Urban Company, India’s largest home services marketplace, has posted a 38.2% year-on-year revenue growth, reaching ₹1,144 crore in FY25, according to its latest annual report. The company also marked a major financial milestone by turning profitable during the fiscal year ending March 2025, a significant turnaround from its ₹92.7 crore loss in FY24.
6.8 Million Transactions, 51 Cities, ₹3,115 Cr Gross Transaction Value
Operating across 51 cities and internationally in UAE, Singapore, and Saudi Arabia, Urban Company completed 6.8 million customer transactions under 17 super categories. The company achieved a total net transaction value (GTV) of ₹3,115 crore, a strong indicator of demand for organized home services in both Indian and global markets.
Revenue Breakdown: Platform Services & Water Purifiers Drive Growth
- Platform Services (spa, salon, AC repair, etc.): ₹742 crore (64.8% of total revenue)
- Customer Memberships: ₹98 crore (up 7.7%)
- Native Water Purifier Sales: ₹116 crore (up 300% from ₹29 crore)
- Product Sales to Service Professionals: ₹188 crore
- Other Income (Interest & Mutual Fund Gains): ₹117 crore
Total Income stood at ₹1,261 crore in FY25, compared to ₹928 crore in FY24.
Domestic vs International Revenue
- India Revenue: ₹997 crore
- International Revenue: ₹147 crore
Despite its global expansion, India remains the primary revenue driver, boosted by product innovation and improved operational scale.
Financial Turnaround: From Loss to Profit
- FY25 Profit Before Tax (PBT): ₹28.5 crore
- FY24 Loss: ₹92.7 crore
- EBITDA Margin: 6.68%
- ROCE: 2.46%
- Unit Economics: Urban Company spent ₹1.07 to earn every ₹1 of operating revenue.
Cost Structure & Expense Insights
- Employee Benefits: ₹350 crore (flat YoY), includes ₹72.5 crore ESOP cost
- Advertising & Promotions: ₹207 crore (no major change YoY)
- Total Expenditure: ₹1,223 crore (vs ₹1,021 crore in FY24)
The company’s tight control over operating costs played a key role in achieving profitability.
Segment-Wise Profitability
- India Consumer Services: ₹113 crore profit
- Native Water Purifier Division: ₹38.7 crore loss
- International Operations: ₹33.7 crore loss
IPO Plans: ₹1,900 Cr Offering on the Cards
Urban Company has officially filed its Draft Red Herring Prospectus (DRHP) with SEBI in April 2025. It plans to:
- Raise ₹429 crore (~$50 million) via fresh issue
- Execute an Offer for Sale (OFS) worth ₹1,471 crore
The move signals the company’s intent to go public, positioning itself as a category-defining brand in India’s booming on-demand services space.
Competition on the Rise
Urban Company now faces increasing competition from startups such as:
- Snabbit
- Pronto
- Swiggy’s Pyng, which marks the food delivery giant’s foray into professional services
The once largely uncontested market is evolving rapidly, pushing Urban Company to scale both horizontally and vertically.
Conclusion:
Urban Company’s leap into profitability, diversified revenue streams, and robust customer base across multiple geographies place it in a strong position as it gears up for its IPO. However, the company will need to maintain growth momentum and fend off intensifying competition to sustain investor confidence and market leadership.