Awfis’s profit declines nearly 60% in Q2 FY26

Co-working solutions provider Awfis reported its financial results for the second quarter of FY26, recording a 25% year-on-year increase in revenue, while its profit declined by nearly 60%.

The company’s revenue from operations grew 25.5% year-on-year to Rs 366.86 crore in Q2 FY26 from Rs 292.38 crore in the same quarter last year, according to its financial statement sourced from NSE.

Founded in 2015, Awfis offers flexible office spaces for startups, SMEs, and large enterprises, along with amenities such as F&B services, IT support, and infrastructure solutions.

Revenue from co-working spaces remained Awfis’s largest segment, contributing 81% of its total revenue. This segment grew 36% to Rs 297.4 crore in Q2 FY26, up from Rs 218.3 crore in Q2 FY25. Meanwhile, the construction and fit-out projects segment generated Rs 69.45 crore.

Other income added Rs 26.11 crore, taking the company’s total income for the quarter to Rs 393 crore.

On the expense front, depreciation was the largest cost at Rs 95 crore, up 47% from Q2 FY25. Finance costs rose 55% to Rs 47 crore, while employee benefit expenses declined 16% to Rs 33 crore. Subcontracting costs remained steady at Rs 56.28 crore. Overall, the company’s total expenses increased 31% year-on-year to Rs 376.64 crore in Q2 FY26, compared to Rs 287.29 crore in Q2 FY25.

As overall expenses grew faster than revenue, mainly due to higher depreciation, amortization, and finance costs, the firm’s net profit declined nearly 60% year-on-year to Rs 16 crore in Q2 FY26 from Rs 38.6 crore in Q2 FY25.

Awfis’ stock surged nearly 5% to close at Rs 637.1, taking the company’s market capitalization to Rs 4,555.84 crore at the end of today’s trading session.