Advit Jewels Ltd IPO

Organized Manufacturing Under One Roof.

Design and Innovation: Diversified Product Offering Across Customer Segments.

Robust Operational Systems and Risk Mitigation Framework.

Experienced Leadership with Proven Execution Capability.

Prices of products manufactured by the company is highly dependent on the prices of gold, diamond polki and precious & semi- precious stones and cost of these raw materials comprises 99.85%, 99.66%, 99.95%, 99.76% of total cost of material consumed in production of product for the period ended on December 31, 2025 and for the fiscal years ended on March 31, 2025, 2024 and 2023 respectively. Any non-availability or significant increase in the cost of gold, diamond polki, and other precious or semi-precious stones and absence of long-term contracts with its suppliers could adversely affect the company business, results of operations, financial condition and prospects.

The company inventory holding increased significantly from Rs. 1,041.67 Lakhs in Fiscal 2023 to Rs. 4,491.67 Lakhs in Fiscal 2024 and further to Rs. 10,723.91 Lakhs in Fiscal 2025. Further, inventory constituted 36.38%, 68.99%, 85.07% and 68.68% of its total current assets as of March 31, 2023, 2024 and 2025 and December 31, 2025, respectively. Inventory also represented 22.35%, 64.68%, 85.83% and 79.99% of the company revenue from operations for Fiscal 2023, 2024 and 2025 and the period ended December 31, 2025, respectively, while its inventory holding days were 91 days, 158 days, 199 days and 154 days for the corresponding periods. The high level of inventory maintained by the company exposes its to risks associated with inventory management, demand forecasting, valuation, carrying costs and supply chain disruptions, which may adversely affect the company working capital requirements, liquidity, profitability and overall financial condition.

The company business is significantly dependent on Jaipur City as its entire manufacturing operations is based thereon along with 18.18%, 73.09%, 77.32% and 80.56% of the company total raw material purchases for the period ended on December 31, 2025 and for the Fiscal years ended on March 31, 2025, 2024 and 2023 are sourced from suppliers who are based in Jaipur City. This dependence exposes its to regional risk or a location risk. Any disruption, slowdown, or shutdown in Jaipur City or surroundings areas will affect the company manufacturing operations and/or its principal raw materials supplies which could adversely affect the company business, results of operations, financial condition and cash flows.

The Company has recently acquired a registered trademark for brand name `Rambhajo' from its Promoter Group member by way of assignment, for which approval of form TM - P to record the said assignment is pending. The Company has also made application for registration of brand name `Advit' which is pending. Any inability to protect its brand, business processes or proprietary information may adversely affect the company business, financial condition and results of operations.