IndiQube Spaces revenue surges 33% in H1 to ₹668 crore

IndiQube Spaces, one of leading managed workspaces players for enterprises, startups, and global capability centres, has seen a 33% jump in revenue for H1 of the current fiscal to Rs 668 crore from Rs 503 crore in the same period of the previous fiscal (FY25). The company’s operating profit (Ebitda) rose sharply by 85% to ₹139 crore, while profit after tax grew nearly threefold to ₹47 crore, translating to a PAT margin of 7%, up from just 2% a year ago. The EBITDA margin expanded from 15% to 21%, reflecting improved operational efficiency and disciplined cost management.

The second quarter proved to be a milestone period with revenue touching Rs 354 crore, marking a 38% increase year-on-year, while EBITDA jumped 74% to Rs 75 crore and PAT surged 260% to Rs 28 crore against Rs 8 crore in Q2 FY25. The quarter’s EBITDA margin held strong at 21%, while PAT margin improved to 8% from 3% last year.

The growth was aided by major client signings, including a 1.4 lakh square foot lease with the world’s largest asset manager in Bengaluru, a 68,000 square foot design and build project for one of India’s top automakers in Hyderabad, and additional workspace leases in Chennai and Bengaluru for technology and healthcare companies. According to Co-founder Meghna Agarwal, such wins reinforce IndiQube’s reputation as the preferred workspace partner for large enterprises.

Operationally, the company’s portfolio expanded to 9.14 million square feet of managed workspaces across 16 cities, with 125 centers and more than 200,000 seats. Indore was added to the network during the quarter, marking further penetration into Tier II markets. Occupancy stood at a healthy 87%, up from 81% a year ago, indicating robust demand and strong customer retention. Over 60% clients are sourced directly, while the remainder comes from sourcing partners, who primarily cater to global capability centres of multinationals, a key driver of enterprise demand in India’s office market.

Technology continues to be central to the company's growth strategy. Its MiQube digital platform, which integrates tenant services and real-time facility management, saw more than 87,000 app downloads and a 24% rise in transaction volumes compared to H1 FY25. The platform has rolled out new features such as AI-based transport routing, real-time cafeteria crowd monitoring, and a voucher management system—enhancing efficiency and user experience across centers.

As per India’s accounting standard Ind AS 116 with regards to leases, IndiQube has to record depreciation on right-of-use assets, and interest on lease liabilities, both of which are non-cash expenses. Because of these adjustments, the company showed a notional accounting loss of ₹30 crore under Ind AS for Q2 FY26, and ₹67 crore for H1 FY26. However, the company has stated that these are purely accounting in nature and “do not affect the company’s underlying operating strength.” It remains PAT positive on an IGAAP-equivalent basis and continues to pay income taxes, underscoring the underlying strength of its operations.

The company expects growth momentum to continue into the second half of the year by deepening its presence in Tier II cities, leveraging technology to drive operational efficiency, and expanding its sustainability initiatives as 56% of its current portfolio is already green-certified, with another 0.68 million square feet under certification.