BlueStone's Net Loss Shrinks 38.3% in Q2 FY26 Driven by Strong Revenue Growth

BlueStone, an omnichannel jewelry brand, has reported a significant reduction in its consolidated net loss for the second quarter of the fiscal year 2026 (Q2 FY26). The net loss declined by 38.3% to INR 52.1 Crore, compared to INR 84.5 Crore in the same quarter of the previous fiscal year (Q2 FY25). This improvement is primarily driven by strong revenue growth. The company's revenue from operations surged by 37.6% year-on-year, reaching INR 513.6 Crore in Q2 FY26 from INR 373.4 Crore in Q2 FY25. Sequentially, revenue also saw a modest increase of 4.3% to INR 513.6 Crore from INR 492.6 Crore in Q1 FY26.

However, investors should note that these financial figures are not directly comparable. BlueStone made investments in its subsidiary Ethereal House and associate Redefine Fashion. Consequently, its consolidated financial statements became applicable from the quarter ending December 31, 2024 (Q3 FY25). This means the comparative figures from Q2 FY25 might not reflect the same consolidated structure as the current quarter's results. Despite this, the reduction in year-on-year loss and significant revenue growth are positive signs.

**Impact** The improved financial performance, particularly the revenue growth and reduced year-on-year net loss, could be viewed positively by the market, potentially boosting investor confidence in BlueStone's business strategy. However, the non-comparable nature of the year-on-year figures due to investments might introduce caution. The sequential increase in net loss from INR 34.7 Cr to INR 52.1 Cr also warrants attention. The stock price reacting flatly suggests a mixed market sentiment. Impact rating: 7/10

**Difficult Terms** * **Consolidated net loss**: The total loss incurred by a company after combining the financial results of its parent company and all its subsidiary companies, after accounting for minority interests. * **Revenue from operations**: The gross income generated from the company's core business activities before deducting expenses. * **Fiscal year**: A 12-month accounting period used by companies for financial reporting. In India, it typically runs from April 1 to March 31. Q2 FY26 refers to the second quarter of the fiscal year 2025-2026. * **Subsidiary**: A company that is owned or controlled by another company, known as the parent company. * **Associate**: A company in which another company holds significant influence, typically between 20% and 50% of the voting power, but does not have control. * **Sequentially**: Comparing a financial period to the immediately preceding financial period (e.g., comparing Q2 FY26 results to Q1 FY26 results).