Managed office space provider Smartworks has raised its revenue growth guidance for FY27 to 33–35%, up from its earlier projection of 28–30%, following strong leasing activity during the second quarter of FY27.
During the July-September quarter, the company’s revenue increased 39% year-on-year (YoY) to Rs 591 crore. Meanwhile, normalised EBITDA grew 68% YoY to Rs 117 crore, while normalised profit after tax (PAT) more than doubled to Rs 43.4 crore, registering a growth of 136%.
Furthermore, Smartworks has recorded six consecutive quarters of sequential revenue and margin growth, with a 360-basis-point expansion in margins. Its contracted rental revenue has also increased to Rs 5,800 crore, supported by expansion from existing clients and new enterprise wins.
Consequently, the company’s total operational and contracted footprint has reached 17.5 million sq. ft. across 71 centres. Additionally, two of its largest campuses globally, Eastside in Pune and Eastbridge in Mumbai, are scheduled to become operational in the second half of FY27.
Smartworks has retained its normalised EBITDA margin guidance of 19–20%, with performance trending towards the upper end of the range. It has also maintained its annual expansion target of adding 2.5–3 million sq. ft.
“Existing clients are expanding with us across cities, while new global businesses, Indian conglomerates, and GCCs are choosing our platform for their infrastructure needs. Our increasingly diversified client portfolio and growing pipeline of large deals reinforce the strength of our business model,” said Neetish Sarda, Founder & Managing Director, Smartworks.
Meanwhile, the company continues to witness strong demand from large enterprises, with existing customers expanding their presence across campuses and new businesses opting for its managed office platform.
Enterprise clients currently contribute 91% of Smartworks’ rental revenue. Moreover, clients occupying more than 1,000 seats account for 41% of rental revenue, compared with 35% a year ago. Similarly, multi-city clients contribute 35% of rental revenue, up from 31% in Q2 FY26.
In addition, demand from Global Capability Centres (GCCs) continues to gain momentum, with these centres contributing 22% of the company’s rental revenue.
“As large corporates expand across cities, they increasingly want the flexibility to grow teams, enter new markets, and become operational quickly, without the complexity of building offices themselves—and large-format managed campuses are emerging as their preferred choice. We continue to add campuses in prime locations across key business markets, creating the capacity for corporates to scale and grow,” Sarda said.
