IPO-Bound WeWork India Posts First Profit of ₹128 Cr in FY25, Revenue Up 17%

IPO-bound WeWork India reported its first profit in the financial year 2025. The company posted a profit after tax (PAT) worth ₹128.2 crore in FY25 compared to a loss of ₹135.7 crore in FY24, according to the MCA filings as seen by Inc42. Its operating revenue also grew 17% year-on-year to ₹1,949.2 crore.

The co-working space provider has attributed the growth to steady demand for flexible office spaces. The report also showed that the start-up turned profitable in FY25 on the back of a deferred tax gain of ₹285.7 crore, up from ₹34.2 lakh booked in the previous fiscal year.

The Embassy Group-backed start-up posted a pre-tax loss of ₹156.7 crore in FY25, up 15% from ₹136 crore in the previous year. This shows that WeWork India would have remained loss-making without the deferred tax gains.

The FY25 financials came nearly after a month when Sebi (Securities and Exchange Board of India) cleared its draft red herring prospectus (DRHP) to launch an IPO on bourses.

WeWork India IPO

WeWork India has received Sebi approval for its initial public offering (IPO) in July. The public issue will consist of an Offer for Sale (OFS) of up to 4.37 crore equity shares and does not involve any fresh issuance of shares.

The IPO is a 100% book-built issue with equity shares proposed to be listed on the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE).

The offer for sale includes up to 4.37 crore equity shares, of which promoter entity Embassy Buildcon LLP plans to sell up to 3.34 crore shares and investor 1 Ariel Way Tenant offloading up to 1.02 crore shares. Their average cost of acquisition for these shares stands at ₹162.83 and ₹65.88 per share, respectively.

The company’s DRHP stated that the IPO launch will only focus on improving WeWork’s market visibility and offer an exit or liquidity to existing shareholders. “There is no direct fund infusion into the business from this offering,” the document read.

Since this is a secondary sale, the company won’t get anything from the IPO proceeds, and all the proceeds from the OFS will go to the existing shareholders selling their shares. The issue has been structured to allocate 75% of the issue to qualified institutional buyers (QIBs), 15% to non-institutional investors (NIIs), and 10% to retail investors.

In addition, nearly 5% of the post-offer equity is reserved for eligible employees.