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Flexible workspace provider Awfis Space Solutions reported a 42% jump in its operating revenue for FY25, reaching Rs 1,208 crore, driven by rapid capacity expansion and rising demand from enterprise clients.
The company also turned profitable on an annual basis for the first time, reporting a profit before tax (excluding exceptional items) of Rs 44 crore under Ind-AS and Rs 97 crore on an IGAAP-equivalent basis, compared to a loss in the previous year.
The fourth quarter of FY25 continued this momentum. Awfis posted Rs 340 crore in operating revenue, up 46% year-over-year. Net profit for the quarter stood at Rs 11.23 crore, a ninefold increase from Rs 1.38 crore in Q4FY24. On a reported basis, EBITDA margin expanded to 34.1% in Q4FY25, improving by 520 basis points from the year-ago period.
Market presence
Awfis, which was founded in 2015, operates coworking centers for startups, SMEs, and large corporations, along with offering ancillary services such as IT infrastructure, F&B, and facility management.
The company added more than 39,000 operational seats during FY25, taking its total to over 134,000 seats across 208 centers. Including centers under fit-outs and letters of intent (LOIs), Awfis now manages a portfolio of approximately 163,759 seats covering 8.4 million square feet.
The company’s Chairman and Managing Director Amit Ramani said Awfis had delivered on its FY25 guidance, achieving over 30% revenue growth, 64% jump in operational EBITDA, and EBITDA margin expansion of over 440 basis points.
“We delivered on our commitment to reach the targeted 135K operational seats by March 2025. Since March 2024, we have added 39K+ seats and 48 centers,” he said.
Enterprise demand played a key role, with 79% of the Q4 operating revenue coming from co-working rentals and allied services. The segment grew 60% YoY to Rs 269 crore in Q4FY25. Additional revenue came from fit-outs, facility management, and food sales. Awfis reported total income of Rs 359.4 crore for the quarter including other income of Rs 19.7 crore.
It has maintained its focus on its Managed Aggregation (MA) model, which accounted for 67% of seats and 64% of centers as of March 2025. The asset-light strategy is designed to mitigate risk and enhance return on capital. The company also strengthened its client roster, onboarding the National Stock Exchange (NSE) and several global capability centers (GCCs), including three major multinational tenants at its premium centers in Hyderabad.
As part of service diversification, Awfis partnered with ECOS (India) Mobility & Hospitality Limited to launch chauffeur-driven and employee transportation services aimed at corporate clients.
The company’s total expenses in Q4FY25 rose 45% YoY to Rs 347.5 crore, with depreciation and amortization accounting for the largest share at Rs 82 crore. Employee benefit expenses fell 19% YoY to Rs 29.5 crore, while finance costs rose sharply to Rs 42.6 crore, up 79% from the year-ago quarter.
Looking ahead to FY26, Ramani outlined a two-phase strategy. “In the first half, we will focus on optimizing our expanded capacity from FY25, driving strong occupancy and efficiency. In the second half, we will prioritize strategic capacity expansion, targeting high-potential locations to capture emerging demand and maximize returns.”
Awfis also announced the elevation of Sumit Lakhani as the new Chief Executive Officer. Lakhani, who joined the company in 2015 as Chief Marketing Officer, previously served as Deputy CEO.
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