Urban Company Swings to Losses Post-IPO as Insta Help Investments Surge

Home services provider Urban Company has reported a widened consolidated net loss in its first quarterly results post-IPO. The company reported a net loss of ₹59.3 crore in Q2 FY26 against the profit of ₹6.9 crore in the previous quarter. It had reported a loss of ₹1.82 crore in the corresponding quarter last year, according to regulatory filings.

The company’s revenue from operations increased 37% year-on-year to ₹380 crore, from ₹277 crore last year, driven by growth across India, international, and smart home products segments. The number stood at ₹367 crore in the prior quarter, marking a steady sequential improvement.

Its total expenses also climbed to ₹462 crore in the same quarter, up from ₹384 crore in the previous quarter. The company, meanwhile, has stepped up spending on onboarding, partner training, and customer acquisition to scale Insta Help. Due to this, Urban Company’s adjusted EBITDA turned negative at ₹35 crore against the profit of ₹21 crore in Q1.

The company also noted that excluding Insta Help, its adjusted EBITDA came in at ₹10 crore, equivalent to 0.9% of net transaction value, which underscores profitability in its core operations. The Insta Help vertical, however, posted an EBITDA loss of ₹44 crore for the quarter.

“Early indicators for Insta Help are encouraging, with strong consumer adoption and repeat usage. We view this category as a significant long-term opportunity and believe these investments are important to sustaining market leadership,” the company said in its shareholder letter.

The company’s India Consumer Services division (excluding Insta Help) generated ₹262 crore in revenue, marking 24$ year-on-year growth on the back of rising customer additions and stable repeat usage across categories like cleaning, beauty and home repairs.

Adjusted EBITDA for the segment came in at ₹18 crore, or 2.4% of NTV, compared with 3.1% in the year-ago quarter, as the firm increased spending on partner training, audits and fulfilment.

The company’s smart-home brand Native, which offers water purifiers and smart door locks, posted ₹75 crore in revenue, a 179% jump YoY, while losses narrowed to 9% of NTV from 30% a year earlier.

Its overseas markets (UAE and Singapore) also hit EBITDA breakeven, with revenue rising 66% YoY to ₹41 crore, supported by higher retention and repeat orders.