Jewelry startup Giva showcased remarkable financial performance in FY24, achieving a 66% surge in operating revenue to ₹274 crore from ₹165 crore in FY23. This growth coincides with the company securing $30 million in an extended Series B round led by Premji Invest. Despite the impressive revenue spike, Giva’s losses grew by 31% year-over-year, amounting to ₹59 crore during the same period.
The Bengaluru-based omnichannel jewelry brand, known for its affordable pieces, has diversified into gold jewelry and lab-grown diamonds. With over 150 physical stores across India, Giva has adopted a franchise-led model to expand its reach. Its primary revenue stream remains the sale of jewelry and related products.
Financial Breakdown and Rising Costs
The cost of procuring metals and diamonds formed 34% of Giva’s overall expenses, rising 53.3% to ₹115 crore in FY24 from ₹75 crore in FY23. Branding and marketing costs amounted to ₹87 crore, while employee benefits surged by 2.38 times, reaching ₹50 crore. Additional overheads like shipping, commissions, rent, and legal fees drove the company’s total expenses up by 59.4% to ₹338 crore in FY24.
Giva’s ROCE and EBITDA margin improved to -24.4% and -17.1%, respectively. However, the company spent ₹1.23 to generate every rupee in revenue, indicating a high cost of operations. The startup closed FY24 with ₹83 crore in cash and bank balances, while its total current assets stood at ₹244 crore.
Competitive Landscape and Sector Challenges
Led by Ishendra Agarawal, Giva competes with prominent players such as Melorra, Bluestone, and CaratLane, along with other family-run and funded brands. The company has raised over ₹690 crore across funding rounds, as per startup intelligence platform TheKredible.
While the jewelry market remains attractive, the sector faces challenges, including fluctuating gold prices, reduced gold import duties, and an oversupply of lab-grown diamonds. Despite these headwinds, Giva’s strong revenue growth and efforts to reduce losses signal its potential to emerge as a key player in the market.
Looking ahead, consistent performance and adaptability to market dynamics could further cement Giva’s position in the jewelry industry.