Aurum Proptech Q2 FY26: Revenue Jumps 30%, Hits Profitability

Introduction

Aurum PropTech Limited has announced a significant operational turnaround in its financial results for the second quarter of fiscal year 2026. The company achieved its first-ever profitable quarter on an adjusted EBITDA basis, supported by a robust 30% year-on-year growth in revenue. This performance signals a new phase of disciplined execution and financial stability for the IT services firm specializing in the real estate sector.

Q2 FY26 Financial Performance

For the quarter ending September 30, 2025, Aurum PropTech reported consolidated revenue from operations of Rs 82.50 crore, a substantial increase from the corresponding quarter in the previous year. A key highlight was the improvement in profitability metrics. The company's adjusted EBITDA margin saw a remarkable 700 basis point improvement, moving from a negative 4% in Q2 FY25 to a positive 3% in Q2 FY26. This shift underscores the company's successful focus on enhancing unit economics and operational efficiency. The loss before tax also narrowed significantly to Rs 6.96 crore from Rs 12.07 crore in the same period last year, while the net profit stood at a loss of Rs 5 crore.

Financial Highlights

Dominance of Rental and Distribution Segments

The company's revenue growth was primarily driven by its two core business verticals: Rental and Distribution. The rental business, which includes prominent brands like HelloWorld and NestAway, contributed 65% of the total revenue, amounting to Rs 54.11 crore. This segment achieved a milestone by reaching an Annual Recurring Revenue (ARR) of Rs 200 crore. The distribution vertical also demonstrated strong performance, with revenues of Rs 27.19 crore, marking a 62% year-on-year increase and contributing 33% to the total revenue. The capital segment made up the remaining 2%.

Segment Revenue Breakdown (Q2 FY26)

Strategic Acquisitions and Global Expansion

A key strategic development during the quarter was the completion of the acquisition of a 100% equity stake in PropTiger Marketing Services. The deal, valued at Rs 86.45 crore, was executed through an equity share swap, resulting in REA Group becoming a 5.5% shareholder in Aurum PropTech. This acquisition is expected to significantly bolster the company's distribution capabilities. In another strategic move, Aurum PropTech marked its international debut by launching "Nestr" operations in Dubai, targeting the Middle East's rental market.

Technological Advancements

Technology remains at the core of Aurum PropTech's strategy. Aurum Analytica, a part of the distribution segment, introduced a new AI-powered recommendation engine for leads. This innovation is anticipated to increase the price per lead and enhance client retention rates, driving further growth in the distribution vertical. The company continues to integrate AI, analytics, and automation across its platforms to improve customer experience and operational efficiency.

Management's Perspective

Ashish Deora, Founder & CEO of Aurum Ventures and Director of Aurum PropTech, commented on the quarterly performance. He stated, "Q2 FY '25-26 is our first profitable quarter on an adjusted EBITDA basis. This is due to our focus on relentless execution, unit economics, financial discipline, and unwavering pursuit of profitable growth." His statement highlights the management's commitment to building a sustainable and profitable business model.

Future Outlook and Market Position

Looking ahead, Aurum PropTech has set an ambitious target of achieving Rs 500 crore in Annual Recurring Revenue (ARR) across all its verticals by the fourth quarter of FY2026. With a market capitalization of approximately Rs 1,556 crore, the company is positioning itself as a significant player in the niche but rapidly growing PropTech industry. While smaller than IT giants like TCS or Infosys, its specialized focus and high-growth trajectory offer a distinct investment profile within the IT services and consulting sector.

Conclusion

Aurum PropTech's Q2 FY26 results mark a pivotal moment in its corporate journey, transitioning from a growth-focused phase to one of profitable growth. The combination of strong revenue expansion, improved margins, strategic acquisitions, and international expansion lays a solid foundation for its future. Investors will be closely monitoring whether the company can sustain this momentum and achieve its ambitious target of Rs 500 crore ARR in the coming quarters.