FY23, shifting slightly to 21.68% in FY24 before rebounding to 23.04% in FY25. For the six months ending September 30, 2025, the PAT margin stood at 12.85%, reflecting consistent operations despite ongoing investments in expanding its own brand-exclusive store presence.

The Return on Equity (RoE) tracks the profitability relative to the average shareholders' equity. The RoE showed a unique trajectory due to the restructuring of capital, moving from 149.14% in FY23 to 34.08% in FY25. This trajectory correlates with the return to profitability and efficient capital utilisation as the company transitions from a partnership segment of its promoter into a full-scale independent corporate entity.

The Debt to Equity ratio highlights the company's financial leverage and risk profile following its corporate conversion. As of March 31, 2025, the ratio stood at 0.37 times, shifting to 0.49 times as of September 30, 2025. This demonstrates a conservative approach to leverage ahead of the PNGS Reva Diamond Jewellery IPO date.

Strengths and Risks of PNGS Reva Diamond Jewellery IPO

Let's examine the strengths and weaknesses to determine if the PNGS Reva Diamond Jewellery IPO is a good or bad investment for investors.

Strengths

• Established Brand Value and Promoter Legacy: PNGS Reva Diamond Jewellery Limited upholds the legacy of its Corporate Promoter, P. N. Gadgil & Sons Limited, which has over 190 years of experience in the gems and jewellery sector. As of September 30, 2025, the company achieved a significant scale with half-yearly revenue of Rs 156.72 crore, leveraging this historical trust to maintain market position and customer loyalty.

• Regional Expertise with Concentrated Footprint: The company possesses deep technical and market knowledge across Tier-1, Tier-2, and Tier-3 cities in Maharashtra, Gujarat, and Karnataka. This regional focus allows for operational efficiencies, lower logistics costs, and a supply chain that is highly responsive to local demand patterns and festive buying cycles in Western India.

• Diversified Product Portfolio across Price Points: As a design-led brand, "Reva" offers a comprehensive range of diamond-studded and precious stone jewellery starting from an accessible entry point of approximately Rs 20,000. This versatility allows the brand to cater to both high-value bridal segments and the growing demand for modern everyday wear.

• Dual Design Strategy and Quality Assurance: The company utilizes a unique methodology that integrates an in-house design team with a trusted network of third-party manufacturing partners. This approach ensures a constant influx of contemporary designs while maintaining strict quality control, with products carrying HUID hallmarking and GIA or IGI certifications.

• Internal Controls and Robust Inventory Management: The company has implemented a scalable operational platform featuring a centralized ERP system for real-time tracking of every item via unique barcodes. This is supported by 24/7 security protocols and comprehensive jewellers' block insurance, ensuring high operational integrity across its 34-store network.

Risks

• Significant Geographic Concentration: The company is highly vulnerable to regional risks, as it derived 97.54% of its revenue from operations in Maharashtra during the six-month period ended September 30, 2025. Any negative economic, social, or political developments in this specific region could severely harm its financial health.

• Dependence on Corporate Promoter Reputation: PNGS Reva is significantly dependent on the brand equity and customer perception of its Corporate Promoter, P. N. Gadgil & Sons Limited. Any reputational damage to the "PNGS" name or a reduction in footfall at the shop-in-shop locations could directly impact the company's sales and profitability.

• Competitive Threat from Lab-Grown Diamonds: The natural diamond industry faces intense competition from lab-grown or synthetic diamonds, which are gaining popularity due to lower costs and increasing consumer acceptance. Failure to successfully differentiate its natural diamond offerings could lead to a decrease in demand and market share.

• Inventory Management and Working Capital Pressure: The company’s business model is working-capital intensive, requiring high inventory levels to meet seasonal demand. In Fiscal 2025, the inventory days stood at 360 days. Inability to accurately forecast demand or maintain optimal stock levels could lead to excess inventory or lost sales opportunities.

• Indebtedness and Restrictive Covenants: As of September 30, 2025, the company had total outstanding borrowings of Rs 130.25 crore. Any inability to comply with repayment schedules or restrictive covenants in its financing agreements, such as maintaining specific shareholding patterns, could adversely affect its financial condition and expansion plans.

Strategies of PNGS Reva Diamond Jewellery IPO 

• Expand Brand-Exclusive Retail Footprint: A core pillar of the growth strategy is to launch 15 new brand-exclusive stores (COCO model) across India by Fiscal 2028. Earmarking Rs 286.56 crore of the net proceeds for this purpose, the company aims to move beyond the shop-in-shop model to have greater control over customer experience and brand presentation.

• Enhance Local Brand Awareness via Targeted Marketing: The company intends to deploy Rs 35.40 crore toward marketing and promotional activities specifically for the launch of its 15 new stores. This strategy focuses on generating localized brand visibility through high-impact outdoor, print, radio, and television advertisements in new catchment areas.

• Focus on Increasing Operational Productivity: The company intends to focus on increasing revenue and the number of bills in its existing 34 stores. By intensifying WhatsApp marketing and digital campaigns to attract more footfall, the firm aims to maximize the productivity and order volume within its current operational area of 647.15 running feet.

• Strengthen Digital Presence and Online reach: PNGS Reva aims to solidify its position in the online space by setting up its own e-marketing website and leveraging the existing digital platform of its Corporate Promoter. This strategy is designed to tap into a larger customer base, assess demand patterns, and drive data-led decisions for future physical expansions.

PNGS Reva Diamond Jewellery IPO vs. Peers

PNGS Reva Diamond Jewellery Limited reported revenue from operations of Rs 258.18 crore in FY25. On a restated basis, the company's revenue is lower compared to its larger listed peer group, which includes Senco Gold Limited (Rs 6,328.07 crore), Thangamayil Jewellery Limited (Rs 4,910.58 crore), and Tribhovandas Bhimji Zaveri Limited (Rs 2,620.48 crore). This comparison indicates that while PNGS Reva is a high-growth, brand-exclusive player, its current scale is smaller than that of these established national and regional market leaders.

In terms of core operating profitability, the company's adjusted EBITDA margin for FY25 stood at 30.83%. The adjusted EBITDA margin is significantly higher than that reported by its key listed peers, Tribhovandas Bhimji Zaveri Limited (6.60%), Senco Gold Limited (5.81%), and Thangamayil Jewellery Limited (4.46%), indicating a strong competitive edge in operational efficiency. This superior margin profile is primarily derived from the company's specialised focus on high-margin diamond-studded ornaments compared to the gold-heavy revenue mix of its larger peers.

The Company is demonstrating robust capital efficiency, reflected by a Return on Equity (RoE) of 34.08% in FY25 (calculated excluding capital reserves). This RoE is notably higher than the RoE reported by its peer group for the same period, including Thangamayil Jewellery Limited (10.77%), Tribhovandas Bhimji Zaveri Limited (10.41%), and Senco Gold Limited (8.09%). This trajectory highlights the highly profitable and capital-efficient nature of PNGS Reva’s shop-in-shop and design-led business model as it prepares to scale through the launch of brand-exclusive stores across the Indian jewellery market.

Objectives of PNGS Reva Diamond Jewellery IPO

The offering consists of a total book-built issue worth up to Rs 380 crore, which is comprised entirely of a fresh issue of shares. This IPO does not include an offer for sale (OFS) component, which means 100% of the proceeds will be received by the company to fund its expansion.

As there is no offer for sale, no proceeds will be paid to the promoters nor any other existing shareholders from this transaction.

The Rs 380 crore fresh issue proceeds will be used for:

• New Store Expansion: Rs 286.56 crore for funding the setting up of 15 new brand-exclusive stores across Tier-1 and select Tier-2 cities in India.

• Brand Awareness & Marketing: Rs 35.40 crore for marketing and promotional activities specifically related to the launch of these 15 new stores to enhance the visibility of the "Reva" brand.

• General Corporate Purposes: The balance amount will be utilized for strategic initiatives and meeting the company's general corporate needs.

PNGS Reva Diamond Jewellery IPO Details

IPO Dates

PNGS Reva Diamond Jewellery IPO will be open for subscription from February 24, 2026, to February 26, 2026. The allotment of shares to investors will take place on February 27, 2026, and the company is expected to be listed on the NSE and BSE on March 04, 2026.

IPO Issue Price

PNGS Reva Diamond Jewellery is offering its shares in the price band of Rs 367 to Rs 386 per share. This means you would require an investment of Rs. 12,352 per lot (32 shares) if you are bidding for the IPO at the upper price band.

IPO Size

PNGS Reva Diamond Jewellery is offering a total fresh issue of 98,44,559 shares amounting to Rs 380 crore, to be utilised in line with the company’s stated objectives.

IPO Allotment Status

Investors who applied for the IPO can check their IPO allotment status on February 27, 2026, through the registrar's website, Bigshare Services Private Limited, BSE, NSE, or through the stockbroker platform.

IPO Listing Date

The shares of PNGS Reva Diamond Jewellery are expected to be listed on the NSE and BSE on March 04, 2026.

IPO Application Link

Open demat account with Rupeezy today and enjoy a seamless experience when applying for the IPO. With an easy-to-use platform, Rupeezy makes the IPO application process quick and hassle-free.

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