Urban Company's Q2 results: Net loss surges to ₹59cr
What's the story
Urban Company, a leading player in the home services sector, has reported a widened net loss of ₹59.3 crore for the second quarter of FY25-26. The company's loss was ₹1.82 crore during the same period last year and a profit of ₹6.9 crore in the previous quarter. The Gurugram-based firm has attributed this swing back into the red to heavy upfront investments in Insta Help, its newly launched daily housekeeping vertical.
Revenue growth
Revenue from operations jumps 37% YoY to ₹380cr
Despite the widened loss, Urban Company saw a 37% year-on-year jump in its revenue from operations to ₹380 crore. This is up from ₹277 crore during the same period last year. The growth was driven by strong performance across India, international markets, and smart home products segments. The company also witnessed steady sequential growth with ₹367 crore of revenue in the previous quarter.
Increased expenditure
Total expenses up from ₹384cr in Q1
Urban Company's total expenses for the quarter stood at ₹462 crore, up from ₹384 crore in the previous quarter. The increase was mainly due to higher spending on partner training, onboarding, and customer acquisition to scale Insta Help. This led to an adjusted EBITDA loss of ₹35 crore compared to a profit of ₹21 crore in Q1.
Financial growth
Net transaction value up 31% YoY to ₹1,030cr
Urban Company's net transaction value (NTV) stood at ₹1,030 crore, up 31% year-on-year. This reflects broad-based expansion across categories. The company also saw its annual transacting users rise to 7.4 million and monthly active service professionals increase to 57,251 during the quarter. Co-founder and CEO Abhiraj Singh Bhal said they remain focused on sustainable long-term growth even as near-term profitability remains under pressure.