New Delhi, Nov 1 – Urban Company, the Gurgaon‑based home‑services and smart‑home platform, posted a sharp drop in earnings for the July‑September quarter. The company swung from a 6.9‑crore profit in the first quarter of the fiscal year to a 59.3‑crore loss in Q2FY26.
The loss stems mainly from heavy upfront spend on the company’s new daily‑housekeeping line, Insta Help, which the firm says is early but promising. “Strong consumer adoption and repeat usage show early encouraging signs,” the CEO said in a shareholder letter, adding that Insta Help represents a major long‑term growth play.
Revenue climbed 37 % year‑on‑year to 380 crore rupees, reflecting solid performance in Urban Company’s core services and its native smart‑home product line, Native. However, total expenses surged to 462 crore from 384 crore in Q1, forcing adjusted EBITDA into a 35‑crore loss versus a 21‑crore profit earlier in the year.
When the Insta Help segment is excluded, the company still reported a 10‑crore adjusted EBITDA profit, representing just 0.9 % of net transaction value (NTV). Native posted 75 crore in revenue – up 179 % YoY – and trimmed its loss margin from 30 % to 9 % of NTV.
Looking ahead, Urban Company expects adjusted EBITDA losses to persist in the short term as it continues to invest in Insta Help, but it highlights that its core India and international operations remain profitable and cash‑generating.
The firm finished the quarter with 2,136 crore in cash and equivalents, a rise from 1,664 crore at the end of Q1, helped by proceeds from its recent IPO.
Source: ianslive
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