Operating revenue rises 61.9 per cent to Rs 370.4 crore, while Ebitda nearly doubles to Rs 129.5 crore during the fiscal
Furniture rental startup Furlenco’s net profit jumped nearly 20-fold to Rs 59.5 crore in FY26 from Rs 3.1 crore in the previous financial year. The company, which turned profitable in FY25, also reported strong growth in revenue, supported primarily by higher income from its furniture and office equipment rental business.
The Bengaluru-based company’s operating revenue increased 61.9 per cent year-on-year to Rs 370.4 crore in FY26, compared with Rs 228.7 crore in FY25. Its operating revenue has increased around 2.6 times over the past two financial years, rising from Rs 140 crore in FY24.
Including other income of Rs 5 crore, Furlenco’s total income rose 56.4 per cent to Rs 375.4 crore during the fiscal. The company’s improved profitability came alongside higher revenue, while its earnings before interest, tax, depreciation and amortisation (EBITDA) also recorded a substantial increase during the year.
Rentals Remain Key Revenue Driver
Furniture and office equipment rentals remained Furlenco’s largest source of operating revenue, contributing Rs 341.1 crore, or about 92 per cent, of the total. Rental income increased 64 per cent year-on-year in FY26, while revenue from furniture sales grew 38 per cent to Rs 29.4 crore.
Furlenco’s Ebitda nearly doubled to Rs 129.5 crore in FY26 from Rs 66.4 crore in the previous fiscal. The company’s Ebitda margin consequently expanded to 35.01 per cent from around 29 per cent a year earlier, indicating an improvement in operating profitability alongside the growth in its revenue.
Founded in 2012, Furlenco operates a subscription-based furniture and appliance rental platform offering more than 300 stock keeping units (SKUs) across 28 cities. Its markets include Bengaluru, Mumbai, Delhi-NCR, Chennai and Kolkata. The company also sells new furniture as part of its broader business model.
During FY26, Furlenco raised Rs 125 crore to strengthen its presence in existing markets and expand into new cities. The capital is also being deployed towards product innovation, technology investments and customer experience, as the company looks to scale its operations across the country.
The startup has raised more than USD 290 million in funding to date from investors including Lightbox Ventures, Crescent Ventures, Sheela Foam, WhiteOak and Madhu Kela. The latest capital infusion adds to its efforts to expand its market presence while investing in technology, products and customer-facing capabilities.
Expenses Rise At Slower Pace
Furlenco’s total expenditure increased 45.1 per cent to Rs 343.9 crore in FY26 from Rs 236.9 crore in the preceding fiscal. The increase in expenses remained below the company’s revenue growth during the year, contributing to the improvement in its overall profitability.
Other expenses accounted for 52.7 per cent of Furlenco’s total expenditure during FY26. This category includes costs related to power and fuel, rent, insurance and transportation, among other operating expenses incurred in running its rental and furniture business across multiple markets.
Employee benefit expenses rose 17.7 per cent to Rs 36.2 crore in FY26 from Rs 30.7 crore in the previous year. The expense includes salaries, wages, gratuity and provident fund contributions, reflecting the increase in personnel-related costs during the period.
Depreciation and amortisation expenses increased 57.5 per cent to Rs 70.3 crore from Rs 44.6 crore in FY25. Finance costs also rose during the year, increasing 75.5 per cent to Rs 32.7 crore from Rs 18.6 crore in the preceding fiscal.
