Smartworks reported its first quarterly profit in Q1 FY27, posting a net profit of ₹13.14 crore and a 44% rise in revenue. Growth was driven by increasing demand from large enterprise clients and multi-city occupiers. The company also announced plans for the world’s largest managed office campus in Pune.
India’s managed workspace sector continues to gain momentum, with Smartworks Coworking Spaces Ltd reporting its first quarterly profit since listing. The company posted a net profit of ₹13.14 crore for the first quarter of FY27, a significant turnaround from the ₹4.19 crore loss reported during the same period last year.
The strong financial performance was supported by healthy occupier demand and continued portfolio expansion. Revenue increased 44% year-on-year, rising from ₹379.2 crore in Q1 FY26 to ₹546.24 crore in Q1 FY27. While operating expenses also increased by nearly 38%, the company’s scale helped improve profitability. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) also grew strongly, rising from ₹241 crore to ₹345.96 crore during the quarter.
Enterprise Clients Continue to Fuel Expansion
Large enterprise customers remain the backbone of Smartworks’ growth strategy. Sharing the company’s performance, Neetish Sarda, Founder and Managing Director of Smartworks, said, “Today, clients with over 1,000 seats contribute around 41 per cent of our rental revenue, up from around 37 per cent in FY26, while revenue from multi-city clients has increased to 35 per cent from around 31 per cent in FY26.”
The numbers underline an important trend across India’s flexible workspace market. Large organisations are increasingly choosing managed office providers that can deliver standardised workplaces across multiple cities while reducing capital expenditure and improving operational flexibility.
Smartworks currently operates nearly 16.9 million square feet of managed office space across 70 centres in 15 cities spanning India and Singapore. The company serves more than 760 enterprise clients, partnering with developers to create large-scale managed office campuses tailored to corporate requirements.
Pune Expansion Reflects Confidence in Enterprise Demand
Building on its strong performance, Smartworks has also announced one of its most ambitious expansion projects to date. The company has signed a Letter of Intent (LOI) for its Eastside project in Pune, where it plans to operationalise what is expected to become the world’s largest managed office campus.
Spread across approximately 8.63 lakh square feet, the new facility is scheduled to become operational during the second half of FY27. The announcement follows the company’s recent expansion of its partnership with L&T Technology Services, where it added more than 1,100 managed office seats in Pune, further strengthening its enterprise portfolio.
Flexible Workspace Market Continues to Mature
Commenting on the company’s expansion pipeline, Sarda said, “The hardest thing in this business is finding great buildings, and we have already found our next two years’ worth.” The statement reflects Smartworks’ confidence in both its real estate pipeline and the long-term demand outlook for managed office solutions.
The company’s latest results also mirror broader industry trends, with enterprises increasingly adopting flexible workspace models to support hybrid work, rapid expansion, and multi-city operations. As demand from Global Capability Centres (GCCs), technology companies, and large corporates continues to grow, operators with strong enterprise relationships and scalable portfolios are well positioned for long-term success.
With improving profitability, expanding revenues, and a robust development pipeline, Smartworks is reinforcing its position as one of India’s leading managed workspace providers while contributing to the continued evolution of the country’s flexible office market.
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