Urban Company Reports Wider Q2 Loss Despite 37% Revenue Growth

Urban Company , the home services platform, reported a consolidated net loss of ₹59.3 crore for the July-September quarter (Q2), significantly wider than the ₹1.8 crore loss in the same period last year. The company attributed the increased loss primarily to upfront investments in scaling its newly launched vertical, Insta Help, which provides professionals for daily cleaning services in 15 minutes.

Financial Highlights

Consolidated revenue from operations rose 37% year-on-year to ₹380.00 crore
Net Transaction Value (NTV) grew 34% to over ₹1,000.00 crore
Adjusted EBITDA loss widened to ₹35.00 crore, compared to a loss of ₹30.00 crore in Q2 of the previous fiscal year
Excluding Insta Help, the company recorded a positive adjusted EBITDA of ₹10.00 crore

Segment Performance

Segment	Revenue Growth (YoY)	Adjusted EBITDA
India Consumer Services	19% (NTV)	₹18.00 crore (positive)
International Business	66%	Breakeven in UAE and Singapore
Native (Product Vertical)	Nearly 3x	Not specified
Insta Help	New vertical	₹44.00 crore loss

Urban Company's largest segment, India Consumer Services, which contributes nearly 70% of total revenue, posted a positive adjusted EBITDA of ₹18.00 crore (excluding Insta Help). However, margins contracted by 70 basis points year-on-year to 2.4% due to investments in training, audits, user acquisition, faster fulfillment, customer support, and team expansion.

The international business showed strong growth, with revenue rising 66% year-on-year to ₹41.00 crore. The company achieved adjusted EBITDA breakeven in the UAE and Singapore markets on a combined basis.

Insta Help: A New Focus

Launched in February, Insta Help is now operational across select micro-markets in Mumbai, Delhi-NCR, Hyderabad, Bengaluru, Kolkata, and Pune. In October, the vertical recorded 468,000 orders with an Average Order Value (AOV) of ₹184.00. The company noted that it took nearly 4.5 years for its India Consumer Services business to reach a similar scale of 460,000 orders.

Urban Company's management stated, "In the first phase of our scale-up, our focus is to cover all high-density residential clusters across India's top seven metropolitan areas." The company is investing in network densification, service professional onboarding and training, early earnings support for professionals, and selective discounting to boost trials.

While Insta Help shows promise, it currently represents a significant cost center for Urban Company. The adjusted EBITDA loss of ₹44.00 crore from this vertical pushed the overall adjusted EBITDA loss to ₹35.00 crore in Q2.

As Urban Company continues to expand and invest in new verticals like Insta Help, investors will be watching closely to see how quickly these initiatives can turn profitable and contribute to the company's overall growth strategy.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-3.94%	+2.13%	-13.11%	-9.17%	-9.17%	-9.17%

Urban Company , a leading home services platform, has announced significant board changes and released its financial results for the second quarter of fiscal year 2026, revealing strategic investments in new business verticals.

Board Restructuring

The company's Board of Directors has approved the re-designation of Vamsi Krishna Duvvuri from Nominee Director to Non-Executive Non-Independent Director, effective November 1, 2025. This change comes as a result of VY Capital's nomination rights ceasing following Urban Company's equity shares listing. Duvvuri, associated with Urban Company since September 10, 2024, brings over 12 years of experience and will now be liable to retire by rotation.

Q2 FY26 Financial Highlights

Urban Company reported a mixed financial performance for Q2 FY26:

Net Transaction Value (NTV) grew 34% year-over-year (YoY) to ₹1,030.00 crore (excluding KSA operations).
Revenue from operations increased 44% YoY to ₹380.00 crore (excluding KSA).
The company reported an Adjusted EBITDA loss of ₹35.00 crore, primarily due to investments in its new Insta Help vertical.
Excluding Insta Help, the business generated an Adjusted EBITDA profit of ₹10.00 crore, or 0.9% of NTV.

Segment Performance

1. India Consumer Services (Ex Insta Help)

NTV grew 19% YoY to ₹762.00 crore.
Revenue from operations up 24% YoY to ₹262.00 crore.
Adjusted EBITDA at ₹18.00 crore (2.4% of NTV), down from 3.1% in Q2 FY25.

2. Native (Product Vertical)

NTV surged 164% YoY to ₹97.00 crore.
Revenue from operations increased 179% YoY to ₹75.00 crore.
Adjusted EBITDA loss narrowed to 9.0% of NTV, compared to 30.1% in Q2 FY25.

3. International Business

NTV grew 73% YoY to ₹160.00 crore (excluding KSA).
Revenue from operations up 66% YoY to ₹41.00 crore (excluding KSA).
Achieved Adjusted EBITDA breakeven across UAE and Singapore operations.

4. Insta Help (New Vertical)

Launched in February 2025, offering daily housekeeping services.
Scaled to 468,000 orders in October 2025.
Reported an Adjusted EBITDA loss of ₹44.00 crore in Q2 FY26.

Strategic Initiatives

Urban Company is making significant investments in its Insta Help vertical, which management views as a key growth driver. The company expects consolidated Adjusted EBITDA losses to continue in the near term as it scales this new category.

Outlook

While the core business segments show strong growth, Urban Company's profitability has been impacted by investments in new initiatives, particularly Insta Help. The company remains focused on long-term value creation, balancing growth with a path to profitability.

Urban Company's strategic decisions reflect its commitment to expanding its service offerings and market presence, despite short-term pressure on profitability. Investors will be watching closely to see how these investments translate into sustainable growth and improved financial performance in the coming quarters.