Smartworks Reports Record ₹472 Crore Revenue in Q3 FY26, up 34% YoY
Filing Summary
Smartworks Coworking Spaces Ltd reported its strongest quarterly performance in Q3 FY26, with a revenue of approximately ₹472 crore, marking a 34% year-over-year increase. The company achieved a normalized EBITDA of around ₹85 crore, with a margin expansion to 18%. Operating cash flow exceeded EBITDA, reaching approximately ₹101 crore. The company maintained a net-debt negative balance sheet of ₹42 crore. Committed rental revenue surpassed ₹4,700 crore, with a committed occupancy rate of 93% for mature centers. The company’s total footprint expanded to 15.3 million square feet across 15 cities.
Smartworks Coworking Spaces Ltd has released its unaudited standalone and consolidated financial results for the quarter ended December 31, 2025. The company reported a revenue of approximately ₹472 crore, reflecting a 34% increase compared to the same period last year and an 11% increase quarter-over-quarter. The results indicate a significant milestone in the company’s growth trajectory, with improvements in profitability, cash flows, and returns on capital.
The company achieved a record normalized EBITDA of around ₹85 crore, with a margin expansion to 18%. Operating cash flow exceeded EBITDA, reaching approximately ₹101 crore, resulting in an OCF-to-EBITDA ratio of 1.2. The annualized return on capital employed (ROCE) improved to 21%. The company maintained a net-debt negative balance sheet with a balance of ₹42 crore. Committed rental revenue exceeded ₹4,700 crore, providing strong forward visibility. Profit after tax (PAT) profitability was achieved under Ind AS standards.
Operationally, Smartworks expanded its total footprint to approximately 15.3 million square feet, with a monthly revenue run-rate (MRR) of around ₹150 crore. The company added 1.7 million square feet of letters of intent (LOIs) during the quarter. Smartworks operates across 15 cities, serving over 770 clients, with committed occupied seats surpassing 192,000. The company’s mature centers achieved a committed occupancy rate of 93%.
Smartworks has signed LOIs for new large campuses across core growth markets, enhancing supply visibility and scale. The company closed multiple enterprise deals with clients from sectors such as BFSI, consulting, technology, and global services. Multi-city enterprise clients contributed approximately 30% of rental revenue. Large-format contracts, which typically have longer lock-ins and tenures, now contribute 35% of rental revenue.
The company’s strategic focus on large, long-tenure enterprise contracts and expansions from existing clients has improved the quality and predictability of revenues. With operating cash flow exceeding EBITDA and a net-debt-negative balance sheet, Smartworks is scaling through a disciplined, self-funded expansion model. The company has secured supply visibility through FY27, with sourcing underway for FY28.
Smartworks Coworking Spaces Ltd is India’s largest managed office platform by total area under management. The company partners with developers to transform large, bare-shell assets into fully managed, enterprise-grade campuses. Smartworks primarily serves mid-to-large enterprises and counts over 770 clients, including Forbes 2000 companies, GCCs, MNCs, and high-growth startups. The company offers SmartVantage, a GCC-focused solution combining scalable campuses with a curated partner ecosystem to enable rapid and compliant expansion in India.