The race for supremacy in the online jewellery retailing segment has tightened, with the gap in revenue of the top two players—Caratlane and Bluestone—halving in the last financial year.
Carat Lane Trading Pvt Ltd, which runs Caratlane.com, posted a 9.5% increase in net sales to Rs 131.8 crore for 2015-16 from Rs 120.4 crore the year before, show its filings with the Registrar of Companies.
Bluestone Jewellery and Lifestyle Pvt Ltd, which operates Bluestone.com, reported a 72% rise in net sales to Rs 100.4 crore from Rs 58.4 crore, the company’s RoC filings show. This helped the company shrink its gap with Caratlane to about Rs 31 crore.
However, Bluestone’s bottom line worsened more than that of Caratlane, which is majority-owned by Tata Group’s watch and jewellery retailing arm Titan Co Ltd.
Bluestone posted a net loss of Rs 70.5 crore in 2015-16 compared with Rs 42.8 crore the previous year, as its total costs jumped 69%.
Caratlane’s net loss widened to Rs 62.8 crore from Rs 43 crore; its total expenditure rose 15%.
Both companies had made losses in previous years, too.
Bluestone didn’t respond to an email seeking comment on its financial performance till the time of filing this article. Mithun Sacheti, CEO at Caratlane, said in an email that the company cannot comment because it is the middle of Mumbai-listed parent Titan’s silent period ahead of its quarterly earnings.
Caratlane was founded in 2008 by Srinivasa Gopalan, an IT entrepreneur who was the founder and CEO of Lister Technologies, and Mithun Sacheti, scion of Jaipur Gems.
Bluestone is backed by Accel Partners, Kalaari Capital and Saama Capital. Interestingly, former Tata Group chairman Ratan Tata is an investor in Bluestone.