Urban Company posted a consolidated net loss of ₹92.1 Cr in Q1 FY27 as against a profit of ₹6.9 Cr in the year-ago period
The company had posted a loss of ₹161.2 Cr in the preceding March quarter
Total expenses stood at ₹639.9 Cr during the quarter
Home services company Urban Company
posted yet another loss-making quarter, reporting a consolidated net loss of ₹92.1 Cr in Q1 FY27 as against a profit of ₹6.9 Cr in the year-ago period.
The company had posted a loss of ₹161.2 Cr in the preceding March quarter.
Operating revenue zoomed 43.9% to ₹528.3 Cr during the quarter under review from ₹367.3 Cr in Q1 FY26.
Overall adjusted EBITDA loss for the quarter stood at ₹65 Cr as against an EBITDA profit of ₹21 Cr in the year-ago quarter and EBITDA loss of ₹98 Cr in Q4 FY26.
Total expenses surged 66.5% YoY to ₹639.9 Cr during the quarter as the company continued to invest aggressively to ramp up its instant home services vertical InstaHelp. The company said InstaHelp saw improvement in unit economics despite “rapid scale-up”.
InstaHelp’s revenue grew 26% QoQ to ₹11 Cr, while adjusted EBITDA loss ballooned to ₹132 Cr in the quarter under review from ₹13 Cr last March quarter. The company reiterated that it expects InstaHelp loss to remain elevated due to investments to cement its “leadership position”.
“In this phase of category development, we are prioritising market leadership over everything else,” it said. Meanwhile, it also announced an investment of ₹132 Cr in the InstaHelp segment during the quarter under review.
Excluding InstaHelp, the company’s overall adjusted EBITDA for the quarter would come in at ₹67 Cr.
On a consolidated basis, net transaction value (NTV) grew 42% YoY to ₹1,465 Cr in the quarter under review. On the operational front, Urban Company’s platform grew by 1.2 Mn new users during the quarter. Orders delivered during the quarter reached 13.2 Mn, up 79% YoY.
Apart from InstaHelp growth, Urban Company also named its international business as one of the key profit engines in the quarter under review.
The NTV Middle East grew 76% YoY during the geopolitical conflicts. Meanwhile, Singapore and UAE continued to deliver profitable growth.
“We remain confident that our international business can become a large and durable contributor to Urban Company’s long-term profitability,” the statement added.
Shares of Urban Company ended today’s trading session 0.73% lower at ₹129.35 on the BSE.
Source: Inc42 - Startups
