IPO-bound Urban Company turns profitable in FY25, revenue grows 38%

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Home service marketplace Urban Company posted a consolidated net profit of Rs 239.8 crore in FY25, swinging into the black from a Rs 92.7 crore loss in the previous year.

The company’s revenue from operations rose 38.2 percent year-on-year to Rs 1,144.5 crore, driven by growth in its India and international businesses. A significant portion of the net profit gain was attributed to recognition of deferred tax assets worth Rs 211 crore during the year, in addition to improved cost efficiency and operating leverage.

"The improvement in profitability was primarily driven by the P&L credit attributable to the recognition of a deferred tax asset amounting to Rs 2,112.12 Million in the year ended March 31, 2025," the report notes.

The services marketplace reported an adjusted EBITDA of Rs 11.1 crore, against a loss of Rs 119 crore in FY24. Profit before tax stood at Rs 28.6 crore.

The numbers come as the Gurugram-headquartered company prepares for its market debut. In April, Urban Company filed its draft papers for a Rs 1,900-crore IPO, comprising a Rs 429-crore fresh issue and a Rs 1,471 crore offer for sale by shareholders.

The company also converted into a public limited firm earlier this year and issued bonus shares at a 2,499:1 ratio in February, substantially increasing its share base ahead of listing, the report said.

India business

Urban Company’s India consumer services business brought in Rs 881.4 crore in revenue, up 24.2 percent. Net transaction value (NTV) from the India segment stood at Rs 2,667.2 crore, with 82 percent of it driven by repeat users.

The average number of monthly transacting service professionals in India stood at 45,619 in FY25. Professionals earned an average of Rs 26,407 a month after costs, with top performers earning up to Rs 49,000, it said.

Native and international segments

The company’s hardware vertical Native, which sells smart door locks and RO purifiers, recorded Rs 116 crore in revenue, up over 3x from the previous year. The segment, which the company had entered back in FY23, contributed Rs 155.5 crore in NTV and continues to scale rapidly, with water purifiers emerging as a key driver.

Urban Company’s international business, in the UAE and Singapore, also grew 63.9 percent to Rs 147 crore in revenue. The UAE arm turned EBITDA positive in FY25 with a Rs 1.7 crore profit, even as overall international operations posted an EBITDA loss of a Rs 36.8 crore.

The company exited direct operations in Saudi Arabia during the year, transitioning to a 50:50 joint venture with SMASCO.