Home services marketplace Urban Company reported a consolidated net loss of ₹182.5 crore in Q2 FY27, widening from ₹59.3 crore in the year-ago quarter and ₹92 crore in the June quarter, as investments in its quick-services vertical InstaHelp weighed on profitability. Revenue from operations rose 41.4% year-on-year to ₹537.3 crore — a growth-with-costs quarter for startup funding in India's listed startups.
The Gurugram-headquartered company's total expenses climbed 61% year-on-year to ₹745.7 crore. It reported an adjusted EBITDA loss of ₹144 crore after investing ₹174 crore in InstaHelp. Excluding the quick-services vertical, adjusted EBITDA stood at ₹30 crore, up 213% from the year-ago period — underscoring the gap between the established core and the new bet.
Startup funding India: InstaHelp's expensive race
InstaHelp remained the drag: the segment reported a loss of ₹173.12 crore in the quarter versus ₹42.91 crore a year ago, while its Net Order Value declined to ₹114 from ₹138 amid heightened competition and lower introductory prices. InstaHelp segment revenue rose to ₹20.54 crore from ₹1.43 crore.
Meanwhile, the company's board approved raising up to ₹2,500 crore through equity shares or convertible securities via a qualified institutional placement, subject to shareholder approval. Revenue from India consumer services, excluding InstaHelp, rose 28.4% to ₹336.38 crore; 'Native' grew 39.7% to ₹105.37 crore; and the international business rose 82.1% to ₹75 crore.
Why it matters for founders
Listed startups can't hide unit economics — Urban Company's core grew margins 213% while its quick-services bet burned ₹174 crore. The market will fund expansion but judge each vertical separately. Report segment numbers cleanly; investors already are.