Smartworks Posts Robust Q1 FY26 Growth: Revenue Hits ₹379 Crore as Loss Narrows Sharply

India’s leading managed office platform, Smartworks Coworking Spaces Ltd., delivered a striking performance in Q1 FY26 as it posted a 21% year-on-year rise in revenue from operations to ₹379.2 crore, up from ₹313.4 crore a year earlier.

This rebound follows the company’s successful IPO debut on NSE and BSE in mid-July, which clearly energized investor sentiment.

Profitability Comes Into View

Smartworks showcased a considerable turnaround in profitability. On a normalised basis, EBITDA surged 109% YoY to ₹607 million, pushing its margin to around 16% compared to just 9.3% in the prior-year period.

Most impressively, normalised profit before tax (PBT) climbed to ₹168 million, delivering a 4.4% margin—a substantial shift from the normalised PBT loss of ₹102 million posted in Q1 FY25.

Reported financials echoed this positivity, showing a narrowed PBT loss of ₹56 million, compared to a steep ₹311 million loss last year.

Cash Flow and Portfolio Growth

Smartworks also recorded a sharp 71% increase in normalised operating cash flow, amounting to ₹855 million—a healthy indicator of improved operational efficiency and robust collections.

On the expansion front, the company now manages 10.08 million sq. ft. of leased space, with 0.70 million sq. ft. currently under fit-out and 1.07 million sq. ft. slated for handover in the next two quarters. Including signed letters of intent, the total space under management stands at ~12 million sq. ft..

Occupancy levels remain consistently strong, hovering above 83% in operational centres and with 89%+ committed occupancy, driven by a trusted enterprise-heavy client base.

Executive Insights

Neetish Sarda, Managing Director, attributed this performance to “robust sustained demand from enterprise clients” and deliberate capacity expansion. According to him, Smartworks added over 1 million sq. ft. of supply to strengthen its market presence and capture growing demand.

Harsh Binani, Executive Director, emphasised the company’s visibility into future revenue—highlighting over ₹40,000 million in committed revenue and a strong pipeline of marquee enterprise clients. He reiterated confidence in Smartworks’ path toward 12 million sq. ft. managed space by FY26.

Why It Matters

Smartworks’ Q1 performance is notable not just for its financial recovery, but for how quickly it has turned the tide post-IPO. The sharp reduction in losses, paired with high EBITDA margins and robust cash generation, signals that its asset-light, enterprise-focused model is scaling effectively.

In a market flooded with coworking brands, Smartworks’ ability to maintain >90% enterprise clientele and rapid delivery timelines (45–60 days) highlights operational excellence.

Sum-up: Smartworks’ Q1 FY26 earnings underline the company’s growing dominance in India’s managed office space segment—from strong topline growth to operational leverage and an expanding real estate portfolio. It’s not just about building workspaces—it’s about capturing long-term enterprise demand with efficiency and scale.