How to Study Balance Sheet of a Company: Easy Guide for Beginners
26 Oct 2025
Lenskart IPO: India's leading eyewear retailer goes public in 2025
Lenskart IPO: Key Details at a Glance
Lenskart, India's leading eyewear retailer, is all set to launch its much-anticipated Initial Public Offering (IPO) in 2025. After years of speculation, the company has officially filed its draft red herring prospectus (DRHP) with SEBI, marking a significant milestone in its growth journey.
Founded in 2010 by Peyush Bansal, Lenskart has revolutionized the eyewear industry in India with its omni-channel approach, combining online presence with extensive physical retail network.
IPO Quick Facts
| Parameter | Details |
|---|---|
| IPO Dates | October 31 - November 4, 2025 (Tentative) |
| Price Band | ₹382 - ₹402 per share |
| Lot Size | 37 Shares |
| Minimum Investment | ₹14,874 |
| Total Issue Size | ₹7,278 Crores |
| Fresh Issue | ₹2,150 Crores |
| Offer for Sale (OFS) | ₹5,128 Crores |
| Listing On | BSE & NSE |
Company Overview: Why Lenskart Matters
Business Model
Lenskart operates as an integrated eyewear retailer with a unique omni-channel strategy:
- Online Platform: E-commerce website and mobile app
- Physical Stores: 2,000+ stores across 300+ cities
- Home Eye Checkup: Unique service reaching 500+ cities
- Manufacturing: Vertically integrated with own factories
Market Position
Lenskart dominates the organized eyewear market in India:
- Market leader in organized eyewear retail
- Over 10 million customers served
- Presence in India, Singapore, and Middle East
- Strong brand recall and customer trust
Financial Performance Analysis
Lenskart has shown remarkable financial turnaround in recent years:
| Financial Metric | FY 2023 | FY 2024 | FY 2025 | Trend |
|---|---|---|---|---|
| Revenue (₹ Cr) | 2,345 | 3,215 | 4,100 | 📈 Strong Growth |
| Net Profit (₹ Cr) | -185 | -10 | +297 | 📈 Profitable Now |
| EBITDA Margin | 8% | 12% | 18% | 📈 Improving |
| Stores Count | 1,200 | 1,600 | 2,000+ | 📈 Rapid Expansion |
💡 Key Financial Insight
Lenskart achieved profitability in FY25 after years of investments, showing the business model has reached maturity. The company turned cash flow positive, indicating sustainable operations.
IPO Structure and Use of Proceeds
Offer Structure
- Fresh Issue: ₹2,150 crores (New shares)
- Offer for Sale: ₹5,128 crores (Existing shareholders)
- Total Issue Size: ₹7,278 crores
Use of Fresh Issue Proceeds
Store Expansion
Opening new company-owned stores across India and international markets
Technology Upgrade
Investment in AI, mobile apps, and omnichannel capabilities
Marketing & Branding
Enhanced marketing spends to strengthen brand positioning
Working Capital
General corporate purposes and working capital requirements
Strengths and Competitive Advantages
Market Leadership
Dominant position in organized eyewear retail with strong brand recall
Omni-channel Strategy
Seamless integration of online and offline customer experience
Technology Edge
Proprietary technology for virtual try-ons and home eye checkups
Vertical Integration
Control over manufacturing, supply chain, and retail
Risks and Challenges
⚠️ Key Risks to Consider
- Intense Competition: From both organized and unorganized players
- Growth Sustainability: Maintaining current growth rates may be challenging
- Economic Sensitivity: Eyewear is discretionary spending
- International Expansion: Execution risks in new markets
- Valuation Concerns: Rich valuations compared to peers
Valuation Analysis
| Valuation Metric | Lenskart | Industry Average | Assessment |
|---|---|---|---|
| P/E Ratio (FY25) | 235x | 45-60x | Premium Valuation |
| Price/Sales (FY25) | 17x | 8-12x | Higher than Peers |
| Market Cap (Post-IPO) | ₹70,000 Cr | - | Large Cap Entry |
Note: Lenskart is commanding premium valuations due to its market leadership, growth trajectory, and profitability turnaround. However, investors should be cautious about rich valuations.
How to Apply for Lenskart IPO
Step-by-Step Application Process
- Step 1: Ensure you have a Demat account
- Step 2: Check your bank's ASBA facility
- Step 3: Apply through net banking or trading platform
- Step 4: Select bid price and quantity
- Step 5: Submit application before deadline
Investment Categories
- QIB: 50% of shares reserved
- NII: 15% of shares reserved
- Retail: 35% of shares reserved
Expert Opinion: Should You Invest?
✅ Bull Case (Reasons to Invest)
- Market leadership in growing eyewear industry
- Proven omni-channel business model
- Recent profitability and positive cash flows
- Strong brand and customer loyalty
- Experienced management team
❌ Bear Case (Reasons to Avoid)
- Rich valuations leave little margin of safety
- Intense competition from new entrants
- Execution risks in international expansion
- Economic slowdown could impact discretionary spending
- Large OFS indicates existing investors exiting
Final Verdict
Investment Recommendation
For Long-term Investors: SUBSCRIBE - Strong business model, market leadership, and growth potential justify consideration for long-term portfolios.
For Short-term Traders: CAUTIOUS - Rich valuations might limit listing gains. Better to wait for post-listing opportunities.
Risk Appetite: Moderate to High - Suitable for investors comfortable with premium valuations and growth stocks.
Important: This analysis is for educational purposes only. Always do your own research and consider consulting with a financial advisor before making investment decisions.
Key Dates to Remember
- IPO Opening Date: October 31, 2025
- IPO Closing Date: November 4, 2025
- Allotment Finalization: November 7, 2025
- Refund Initiation: November 8, 2025
- Share Credit to Demat: November 9, 2025
- Listing Date: November 10, 2025
