At-home services platform Urban Company posted a 33% year-on-year (YoY) rise in operating revenue to Rs 383 crore in the December quarter, spurred by new user growth, steady revenue retention, and growth in core categories during the festive season, the firm said.
The company, however, reported a loss of Rs 21 crore in the quarter, compared to a profit of Rs 231 crore a year earlier, which was driven by a one-time tax gain.
“The aggregate profits from the rest of our business will be large enough to offset losses from InstaHelp from Q3FY28,” said Abhiraj Singh Bhal, cofounder and chief executive, during a post-earnings analyst call on Friday, as continued losses in the segment weigh on the company’s overall profitability.
Bhal also said that the average order value (AOV) in its instant house help segment, which is less than a year old, needs to rise by about 1.8-2x for the business to reach breakeven.
For the December quarter, the InstaHelp business reported adjusted earnings before interest, taxes, depreciation, and amortisation (Ebitda) loss (or operating loss) of Rs 61 crore, up from Rs 44 crore in the previous quarter. According to Bhal, the house-help business needs to reduce losses per order in this category to reach breakeven.
Urban Company’s expenses also rose to Rs 433 crore in the third quarter from Rs 302 crore in the same period last year. Most of it was due to staff benefits, purchase of stock-in-trade, and other expenses. With a presence in 51 cities, Urban Company has 7.8 million annual transacting users and over 59,475 monthly active service professionals.
India, which contributes a bulk of the business, generated an operating revenue of Rs 264 crore out of the total Rs 383 crore, while revenue from international business stood at Rs 50 crore. Revenue from the sale of native branded products came in at Rs 61 crore, while InstaHelp contributed Rs 7 crore during the quarter.
The Gurugram-based company, which listed in September last year, said InstaHelp saw rapid growth in Q3 FY26, with orders rising to 1.61 million and net transaction value reaching Rs 28 crore, up from 0.58 million orders and Rs 10 crore in NTV in the previous quarter.
On competition, Bhal said InstaHelp is an attractive segment, and as a result, it is expected to face competition. “There is competitive intensity, but it is expected and nothing new for us. It keeps us on our toes.”
Earlier, ET reported that the venture capital-backed 10-minute home help category recorded around 1.3-1.4 million orders in December last year, marking a 50-60% jump from about 850,000 orders in October. At the same time, the industry’s monthly cash burn also rose to $7-8 million in December from $5-7 million in October, according to executives and investors.
Urban Company said its business is well capitalised, with Rs 2,095 crore in cash, which it plans to invest to scale its newer businesses such as InstaHelp and Native. The instant house help segment, where it faces competition from venture-backed players such as Snabbit and Pronto, is seeing intense rivalry, with competitors raising capital to fund growth and expansion.
Pronto, backed by General Catalyst, is in advanced discussions to raise about $20-25 million from existing backers and new investor Epiq Capital, at a post-money valuation of $100 million. It last raised $11 million in August 2025 at a valuation of $45 million. Snabbit, which has raised nearly $60 million from venture investors such as Nexus Venture Partners and Lightspeed, last raised $30 million in a funding round led by Bertelsmann India Investments.
Urban Company’s shares were down 3.4% on Friday at Rs 125.20 on the BSE.
The company, however, reported a loss of Rs 21 crore in the quarter, compared to a profit of Rs 231 crore a year earlier, which was driven by a one-time tax gain.
“The aggregate profits from the rest of our business will be large enough to offset losses from InstaHelp from Q3FY28,” said Abhiraj Singh Bhal, cofounder and chief executive, during a post-earnings analyst call on Friday, as continued losses in the segment weigh on the company’s overall profitability.
Bhal also said that the average order value (AOV) in its instant house help segment, which is less than a year old, needs to rise by about 1.8-2x for the business to reach breakeven.
For the December quarter, the InstaHelp business reported adjusted earnings before interest, taxes, depreciation, and amortisation (Ebitda) loss (or operating loss) of Rs 61 crore, up from Rs 44 crore in the previous quarter. According to Bhal, the house-help business needs to reduce losses per order in this category to reach breakeven.
Urban Company’s expenses also rose to Rs 433 crore in the third quarter from Rs 302 crore in the same period last year. Most of it was due to staff benefits, purchase of stock-in-trade, and other expenses. With a presence in 51 cities, Urban Company has 7.8 million annual transacting users and over 59,475 monthly active service professionals.
India, which contributes a bulk of the business, generated an operating revenue of Rs 264 crore out of the total Rs 383 crore, while revenue from international business stood at Rs 50 crore. Revenue from the sale of native branded products came in at Rs 61 crore, while InstaHelp contributed Rs 7 crore during the quarter.
The Gurugram-based company, which listed in September last year, said InstaHelp saw rapid growth in Q3 FY26, with orders rising to 1.61 million and net transaction value reaching Rs 28 crore, up from 0.58 million orders and Rs 10 crore in NTV in the previous quarter.
On competition, Bhal said InstaHelp is an attractive segment, and as a result, it is expected to face competition. “There is competitive intensity, but it is expected and nothing new for us. It keeps us on our toes.”
Earlier, ET reported that the venture capital-backed 10-minute home help category recorded around 1.3-1.4 million orders in December last year, marking a 50-60% jump from about 850,000 orders in October. At the same time, the industry’s monthly cash burn also rose to $7-8 million in December from $5-7 million in October, according to executives and investors.
Urban Company said its business is well capitalised, with Rs 2,095 crore in cash, which it plans to invest to scale its newer businesses such as InstaHelp and Native. The instant house help segment, where it faces competition from venture-backed players such as Snabbit and Pronto, is seeing intense rivalry, with competitors raising capital to fund growth and expansion.
Pronto, backed by General Catalyst, is in advanced discussions to raise about $20-25 million from existing backers and new investor Epiq Capital, at a post-money valuation of $100 million. It last raised $11 million in August 2025 at a valuation of $45 million. Snabbit, which has raised nearly $60 million from venture investors such as Nexus Venture Partners and Lightspeed, last raised $30 million in a funding round led by Bertelsmann India Investments.
Urban Company’s shares were down 3.4% on Friday at Rs 125.20 on the BSE.