1. At a Glance
India’s largest co-working landlord, Awfis Space Solutions, is trying to be the WeWork that actually works. With 208 operational centers, 134,000+ seats, and an ambition that stretches across 18 cities, the company is scaling like startup coffee bills — fast and slightly overpriced. At a market cap of ₹3,978 Cr and a P/E of 79.6, investors are clearly betting that flexible desks will be the new gold mines. Or maybe they’re just high on the free cappuccinos.
2. Introduction
Once upon a time, office space meant cubicles, dusty AC vents, and a boss who thought plants were a distraction. Then came the co-working revolution — a fancy way to say “shared rent with free Wi-Fi.” Awfis entered the scene in 2014, and by FY25, it had grown from a few floors in Tier-1 cities to 58 micro-markets spread across 9 Tier-1 and 9 Tier-2 cities.
The pitch? Flexible workspaces for everyone — from freelancers who can’t stand working at home to MNCs trying to look cool to Gen Z hires. They even customise office layouts so your startup can pretend it’s the next Flipkart while actually running on three laptops and two unpaid interns.
But here’s the kicker — unlike some other global players, Awfis actually makes money now. Margins are expanding, revenue’s growing 30% YoY, and the balance sheet… well, let’s just say the debt deserves its own HR department.
3. Business Model (WTF Do They Even Do?)
Awfis’ business
model is part real estate, part hospitality, and part “selling Instagrammable ceilings.”
- Core Offering: Flexible desks, private cabins, meeting rooms, and enterprise-level customised office spaces.
- Target Clients: Startups, SMEs, corporates, and MNCs.
- Geography: 18 cities, 8.4 million sq. ft. footprint.
- Revenue Streams: Seat rentals, day passes, meeting room bookings, and now — new furniture business (₹8-10 Cr investment approved in Q1 FY26).
They also work on managed aggregation — essentially partnering with landlords instead of owning every square inch. This keeps capex lower but still brings recurring rental revenue.
4. Financials Overview
| Metric (FY25) | Value |
|---|---|
| Revenue | ₹1,208 Cr |
| EBITDA | ₹402 Cr |
| Net Profit | ₹68 Cr |
| OPM% | 33% |
| 3-Yr Sales CAGR | 67% |
| 3-Yr PAT CAGR | 40% |
| ROE | 23.6% |
Latest Quarter (Q1 FY26):
- Revenue: ₹335 Cr (+30% YoY)
- EBITDA Margin: 37.8% (coffee budget clearly under control)
- PAT: ₹9.98 Cr (EPS ₹1.40)
P/E recalculation (TTM EPS ₹10.63): P/E = 559 / 10.63 ≈ 52.6 — still lofty, but not the scary “79.6” you see on outdated portals.
5. Valuation – Fair Value RANGE
| Method | Multiple | FY25 Metric | Fair Value |
|---|---|---|---|
| P/E | 45–55x | EPS ₹10.63 | ₹478 – ₹584 |
| EV/EBITDA | 13–15x | EBITDA ₹450 Cr | ₹490 – ₹565 |
| DCF (10% WACC, 20% growth 5Y) | — | — | ₹500 – ₹600 |
