BoAt's local production jumps to 76%; hits 3x localisation in 2 years

IPO-bound wearable and audio brand cements its position as one of India's most vertically integrated consumer tech companies, manufacturing over 75 million units in India as of June 30, 2025

IPO-bound wearable and audio brand BoAt has claimed to have strengthened its position as one of India’s most vertically integrated consumer tech companies, manufacturing over 75 million units in India as of June 30, 2025, and transitioning 75.83 per cent of total production to domestic facilities in the first quarter of financial year 2026 (Q1FY26), up sharply from 39.65 per cent in FY23, according to its updated draft red herring prospectus (UDRHP-1) filed with the Securities and Exchange Board of India.

 

The company’s rapidly scaled manufacturing backbone, supported by its joint venture with Dixon Technologies-Califonix Tech and Manufacturing Private Limited and a broad network of contract manufacturers, now anchors a supply chain built for speed, cost efficiency and long-term resilience.

 

For the three-month period ended June 30, 2025, BoAt produced 6.36 million units in India, compared with 4.42 million units a year earlier, underscoring the success of its “Make in India” strategy and deep localisation efforts across critical components such as PCBs, batteries and plastics, the firm said.

 

At the centre of this transformation is Califonix, the dedicated joint venture for bluetooth-enabled wireless personal audio products, which has become a cornerstone of BoAt’s domestic manufacturing shift.  Califonix accounted for 37.46 per cent of total units in Q1FY26, producing 3.19 million units.

 

Over FY25, it manufactured 13.44 million units, translating into a robust 44.80 per cent capacity utilisation against an annual installed capacity of 30 million units, up from 29.03 per cent utilisation in FY24.

 

This expansion has strengthened process control, quality oversight and supply continuity, with all JV-produced units manufactured exclusively for BoAt.

 

Complementing this is BoAt’s flexible contract manufacturing base, both in India and overseas, that allows the company to scale output, optimise category-wise capacity and maintain agility.

 

The company’s localisation strategy extends beyond assembly into component-level manufacturing, a key step in reducing import dependency and enhancing cost competitiveness.

 

By transitioning the production of PCBs, batteries, plastics and straps to domestic suppliers, BoAt expects 15-20 per cent savings in duty costs versus finished goods imports.

 

The localisation pipeline is already advanced. As of June 30, 2025, BoAt had localised a majority of PCB (printed circuit board) supply volumes, with trials for additional components underway.

 

These initiatives are expected to materially improve price competitiveness, shorten lead times, strengthen supply chain resilience and enable faster product iterations. This is an essential advantage in high-velocity categories like audio and wearables.

 

The company’s manufacturing model offers strong strategic leverage. BoAt controls product design specifications, engineering standards and the manufacturing process. It does this while working in close coordination with suppliers and manufacturing partners to customise components such as chipsets and PCBs.

 

This allows for high degrees of product standardisation, stringent quality control, seamless integration of new technologies and faster time-to-market. Through value engineering initiatives, BoAt has also optimised cost structures without compromising performance, resulting in lower warranty costs, improved component reliability and enhanced consumer satisfaction.

 

BoAt’s supply chain transformation is reinforced by favourable policy tailwinds. India’s manufacturing ecosystem has been accelerated by the “Make in India” program, the Phased Manufacturing Programme (PMP) for wearables and hearables, and Production Linked Incentive (PLI) schemes.

 

As of March 2025, PLI investments across electronics exceeded ₹1.76trillion, with cumulative production crossing ₹16.50trillion, signalling an industry-wide shift to domestic production.