Rentomojo reports third straight year of profit; picks IIFL, Motilal Oswal for IPO

Rental furniture and appliances platform Rentomojo has reported its third consecutive year of profitability in FY25, at a time when the company quietly moves closer to the public markets.

According to sources, Rentomojo has appointed IIFL Capital and Motilal Oswal Investment Banking as book-running lead managers for its proposed initial public offering in India. The discussions are at an early stage.

The IPO groundwork comes as the Bengaluru-based consumer tech company posted a 92% jump in net profit to ₹43.07 crore in FY25, up from ₹22.49 crore in FY24 and ₹6.2 crore in FY23.

According to the company, its revenue from operations rose to ₹265.96 crore, while EBITDA expanded to ₹118.41 crore. Between FY23 and FY25, Rentomojo delivered a 48.24% CAGR in net rental revenue.

“At its core, Rentomojo is a subscription-first consumer tech company that has delivered sustained profitability while solving a real consumer problem,” said Geetansh Bomania, Founder and CEO. He added that automation, intelligent refurbishment and disciplined execution continue to drive scale and margins.

Rentomojo currently operates across 23 cities, with 71 offline experience stores, serving over 2.2 lakh live subscribers and managing more than 7.7 lakh rental items. Its portfolio spans furniture, large appliances and fast-growing categories such as water purifiers, catering to consumers prioritising flexibility over ownership.

The company reported a return on capital employed of 25.1% in FY25, aided by a refurbishment-led circular economy model and reinvestment into reuse and sustainability.

Founded in 2014, Rentomojo is backed by Accel, Chiratae Growth Fund, Edelweiss Discovery Fund and ValueQuest S.C.A.L.E. Fund.

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