Eyewear brand Lenskart Solutions has outlined a strong brand marketing agenda in its draft red herring prospectus (DRHP) filed with SEBI, ahead of its proposed Rs 2,150 crore initial public offering (IPO). The company plans to allocate Rs 320 crore from the proceeds specifically towards brand marketing and promotional efforts.
According to the filing, the funds will be used to scale content-led digital campaigns, celebrity endorsements, television advertisements and influencer-driven initiatives with the goal to boost brand presence in both Indian and international markets.
As part of this strategy, a significant portion of the marketing budget will reportedly be channeled through Starcom (TLG India), Lenskart’s long-term media agency, under a Rs 400 crore media services agreement that extends until 2029.
According to the media reports, Lenskart reported an advertising and marketing spend of Rs 448.41 crore in FY25, marking an increase from Rs 352.1 crore in FY24. The company currently employs 169 professionals in its marketing and sales division. It attributes improved cost efficiency to its omnichannel model, which leverages digital platforms, physical stores, and home visits to drive integrated marketing efforts.
Marketing costs as a share of revenue declined to 6.74% in FY25 from 7.76% in FY23. This reduction, Lenskart noted, stems from 'tightly integrated campaigns across platforms and a strategic shift to influencer-led content and performance tracking.'
Beyond marketing, Lenskart has earmarked Rs 272.6 crore for the expansion of company-owned retail outlets and Rs 591.44 crore towards lease-related expenses. An additional Rs 213.37 crore is set aside for investment in technology and cloud infrastructure. The company also noted that a potential Rs 430 crore pre-IPO placement could adjust the final size of the fresh issue.
According to the reports, Lenskart turned profitable in FY25, posting a net profit of Rs 297.3 crore. Revenue rose to Rs 6,652 crore, up from Rs 5,428 crore in FY24, while EBITDA grew to Rs 1,115 crore from Rs 763 crore the previous year.
The IPO is reportedly being managed by Kotak Mahindra Capital, Morgan Stanley, Avendus, Citi, Axis Capital, and Intensive Fiscal Services.