GoBoult Audio’s Steady Growth in India’s Wearables Market
At this juncture, as India’s wearables market transitions away from its accelerated growth phase, GoBoult Audio has adopted a distinct strategy to achieve steady growth through enhanced cost management. While notable competitors like boAt and Noise reported stagnant or decreasing revenues in FY25, GoBoult managed to continue its growth trajectory, albeit at a more gradual pace compared to previous years.
According to financial records from the Registrar of Companies, GoBoult’s operational revenue rose by 10% to Rs 763 crore in FY25, up from Rs 697 crore in FY24. Although this growth appears more tempered in comparison to the significant increase seen in FY24, even double-digit growth is commendable in the present market context.
Established in 2017, GoBoult Audio is engaged in designing and selling products such as wireless earbuds, headphones, smartwatches, and speakers. The revenue achieved from these product sales remains the sole stream of income for the company.
On the cost front, material expenses, which rely entirely on imports, constitute the bulk of overall expenditures, representing 53% of total costs. Nonetheless, this expenditure saw a decrease of 2.7%, falling to Rs 391 crore in FY25, down from Rs 402 crore in FY24.
Employee benefit expenses surged by 29.6% to Rs 35 crore. Additionally, advertising and promotional expenditures also saw an uptick of 9.3%, reaching Rs 177 crore. After factoring in post-supply discounts, shipping costs, rent, legal fees, and various other overheads, the company’s total spending was recorded at Rs 731 crore in FY25.
Despite a modest increase in revenue, effective cost management greatly enhanced profitability. GoBoult’s net profit soared to Rs 24 crore in FY25, a significant rise from Rs 2.5 crore in FY24. Its EBITDA margin was noted at 6.6%. Per unit, the company expended Rs 0.96 to generate one rupee in FY25.
Notably, GoBoult Audio has yet to seek external funding. In an industry where numerous venture-backed competitors have rapidly expanded in recent years, GoBoult’s figures indicate that a measured approach can be just as effective.
For context, boAt declared a stagnant revenue of Rs 3,073 crore in FY24, achieving a profit of Rs 60.4 crore. Conversely, Noise experienced a 24% decline in revenue to Rs 1,048 crore, yet still managed to report a profit of Rs 3.2 crore following cost reductions.
The overarching trend is unmistakable: the wearables sector is no longer merely focused on aggressive scaling at all costs. The emphasis has shifted towards safeguarding margins and cultivating a sustainable business model. GoBoult’s FY25 results are a testament to this change. Growth may have decelerated, but profitability has seen a robust enhancement, which is paramount in today’s climate.
