Rentomojo shares rally 6% after Q1 revenue rises 51%, normalised PAT grows 72% YoY
The company’s net profit, however, dipped nearly 39% to Rs 8 crore from Rs 13 crore posted in the corresponding quarter of the previous financial year. “Excluding the one time impacts of fire loss, other income, and the impact of DTA, which was not in Q1FY26, normalised PAT grew at a healthy 71.8% YoY and 11.2% QoQ,” the management said in a regulatory filing.
The investor presentation showed that margins for the quarter under review came in at 40.5%, largely unchanged from the year-ago period. EBITDA rose to Rs 51 crore from Rs 34 crore.
Rentomojo Q1 management commentary
The company said the company started FY27 on a strong note, with items ordered by subscribers rising 45.8% year-on-year and revenue from operations growing 51.1%, while normalised EBITDA margin remained around 41%. Management said the growth was supported by strong repeat behaviour, high organic demand and healthy internal cash generation.
The company said the IPO has strengthened its net worth and increased its ability to fund future growth, providing greater balance sheet flexibility as it scales. Earnings have also translated strongly into cash flows, with EBITDA-to-CFO conversion at 1.05x in FY26. Rentomojo generated Rs 1,729 million in cash flow from operations during the year, which fully funded its growth capex, while revenue grew by more than 40%.
Management said its long-term ambition is to build Rentomojo into a scaled, technology-led platform for flexible living, while maintaining a disciplined approach to profitability and capital efficiency.
Rentomojo shares made a modest Dalal Street debut on Thursday, listing at 19% premium over IPO price. The stock opened at Rs 482.45 on the NSE and Rs 480 on the BSE, as compared to its issue price of Rs 404.The IPO was subscribed 73 times overall. The retail portion was subscribed 15.62 times, while the non-institutional investor (NII) category saw 67.93 times subscription. Qualified institutional buyers (QIBs) led the demand, subscribing 177.29 times their allotted portion.
Rentomojo is an India-based D2C rental and subscription platform offering flexible access to furniture and appliances without upfront ownership costs.
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