Bengaluru-based managed workspace provider IndiQube Spaces looks to achieve around 30% annual topline growth in the fiscal year 2026-27 (FY27), supported by a substantial expansion pipeline of 3.26 million square feet that is expected to become operational over the next 18–24 months.

“We currently have a strong pipeline of 3.26 million square feet, translating to approximately 72,000 seats, which have already been signed. These capacities are expected to become operational over the next 18–24 months,” said Meghna Agarwal, co-founder, IndiQube, in an interaction with Fortune India.

“If we take this inbuilt headroom, it already provides strong visibility of growth and should support approximately 30% annual topline growth, subject to ramp-up timelines,” she explained.

As of December 31, 2025, the company’s total signed portfolio stood at 9.55 million square feet, roughly 2,12,000 seats. Of this, 6.3 million square feet (about 1,40,000 seats) is already rent-yielding. The rest forms a ready pipeline that will steadily start contributing to revenue as centres become operational, she said.

Delivers steady performance in Q3

In the October-December quarter of FY26, IndiQube reported its highest-ever quarterly revenue of ₹395 crore, up 45% year-on-year (YoY). For the nine months ending December 2025, revenue was at ₹1,063 crore, marking 37% growth.

Profitability also improved meaningfully. “Profit after tax for Q3 FY26 has been ₹40 crore, more than doubling year-on-year,” Agarwal said. For the nine-month period, PAT stood at ₹95 crore, up 284% from last year. Return on capital employed improved to 23%, compared to 15% a year ago.

Addressing queries on reported net loss under Ind-AS of ₹17.1 crore, Agarwal clarified that lease liabilities reflected in Ind AS statements are accounting requirements and not financial borrowings. She said that the company remains PAT-positive under income tax rules and continues to pay taxes.

“The accounting loss which is reported in Ind AS arises primarily due to the application of Ind AS, which requires recognition of depreciation on right-of-use of asset and interest on lease of liabilities.”

Both of these are non-cash accounting adjustments driven by accounting standards rather than operating performance, she explained.

Company targets ₹180 crore capex for H2 FY26

The company’s capital expenditure for H1 FY26 stood at approximately ₹180 crore. For H2 FY26, capex is expected to remain broadly in a similar range, taking the overall annual capital expenditure to around ₹350–360 crore.

“Our capital expenditure for H1 FY26 was approximately ₹180 crore. For H2 FY26, we expect capex to remain broadly in a similar range,” she said.

According to her, this spending is largely aligned with our expansion plans, infrastructure development, and capacity additions.

South India Advantage

IndiQube co-founder said that the company’s growth is closely tied to southern markets. Bengaluru, Hyderabad and Chennai together accounted for more than half of India’s commercial real estate absorption in Q3, with 80% of GCC absorption concentrated in these cities.

“We see our dominance in South India not as concentration risk, but as strategic positioning,” Agarwal said. Around 80% of IndiQube’s portfolio is located in the region, reinforcing its position as a preferred workspace partner for global capability centres.

Over the past year, the company added 1.5 million square feet, launched 21 centres, expanded into three new cities including Bhubaneswar, and increased occupancy to 84%. While quarterly metrics may fluctuate due to new area additions, management expects steady-state occupancy at 82–85%.

Sustainability push

IndiQube has also taken major strides into sustainability as the company has operationalised a 20 MW solar farm in Yadgir, Karnataka. Agarwal added that another 4 MW facility in Latur is in the process of going live.

“This facility has now become fully operational, and we have a 20-megawatt open access solar farm running there. It is powering a significant portion of our buildings in Bengaluru, which represents the largest share of our portfolio, helping us transition meaningfully towards green energy.”