Wearable brand Boult tracking rival BoAt’s IPO after a solid year, backs duty barrier against Chinese dumping

Boult Bluetooth earbuds

Homegrown consumer tech brand Boult, riding on a strong FY25, is advancing its plans for an initial public offering (IPO) and is closely monitoring rival BoAt’s upcoming market debut before initiating its own filing process, co-founder and CEO Varun Gupta told Moneycontrol.

“Yes, we are planning to launch our IPO. Our biggest competitor is also filing for an IPO. We'll have to wait and watch because it's coming in the next few months. If it goes well, it's even better news for us, otherwise, we will have to wait for the market to settle,” Gupta said in an interaction with Moneycontrol.

“Our bankers have advised us to wait until June when our competitor plans to launch. We've already completed a lot of backend work, including streamlining different accounts and ensuring everything is ready for preparation,” Gupta added.

India’s second-largest true wireless stereo or earwear maker is on track to close the current fiscal year with Rs 800 crore of revenue, a 33% growth over previous fiscal.

“Our gross merchandise value (GMV) will exceed Rs 1,000 crore. We are profitable and have expanded into new categories,” Gupta said.

The homegrown company, which has peers like BoAt and Noise, expects 25% of its total sales from smartwatch portfolio this fiscal, while audio devices should contribute around 75%. The company aims to increase profitability next fiscal by expanding into categories such as home audio and car dash cams.

BoAt—India's top audio brand—is readying a $300-500 million IPO that values the company at over $1.5 billion. Having filed the draft paper for a public issue in 2022, BoAt halted the plans citing market conditions, instead raising $60 million in private capital.

Seeking Anti-Dumping Duties on Chinese Brands

Concerned over growing presence of Chinese brands in India’s audio market, Gupta said that Boult is willing to collaborate with its larger Indian rival and the government to advocate anti-dumping duties on Chinese brands.

Recently, BoAt's parent company, Imagine Marketing, had urged Centre to impose anti-dumping duties on audio products from Chinese brands such as Realme, Oppo, and OnePlus - part of the BBK Group - to protect the domestic True Wireless Stereo (TWS) market. However, unlike BoAt, Gupta’s Boult is not overly concerned with the rise of Chinese competitors, and maintains that Boult’s market share remains intact.

“They [Chinese brands] are taking some market share, but we're not worried because we are growing, and they are not taking away our share. The most significant player in the market was over-penetrated since it was the first organised Indian brand. Now, multiple players are competing for a share,” he said.

Gupta explained that dumping of older products follows a cyclical pattern, adding that Chinese brands offload outdated products every few months. This approach is not viable in the longer term and Chinese makers must prioritise profitability sooner or later.

“Since many of their products are still manufactured in China, import duties make them less profitable. Moreover, they lack a deep understanding of Indian consumers,” he said.

Global Expansion Plans

Boult is also gearing up for expansion into Western markets, aiming to establish a presence in over 50 countries, with a strong focus on the US and the UK. By FY30, the company is targeting $1 billion in revenue, with international businesses contributing 30-50% of overall revenue.

Gupta emphasised the importance of a production-linked incentive (PLI) scheme for the wearable segment to help Indian companies become global brands. “We've been waiting for the PLI scheme for a long time… We are already manufacturing in India and are eager to export,” he said.

The company has also collaborated with Ford Mustang to launch new affordable audio products. It is now in talks with partnerships with several companies, including Bose, which recently invested in its rival Noise.

"Bose is in an open partnership with Noise, and they can still lend technology to other companies," said Boult’s Varun Gupta.

Data from market research firm IDC showed India’s wearable device shipments declined year-on-year for the first time in 2024, dropping 11.3% from 134 million units in 2023. Smartwatches sold less, while the audio earwear category saw a modest YoY growth of 3.8% at 83.5 million units.

Among Indian brands in the earwear category, Boult had the highest growth rate in 2024, emerging as the second-largest player in the segment with a 13% market share. However, its smartwatch category fell 1.6% YoY in 2024.