01 — At a Glance
The 105-Centre Empire That’s Still Figuring Out Profitability
- 52-Week High / Low₹244 / ₹135
- Q3 FY26 Revenue₹395 Cr
- Q3 FY26 PAT₹40 Cr
- 9M FY26 Revenue₹1,063 Cr
- 9M FY26 PAT₹95 Cr
- IPO Listing DateJuly 30, 2025
- IPO Raised₹604 Cr (Net)
- Debt / Equity8.67x
- ROE (Last Year)-234%
- AUM / Portfolio9.55 Mn Sq Ft
The Plot So Far: IndiQube just went public 8 months ago and posted record quarterly revenue of ₹395 crore in Q3 FY26. PAT “more than doubled” to ₹40 crore. Sounds like growth porn on a handout. Then you check the balance sheet and see ₹234% negative ROE, Debt/Equity of 8.67x, and ROCE of 4.76%. This is what happens when you list a capex machine pretending to be a business. The IPO raised ₹604 crore. Management has burned through capex like a college student with their parent’s credit card. We need to understand what’s actually happening here.
02 — Introduction
Welcome to the Workspace Wars. IndiQube Just Entered the Octagon.
Let’s level-set. IndiQube Spaces is not a new company — it was founded in 2015 as Innovent Spaces. They provide managed office spaces. Think of it as your corporate office, but you don’t own the building, don’t hire the security guy, don’t worry about the water cooler. You rent the keys, plug your laptop, and pretend you’re not working from your couch. The company grew aggressively through capex-fuelled expansion. By FY25 (March 2025), they operated 105 centres across 15 cities with 8.4 million square feet of managed workspace. Then they went to public via IPO in July 2025 and raised ₹604 crore.
Now, 9 months into FY26 (April 2025–December 2025), they’re posting record revenue — ₹1,063 crore in 9 months, up 37% YoY. Q3 revenue hit ₹395 crore, a quarterly record. PAT of ₹40 crore in Q3 is “more than double” YoY according to the press. The stock is down 38.5% from IPO. The company is burning cash on capex like it’s going out of style. Yet management’s tone on the concall is zen: “Scale-led growth, stable margins, everything is fine.”
This is a study in IPO euphoria meeting operational reality. The business model is elegant: lease buildings at a fixed long-term rate, subdivide them, rent to enterprises at premium rates, pocket the spread. But the financial statements read like a Shakespearean tragedy in progress. A ₹234% negative ROE. A Debt/Equity of 8.67x. And the auditors are sitting there with certified financial statements that technically say the company is profitable, while the balance sheet screams otherwise.
Let’s break down what’s actually happening.
Concall Clarity (Feb 2026): Management stated PAT “more than doubled” YoY in Q3, and 9M PAT is up 284% YoY. They also clarified that under Ind AS 116 accounting, lease liabilities on the balance sheet are “purely non-cash and notional in nature.” Translation: our GAAP numbers look awful because accounting rules force us to recognize future lease commitments as liabilities. But operationally, we’re fine. Investor confidence: not restored.
03 — Business Model: Rent It, Slice It, Sell It Pricy
The Workspace Arbitrage Machine (That Requires Infinite Capex)
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