Urban Company Q1 FY 2026-27 Results: Revenue Jumps 44% To ₹528 Crore; Shares Surge 18% Despite ₹92 Crore Loss

Urban Company Q1 FY 2026-27 Results: The technology-driven home services platform Urban Company reported a consolidated net loss of ₹92.12 crore for the first quarter of FY 2026-27, compared with a net profit of ₹6.94 crore in the year-ago period, as continued investments in its quick home services platform InstaHelp weighed on profitability despite strong growth across its core business. The Gurugram-based home services marketplace announced its June-quarter results after market hours on Friday, July 31.

Revenue from operations rose 43.9% year-on-year to ₹528.34 crore from ₹367.27 crore, while consolidated Net Transaction Value (NTV) increased 42% to ₹1,465 crore. The company added around 1.2 million new users during the quarter, the first time it crossed one million new user additions in a single quarter, while completed orders jumped 79% year-on-year to 13.2 million.

Consolidated adjusted EBITDA loss narrowed to ₹65 crore from ₹98 crore in the March quarter. Excluding investments in InstaHelp, adjusted EBITDA more than doubled from a year earlier to ₹67 crore, reflecting improved operating leverage in the core business. The company said higher investments in InstaHelp and a deferred tax expense led to the reported net loss during the quarter.

India's consumer services business continued to drive growth, with revenue increasing 31% year-on-year to ₹356 crore and NTV rising 29% to ₹1,056 crore, marking the fourth consecutive quarter of accelerating growth. Adjusted EBITDA margin for the business improved to 6.9% of NTV from 5.2% a year earlier.

The company's international business, comprising operations in the UAE and Singapore, reported an 82% increase in revenue to ₹65 crore, while revenue from its Native brand, which sells water purifiers and smart locks, rose 60% to ₹95 crore.

InstaHelp continued to expand rapidly, with orders rising 43% sequentially to 3.82 million and NTV increasing 32% to ₹53 crore. While the business remained loss-making as Urban Company continued to invest in expansion, adjusted EBITDA loss per order improved to ₹346 from ₹447 in the previous quarter. In a separate regulatory filing dated August 2, the company said InstaHelp crossed 100,000 delivered orders in a single day for the first time.

Management Commentary

Urban Company said it remains on track to achieve consolidated adjusted EBITDA breakeven by the third quarter of FY28 and is targeting adjusted EBITDA of around ₹1,000 crore by FY31.

In its shareholder letter, the company said the June quarter was among its strongest, with growth accelerating across businesses while profitability in its core operations continued to improve despite ongoing investments in InstaHelp.

Stock View

Kotak Neo Research retained its ADD rating on Urban Company and maintained a fair value of ₹150 after rolling forward its valuation to September 2028. The report said revenue growth was driven by healthy expansion in the India consumer services business, while EBITDA margins in the segment exceeded expectations. However, higher investments in InstaHelp resulted in a larger-than-expected net loss during the quarter.

The research note highlighted strong growth in the core business, supported by improving margins and healthy transaction value growth, while noting that investments in InstaHelp are expected to remain elevated as the company scales the platform. It expects Urban Company to deliver a revenue CAGR of around 25% between FY26 and FY29.

Urban Company Share Price

Urban Company shares had closed 0.85% lower at ₹129.39 on Friday before the company announced its June-quarter earnings after market hours.

On Monday, the stock surged as much as 17.5% during intraday trade after investors cheered the company's stronger-than-expected operating performance and continued growth in its core consumer services business. By 3:30 pm, the shares were trading at ₹145.96, up ₹16.57, or 12.81%, on the NSE.

The rally has helped the stock recover around 27% since mid-May, although it still trades about 27% below its record high of ₹201, touched shortly after its market debut in September 2025.

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