Smartworks reported fourth-quarter revenue exceeding ₹500 crore [2] and a profit of ₹17 crore [1] for the period ending March 2026.
The results signal a shift toward sustainable profitability for the Indian co-working provider as it scales its operations. This financial turnaround comes after a period of volatility in the flexible office market, positioning the company for self-funded expansion.
The company's quarterly profit of ₹17 crore [1] represents a significant recovery from the ₹8.3 crore loss reported in the same quarter a year ago [1]. On a sequential basis, the company saw a 13.8-fold increase in profit from ₹1.2 crore [1]. Following the announcement, shares of the company rose approximately two percent [3].
Neetish Sarda, founder and managing director of Smartworks, provided an outlook for the 2027 fiscal year. He said the company expects around 30 percent growth momentum to continue into FY27 [3]. Sarda said the company expects a 19 percent EBITDA margin in FY27 [3].
Despite the aggressive growth targets, the company does not intend to seek new capital. Sarda said, "Don't see any additional funding requirement" [3]. The company attributes its current trajectory to strong demand for flexible office spaces across its primary Indian market.
The growth in revenue and the move into profitability allow the company to pursue its FY27 targets using internal accruals, a move that reduces reliance on external venture capital or debt markets.
“"Expect around 30% growth momentum to continue into FY27"”
Smartworks' transition from quarterly losses to a significant profit indicates that the demand for managed office spaces in India is stabilizing. By projecting a 19% EBITDA margin and avoiding new funding, the company is attempting to prove that the co-working model can be scaled profitably without the constant need for external capital injections, which has historically been a challenge for the sector.
