Awfis Q1: Profit Surges 3.6X YoY To INR 10 Cr

Listed coworking space provider Awfis’ consolidated net profit zoomed over 257% to INR 10 Cr in Q1 FY26 from INR 2.8 Cr in the same quarter a year ago on the back of growth in its top line and improvement in margins. Sequentially, the company’s profit declined 12% from INR 11.2 Cr.

Operating revenue zoomed 30% to INR 334.7 Cr from INR 257.7 Cr in Q1 FY25. However, it declined marginally from INR 339.7 Cr revenue in Q4 FY25.

Including other income of INR 18.3 Cr, total incoe for the quarter stood at INR 353 Cr. Meanwhile, total expenditure rose 29% YoY to INR 342.7 Cr during the quarter under review.  

EBITDA zoomed 60% YoY to INR 127 Cr, while EBITDA margin improved to 37.8% from 30.7% in the year-ago period.

The revenue generated from rent for coworking spaces and allied services rose 50% YoY to 276.2 Cr, while construction and fit-out of projects vertical saw a 13% YoY decline in revenue to INR 58.5 Cr.

To augment its B2B business revenue stream, Awfis announced an investment of INR 8 Cr to INR 10 Cr in its new office furniture and furnishing business. The company announced its entry in the vertical while releasing its Q4 FY25 numbers. Under this, it will manufacture furniture and furnishing materials used in office fitouts. 

With this, it expects to improve cost optimisation across its own workspace fit-outs, enhance control over quality, timelines, and customisation for internal fit-out needs, and get into contract manufacturing tie-ups.

Awfis’ Seat Count Goes Past 1.5 Lakh Mark

The company added over 21,000 seats and opened 14 new centres during the quarter, taking its total count to 1.55 Lakh seats and 232 centres at the end of the June quarter. It had presence in 18 cities, with a chargeable area under control exceeding 7.8 Mn, at the end of the June quarter.

Awfis chairman Amit Ramani said that the enterprise segment remained a key growth driver, with strong demand from first-time mid-sized GCC entrants and continued expansion by the company’s existing clients.

“As a result, our 100+ seat cohort now contributes 59% of our total portfolio, reinforcing the stickiness and scale of our enterprise relationships,” he added.

In April this year, Ramani told Inc42 that the growth of GCCs being set up by multinationals in the country would result in creating a huge demand for shared workspaces.

Awfis claims to be the market leader in the coworking space segment, with the largest network. While it was the first player in the coworking space provider segment to get listed on the bourses in May last year, its competitors IndiQube and Smartworks also made their public market debuts last month. Meanwhile, WeWork India and DevX are also eyeing public listings. 

With the listing of the two coworking companies last month, shares of Awfis have declined about 12% since July 11. The stock has also crashed about 23% year to date.

However, Awfis continues to be a leader when it comes to profitability. While its profit for FY25 stood at INR 68 Cr, IndiQube and Smartworks posted losses during the year. 

Shares of Awfis ended today’s trading session 1.09% lower at INR 557.05 on the BSE.