They say that diamonds are forever. The gemstones or jewels glorify one’s attire. They are not just used as accessories but also have a significant impact on how we behave in certain situations. India is one of the leading nations when it comes to gold reserves as well. The people of India are very fond of buying diamonds and other jewels. Especially at the times of festivals like Diwali, it is an unsaid custom or tradition to buy jewels. For a long time, people have been purchasing these jewels by going to the markets – checking one shop after another, comparing the purity and prices of these gemstones which sometimes leads to frustration among customers. There should be a way of getting these diamonds to discerning Indian consumers through online stores.
This is exactly what Mithun Sacheti thought of and made his life’s mission to get Indians to buy diamonds online. Hailing from a family deeply entrenched in the gemstone business, Mithun’s early exposure to the craft of jewelry, guided by his hardworking mother and financially astute father, set the stage for his entrepreneurial foray. He and Srinivasa Gopalan founded Caratlane – an online jewelry store that provides access to a wide range of loose gems and diamonds for the gem and jewelry market. The D2C firm is a subsidiary of Titan Co.
Recent In News
Khyaal, India’s number-one app for senior citizens recently announced its strategic partnership with the Chennai-headquartered Caratlane to introduce Khyaal Digi-Gold—a secure, hassle-free digital gold investment solution tailored for seniors. Earlier in the year, the fashion tech firm partnered with PhonePe to help consumers save and redeem their accumulated Digital Gold for jewelry.
First Traction
The D2C company received its first funding in the Series A round on 3 February 2011. The amount of the funding was $5.9m and the investment was led by Tiger Global Management.
Year-over-Year Analysis
For the FY20, the valuation of the company stood at $115M. The total revenue generated by the firm was ₹628.6Cr. The firm has raised $57.9M by the end of this fiscal year. A net loss of ₹27.3 Cr was incurred by the firm in 2020.
In 2021, the total revenue grew by a mere 15% to ₹723Cr from ₹628.6Cr in the last year. The firm didn’t manage to raise any funds this year. The fashion tech company entered the profitability bracket in FY20-21 with a net profit of ₹1.6Cr recorded by the startup.
The next financial year the observed growth rate stood at nearly 75%. The gross revenue in FY22 was ₹1,264.6Cr. Continuing the trend, the company didn’t secure any funds in the year.The company though remained in the profitability bracket as it recorded a net profit of ₹89.3Cr in 2022.
As of FY23, the overall revenue surged to ₹2,187.9Cr from ₹1,264.6Cr in the previous financial year. The observed growth rate was 73%. The net profits show a small decline to ₹82.1Cr from ₹89.3Cr in the previous fiscal year.
For FY23-24, the company hasn’t managed to secure any funding from venture firms or any other source. The online diamond seller company is yet to file its financial report with the Registrar of Companies (RoC) for the financial year of 2024.
Expansion
In 2023, the Tiger Global-backed firm opened 20 new stores on the same day Pan India across cities like Anantapur, Pondicherry, Ajmer, Kangra, and Patna to take its store count to 220. The launch of these stores is a part of Caratlane’s aggressive expansion plan, which includes opening stores in tier 2, and 3 cities across India. It also launched its brand new and beautiful collection, En Vogue.
Competitors
The omnichannel jeweler Cartlane’s alternatives include GIVA, BlueStone, Melorra, Aulerth, Zavya, and Tyaani Jewellery. The Chennai-based company currently has a 28% market share.
