Brands
Urban Company revenue rises 34 per cent amid FY26 losses
Firm reports Rs 234 crore net loss and appoints new auditors
MUMBAI: Urban Company has decided it is time for a fresh set of eyes on its books, proving that even for a home-services titan, keeping the fiscal house in order requires more than just a quick dust-over. The company, formerly known as UrbanClap, revealed in its latest audited financial report for the year ending 31 March 2026 that while its revenue is sparkling, its bottom line remains significantly under-maintained.
The company’s total income surged by 34 per cent, rising from Rs 1,260.68 crore last year to Rs 1,692.23 crore this year. This was primarily driven by a robust performance in revenue from operations, which reached Rs 1,555.54 crore. However, the cost of scaling this marketplace has outpaced its gains, with total expenses ballooning from Rs 1,223.48 crore to a staggering Rs 1,835.66 crore.
Key financial highlights include:
Annual net loss: The group reported a consolidated net loss of Rs 234.81 crore, a sharp reversal from the Rs 239.76 crore profit recorded in the previous financial year.
Quarterly performance: For the three months ending March 2026, the company suffered a loss of Rs 161.16 crore, compared to a modest loss of just Rs 2.84 crore in the same period last year.
Employee costs: Personnel expenses rose to Rs 456.48 crore, up from Rs 350.12 crore, reflecting a growing workforce.
Asset base: Total assets grew to Rs 2,702.31 crore, with cash and equivalents nearly doubling to Rs 119.69 crore.
In a brief 13-minute board meeting on Friday afternoon, the company approved a major change in its oversight. Urban Company is waving goodbye to its current statutory auditors, Price Waterhouse & Co., as they complete their term. Stepping into the foyer is BSR & Co. LLP, appointed for a five-year stint starting from the next Annual General Meeting.
The reshuffle didn’t stop there; DPV & Associates LLP has been brought in as the new Secretarial Auditors for a term stretching until 2031.
The company’s international ambitions have hit a few administrative snags. The process of winding up its Saudi Arabian subsidiary, Urban Company Arabia, has been delayed due to “geopolitical factors and related administrative complexities”. Originally intended for a swift exit, the dissolution is now expected to take another five to six months.
Closer to home, the company literally felt the heat, recording an inventory loss of Rs 9.11 crore following a fire incident.
While the quarterly numbers show a company under pressure, the overall 34 per cent revenue growth suggests that customers are still ringing their doorbell in record numbers. Whether the new auditors can help Urban Company find a more profitable path through its corporate corridors remains to be seen.
