*(Transitioning to Guru Krupa Gems and Jewellery Limited)* Bhakti Gems and Jewellery Limited is an integrated manufacturer and wholesaler of branded gold jewellery and ornaments. Headquartered in **Ahmedabad, Gujarat**, the company operates an outbound **B2B model**, supplying finished products to retail jewellery stores. The company is currently undergoing a significant corporate transformation, including a comprehensive rebranding and capital restructuring to support its next phase of expansion. --- ### **Corporate Identity & Strategic Rebranding** In late **2025**, the company initiated a strategic evolution to align its corporate identity with its expanding market footprint and enhanced business operations. * **Name Change:** The company received in-principle approval from the **BSE** in **February 2026** to change its name to **Guru Krupa Gems and Jewellery Limited**. * **Strategic Objective:** This transition is designed to strengthen brand equity, foster stakeholder trust, and reflect a more contemporary market positioning. * **Brand Presence:** The company actively participates in trade fairs and exhibitions to enhance visibility and leverage long-term client relationships to drive sales efficiency. --- ### **Product Portfolio & Manufacturing Strategy** The company specializes in a blend of traditional and contemporary designs, catering to diverse regional aesthetics across India. * **Core Specialization:** Manufacturing of **Antique Gold Jewellery**, gold-based chains, bracelets, and necklaces. * **Materials & Artistry:** Primary raw materials include gold and silver, often embellished with **kundan**, gemstones, precious/semi-precious stones, and **American diamonds**. * **Outsourced Manufacturing Model:** The company utilizes a lean operational model by providing gold bars and raw materials to specialized job workers in **Ahmedabad and Mumbai**. Notably, these operations currently function without formal executed agreements with the job workers. * **Sourcing:** Raw gold and silver are primarily procured through the **bullion market**, supplemented by local procurement in Ahmedabad. --- ### **Capital Structure & Fundraising History** The company has aggressively expanded its capital base to fund working capital and general corporate purposes. **Equity Capital (as of March 31, 2025):** * **Authorized Capital:** **₹15,04,00,000** (**1,50,40,000** Equity Shares) * **Paid-up Capital:** **₹15,03,95,180** (**1,50,39,518** Equity Shares) **Recent Capital Actions:** | Date | Action | Details | | :--- | :--- | :--- | | **June 2023** | **Rights Issue** | Allotted **5,013,173** shares at **₹12** (Ratio **1:2**); raised **₹6.01 Crore**. | | **Sept 2025** | **Ownership Change** | **Kriyansh Gold Private Limited** acquired **1,168,500** shares (**7.77%**) off-market. | | **Dec 2025** | **Capital Increase** | Authorized Capital increased to **₹20.04 Crore**. | | **Jan 2026** | **Preferential Issue** | Approved allotment of **3,200,000** shares to public at **₹28.20** per share. | | **Jan 2026** | **Fundraising Target** | Intended raise of **₹9.02 Crore** for working capital requirements. | --- ### **Financial Performance & Liquidity Management** The company maintains a strategy of profit conservation, consistently reinvesting earnings into operations rather than issuing dividends. **Key Financial Metrics:** | Metric | FY 2022-23 | FY 2023-24 | FY 2024-25 | | :--- | :--- | :--- | :--- | | **Total Income** | **₹102.91 Crore** | - | - | | **Profit After Tax (PAT)** | **₹0.80 Crore** | - | - | | **Reserves & Surplus** | - | - | **₹9.15 Crore** | | **Cash & Equivalents** | **₹0.05 Crore** | **₹6.84 Crore** | - | | **Trade Receivables** | **₹5.20 Crore** | **₹5.20 Crore** | - | | **Total Borrowings** | **₹8.81 Crore** | **₹1.68 Crore** | - | **Liquidity & Debt Profile:** * **Debt Reduction:** Borrowings were significantly reduced by over **₹7 Crore** between 2023 and 2024. * **Short-term Liabilities:** All current financial liabilities, including **Trade Payables** of **₹0.18 Crore**, have a contractual maturity of **less than 1 year**. * **Working Capital:** As of FY2024, the company did not utilize bank working capital limits in excess of **₹5 Crores**. * **Contingent Liabilities:** In **April 2024**, the company provided a **Corporate Guarantee** of **₹7.30 Crore** to **Yes Bank** on behalf of **Bhakti Jewels LLP**. --- ### **Governance & Leadership Structure** The board was recently restructured to oversee the rebranding and expansion phase. * **Managing Director:** **Mr. Akshay Sevantilal Mehta** (Re-appointed for a 5-year term through **Nov 30, 2029**). * **Executive Board Expansion (Jan 2026):** * **Mr. Dhaval Deepak Shah** (Executive Director) * **Mr. Saurabh Mahendra Shah** (Executive Director) * **Independent Oversight:** The board includes **3 Independent Directors**, including newly appointed **Mr. Manoharbhai B. Chunara**. * **Compliance & Audit:** **CS Ayushi Sahu** serves as Company Secretary (effective **April 2024**). **M/s. Shah Karia & Associates** were appointed as Statutory Auditors in **January 2026**. --- ### **Risk Management & Mitigation Framework** The company employs a centralized treasury and a dedicated procurement team to manage the inherent volatility of the jewellery sector. | Risk Category | Mitigation Strategy | | :--- | :--- | | **Commodity Price Risk** | Use of **fixed price contracts** and **commodity derivatives**; no speculative trading. | | **Credit Risk** | Assessment of counterparty financial health; **zero allowance** for bad debts reported in 2024. | | **Liquidity Risk** | Maintenance of credit limits and investment in **highly-rated liquid securities**. | | **Human Resource Risk** | Competitive salary structures and defined growth paths to combat high industry attrition. | | **Legal & Statutory Risk** | Quarterly compliance reporting and access to independent legal counsel. | | **Market Volatility** | Procurement team monitors intelligence to finalize **stocking strategies** and buffer price shifts. | **Operational Outlook:** Audit assessments as of **September 2025** indicate **no material uncertainty** regarding the company’s ability to meet its liabilities for the upcoming year. The company remains a single-segment entity focused exclusively on **Gold & Jewellery Ornaments**.