Urban Company Turns Profitable in FY25: Reports INR 239.7 Cr Net Profit Amid 38% Revenue Growth
Urban Company, India’s leading tech-enabled home services marketplace, has achieved a major financial milestone by turning profitable in the financial year ended March 31, 2025 (FY25). The startup reported a net profit of INR 239.7 crore, a remarkable turnaround from a loss of INR 92.7 crore in FY24. This marks a significant shift in the company’s financial trajectory, underscoring its operational efficiency and growing consumer demand in the hyperlocal services sector.
Founded in 2014 by Abhiraj Singh Bahl, Raghav Chandra, and Varun Khaitan, Urban Company has rapidly evolved into a full-stack platform that connects users with trusted professionals for a range of household services. These include home cleaning, salon and massage services at home, appliance repair, plumbing, electrical work, and painting services. The company’s robust app-based platform ensures convenience, quality, and transparency, making it a go-to destination for urban consumers.
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Strong Revenue Growth in FY25
Urban Company’s operating revenue surged 38.2% year-over-year, reaching INR 1,144.4 crore in FY25, compared to INR 828 crore in FY24. This substantial growth reflects increasing consumer reliance on at-home services, especially in tier-1 and tier-2 cities. The startup’s continuous investment in customer experience, technology, and professional training programs has contributed to both higher transaction volumes and improved service quality.
The company’s focus on scaling its premium services and subscription offerings—such as its UC Plus membership—has helped increase repeat usage and improve customer retention. In addition, Urban Company’s foray into international markets, including the UAE and Singapore, has begun to show positive results, contributing to the overall revenue growth.
Backed by Global Investors and Industry Veterans
Urban Company has garnered support from some of the most prominent names in the venture capital ecosystem. Its investor list includes Ratan Tata, Accel Partners, Tiger Global, Prosus, and Steadview Capital. To date, the company has raised close to $700 million in funding since its inception. These strategic investments have played a crucial role in building the company’s tech infrastructure, professional training academies, and international expansion plans.
A Path Toward Sustainable Profitability
Urban Company’s profitability in FY25 signals a new chapter in its journey. The company’s emphasis on unit economics, streamlined operations, and improved margins across service categories has enabled it to shift from a growth-at-all-costs strategy to sustainable expansion. With rising demand for home services in urban centers and a growing preference for digital platforms, Urban Company is well-positioned for continued success.
Looking ahead, the company aims to further invest in AI-powered personalization, professional upskilling, and global market penetration. With a proven business model and a strong financial footing, Urban Company is emerging as a leader in the on-demand services space, setting benchmarks for other startups in India’s digital economy.
Tags: Urban Company profitability, Urban Company FY25 financials, hyperlocal services startup, Abhiraj Singh Bahl, home services marketplace, startup news India, Urban Company revenue growth, Indian startups 2025.
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