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What is the story about?
Awfis Space Solutions reported a 93.7% year-on-year rise in consolidated net profit to ₹31 crore in the September quarter of FY27, from ₹16 crore a year earlier.
Revenue from operations increased 19.6% to ₹439 crore from ₹367 crore. Earnings before interest, tax, depreciation and amortisation (EBITDA) rose 31.3% to ₹174 crore, compared with ₹132 crore in the year-ago quarter.
The EBITDA margin widened to 40% from 36%, an improvement of 400 basis points.
Amit Ramani, Chairman and Managing Director of Awfis Space Solutions, said, “We are pleased to report another quarter of steady performance, supported by continued demand from large enterprises & GCCs, alongside our ongoing focus on premiumisation and operational efficiency.”
Normalised revenue grew 26% YoY to ₹451 crore in Q2FY27, compared with reported revenue growth of 20% to ₹439 crore. Normalised revenue adjusts for actual rent received on finance lease arrangements.
He added, “Our focus on improving occupancy, strengthening client renewals and expanding through capital-efficient supply models is expected to drive higher realisations and profitability.”
Cash EBITDA rose 45% to ₹49 crore, with a cash EBITDA margin of 10.8%, compared with 9.4% a year ago. Ramani said the company was targeting cash EBITDA of ₹190-200 crore for the full financial year FY27.
Revenue from Awfis’ co-working space and allied services business rose to ₹363.6 crore in Q2FY27 from ₹297.4 crore in the corresponding quarter last year, according to its consolidated segment results.
The segment’s result increased to ₹34.2 crore from ₹17.8 crore a year earlier.
The construction and fit-out projects business reported revenue of ₹75.2 crore, compared with ₹69.5 crore in Q2FY26. Its segment result rose to ₹7.7 crore from ₹5.4 crore.
Awfis said it currently serves more than 105 unique GCC clients, which contribute approximately 24% of its rental revenue. The company has also signed a mandate for more than 1,000 full-time employees (FTEs) with a Fortune 500 company in Chennai, with the first phase scheduled to begin in the fourth quarter of FY27.
The company said 57% of its centres operate under the Managed Aggregation model, under which fit-out capital expenditure is funded by landlords. It also highlighted an enterprise pre-commitment of around 50% under its partial Managed Office model, helping improve occupancy and revenue visibility.
Awfis added six new centres during the September quarter, taking its total network to 254 centres with approximately 174,000 seats across 18 cities. The company serves more than 3,700 clients. Overall portfolio occupancy stood at 76.2%, while centres operational for more than 12 months recorded occupancy of 84.1%.
The company said it sold more than 25,000 seats in the first half of FY27, with demand continuing to build ahead of new capacity. All new supply is being added in Grade A and A+ properties, with incremental seats being signed at around 35% higher pricing compared with flagship products.
Its premium Gold and Elite portfolio expanded to 39 centres during the quarter, with new centres added across Pune, Bengaluru, Mumbai and Delhi-NCR.
Separately, the company’s board deferred the proposed transfer of its Design and Build business to wholly owned subsidiary Awfis Transform Private Limited beyond the previously indicated December 2026 timeline.
Awfis said procedural, administrative, operational and transition-related requirements needed to be addressed before the transfer could be completed. A revised timeline has not been finalised, though management expects to complete the requirements over the next 12 months.
The proposed transfer will be carried out through a slump sale. The final consideration will be determined using an updated valuation report, with the closing date serving as the valuation reference date.
Awfis will continue to operate the business in the ordinary course until the transaction is completed.
Shares of Awfis Space Solutions closed 1.25% lower at ₹238.40 on Tuesday, ahead of the results announcement.
The stock has fallen more than 52% so far in 2026 and 60% over the past 12 months.
Also read: Chambal Fertilisers Q2 Results: Net profit falls 3% to ₹632 crore, declares ₹5 interim dividend
Revenue from operations increased 19.6% to ₹439 crore from ₹367 crore. Earnings before interest, tax, depreciation and amortisation (EBITDA) rose 31.3% to ₹174 crore, compared with ₹132 crore in the year-ago quarter.
The EBITDA margin widened to 40% from 36%, an improvement of 400 basis points.
Amit Ramani, Chairman and Managing Director of Awfis Space Solutions, said, “We are pleased to report another quarter of steady performance, supported by continued demand from large enterprises & GCCs, alongside our ongoing focus on premiumisation and operational efficiency.”
Normalised revenue grew 26% YoY to ₹451 crore in Q2FY27, compared with reported revenue growth of 20% to ₹439 crore. Normalised revenue adjusts for actual rent received on finance lease arrangements.
He added, “Our focus on improving occupancy, strengthening client renewals and expanding through capital-efficient supply models is expected to drive higher realisations and profitability.”
Cash EBITDA rose 45% to ₹49 crore, with a cash EBITDA margin of 10.8%, compared with 9.4% a year ago. Ramani said the company was targeting cash EBITDA of ₹190-200 crore for the full financial year FY27.
Awfis Q2: Co-working business drives revenue growth
Revenue from Awfis’ co-working space and allied services business rose to ₹363.6 crore in Q2FY27 from ₹297.4 crore in the corresponding quarter last year, according to its consolidated segment results.
The segment’s result increased to ₹34.2 crore from ₹17.8 crore a year earlier.
The construction and fit-out projects business reported revenue of ₹75.2 crore, compared with ₹69.5 crore in Q2FY26. Its segment result rose to ₹7.7 crore from ₹5.4 crore.
GCC business contributes 24% of rental revenue
Awfis said it currently serves more than 105 unique GCC clients, which contribute approximately 24% of its rental revenue. The company has also signed a mandate for more than 1,000 full-time employees (FTEs) with a Fortune 500 company in Chennai, with the first phase scheduled to begin in the fourth quarter of FY27.
The company said 57% of its centres operate under the Managed Aggregation model, under which fit-out capital expenditure is funded by landlords. It also highlighted an enterprise pre-commitment of around 50% under its partial Managed Office model, helping improve occupancy and revenue visibility.
Operational performance and expansion
Awfis added six new centres during the September quarter, taking its total network to 254 centres with approximately 174,000 seats across 18 cities. The company serves more than 3,700 clients. Overall portfolio occupancy stood at 76.2%, while centres operational for more than 12 months recorded occupancy of 84.1%.
The company said it sold more than 25,000 seats in the first half of FY27, with demand continuing to build ahead of new capacity. All new supply is being added in Grade A and A+ properties, with incremental seats being signed at around 35% higher pricing compared with flagship products.
Its premium Gold and Elite portfolio expanded to 39 centres during the quarter, with new centres added across Pune, Bengaluru, Mumbai and Delhi-NCR.
Awfis defers transfer of Design and Build business
Separately, the company’s board deferred the proposed transfer of its Design and Build business to wholly owned subsidiary Awfis Transform Private Limited beyond the previously indicated December 2026 timeline.
Awfis said procedural, administrative, operational and transition-related requirements needed to be addressed before the transfer could be completed. A revised timeline has not been finalised, though management expects to complete the requirements over the next 12 months.
The proposed transfer will be carried out through a slump sale. The final consideration will be determined using an updated valuation report, with the closing date serving as the valuation reference date.
Awfis will continue to operate the business in the ordinary course until the transaction is completed.
Awfis Space Solutions share price
Shares of Awfis Space Solutions closed 1.25% lower at ₹238.40 on Tuesday, ahead of the results announcement.
The stock has fallen more than 52% so far in 2026 and 60% over the past 12 months.
Also read: Chambal Fertilisers Q2 Results: Net profit falls 3% to ₹632 crore, declares ₹5 interim dividend
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