Awfis Space Solutions Limited , India's leading flexible workspace provider, has announced robust financial results for the first half of fiscal year 2026, along with strategic initiatives to enhance its market position and operational efficiency. The company has also reported near-complete utilization of its IPO proceeds.

IPO Proceeds Utilization

According to the monitoring agency report for the quarter ended September 30, 2025:

• Awfis has utilized Rs. 126.45 crore out of its Rs. 128 crore IPO proceeds
• Deployment of funds:
  • Rs. 42.03 crore for funding capital expenditure towards establishment of new centers
  • Rs. 54.37 crore for working capital requirements
  • Rs. 20.63 crore for general corporate purposes
  • Rs. 9.38 crore for issue-related expenses
• The monitoring agency, CARE Ratings Limited, reported no deviations from the stated objectives
• Rs. 1.59 crore remains in the public issue account for pending issue-related expenses
• Rs. 7.35 crore of unutilized proceeds are kept in the public issue account

The company's IPO was conducted from May 22-27, 2024, in the flexible workspace solutions sector.

Financial Highlights

For the six months ended September 30, 2025, Awfis reported:

• Consolidated revenue from operations of ₹7,015.64 crore, a 27.5% increase year-over-year
• Operating EBITDA of ₹2,590.00 crore, growing 44% compared to H1 FY25
• Profit After Tax (PAT) of ₹259.50 crore, up 49% from the previous year

The company's performance was driven by strong growth across its business segments:

Operational Achievements

Awfis continues to expand its footprint and enhance its offerings:

• Total portfolio of 247 centers and approximately 170,000 seats across 18 cities
• Added 14,000 seats in H1 FY26, contributing to a year-over-year growth of 35,000 seats
• 100% of new supply is in Grade A assets, with 70% in Grade A+ developments
• Operates 26 premium workspace centers (21 Gold and 5 Elite)
• Secured approximately 5,000 seats from 9+ large Corporates/MNCs
• Over 10 Global Capability Centers (GCCs) signed across the 5 Elite Centres

Strategic Initiatives

The Board of Directors has authorized, in principle, the sale of the company's Design and Build business to a wholly-owned subsidiary. This move aims to:

1. Enable focused growth and partnerships in the Design and Build segment
2. Present standalone financials for clearer performance visibility
3. Accelerate sustainable, diversified growth for the Group

Additionally, Awfis is seeking an enhancement of ₹500.00 crore to its existing Term Loan facility from ICICI Bank Limited. This will support:

• Financing capital expenditures for existing centers
• Establishing new centers
• Reimbursing eligible capital expenditures already incurred

Management Commentary

Amit Ramani, Chairman and Managing Director of Awfis Space Solutions Limited, commented on the results: "At Awfis, we have built India's largest flexible workspace portfolio, comprising 247 centers and ~170k seats across 18 cities, serving a diverse base of around 3.4k clients. This scale reflects the strength of our execution capabilities and the deep operational expertise we've developed over the past decade."

Ramani added, "We are now strategically leveraging our leadership in the value segment to move up the value curve, focusing on Grade A buildings and premium locations to cater to GCCs, large enterprises, and other premium clients."

Future Outlook

With a solid foundation, growing institutional trust, and a sharper focus on premium execution, Awfis is well-positioned to deliver sustained, profitable growth. The company's integrated ecosystem, encompassing its core co-working business, allied services, and the specialized design and build expertise, creates a unique competitive advantage, enabling it to capture opportunities across both established and emerging markets.

As Awfis continues to expand its pan-India presence and enhance its product offerings, it remains committed to catering to a wider range of clients and tailoring its services to meet evolving market needs.

This article is based on the latest available financial data and company statements. Investors are advised to conduct their own research and consult financial advisors before making investment decisions.

Awfis Space Solutions Limited , India's leading flexible workspace provider, has announced robust financial results for the first half of fiscal year 2026, demonstrating significant growth and strategic initiatives to strengthen its market position.

Financial Highlights

For H1 FY26, Awfis reported:

• Operating Revenue of ₹702.00 crores, a 28% year-over-year increase
• Operating EBITDA of ₹259.00 crores, with a margin of 36.9%, up 430 basis points year-over-year
• Profit After Tax (PAT) of ₹26.00 crores, a 49% year-over-year growth (excluding exceptional items)

Operational Expansion

The company has shown substantial growth in its operational footprint:

• Total portfolio of 247 centers and approximately 170,000 seats across 8.4 million sq. ft.
• Added 14,000 seats in H1 FY26, contributing to a year-over-year growth of 35,000 seats
• 100% of new supply is in Grade A assets, with 70% in Grade A+ developments

Strategic Developments

Awfis is strategically leveraging its leadership in the value segment to move up the value curve:

• Increased focus on Grade A buildings and premium locations to cater to Global Capability Centers (GCCs) and large enterprises
• Introduced 26 premium workspace centers (21 Gold and 5 Elite)
• Secured approximately 5,000 seats from 9+ large Corporates/MNCs
• Over 10 GCCs signed across the 5 Elite Centres

The company is also expanding its pan-India presence, with Tier 2 supply increasing by approximately 28% year-over-year.

Awfis Transform Subsidiarization

In a significant move, Awfis has announced the subsidiarization of Awfis Transform, its design and build business. This strategic decision aims to:

• Drive growth within the high-potential Design & Build (D&B) segment
• Provide greater flexibility to scale independently and pursue new markets
• Enable clearer performance visibility through standalone financials

Credit Facility Enhancement

To support its expansion strategy, Awfis has sought an enhancement of ₹500.00 million to its existing Term Loan facility from ICICI Bank Limited. The enhanced facility is proposed to be utilized for financing capital expenditures for existing centers, establishing new centers, and reimbursing eligible capital expenditures already incurred.

Management Commentary

Amit Ramani, Chairman and Managing Director of Awfis Space Solutions Limited, commented on the results: "At Awfis, we have built India's largest flexible workspace portfolio, comprising 247 centers and ~170k seats across 18 cities, serving a diverse base of around 3.4k clients. This scale reflects the strength of our execution capabilities and the deep operational expertise we've developed over the past decade."

He further added, "With a solid foundation, growing institutional trust, and a sharper focus on premium execution, Awfis is well-positioned to deliver sustained, profitable growth. Our integrated ecosystem encompassing our core co-working business, allied services, and the specialized design and build expertise of Awfis Transform creates a unique competitive advantage, enabling us to capture opportunities across both established and emerging markets and cement our leadership in India's evolving flexible workspace landscape."

The company's strategic initiatives and strong financial performance indicate its commitment to maintaining its leadership position in India's flexible workspace market while adapting to evolving client needs and market dynamics.