Leading co-working company Awfis (NSE: AWFIS) has achieved outstanding financial outcomes in FY24. The company’s sales increased significantly year over year, rising to a total of Rs 849 crore, or 55.8%. Alongside this expansion, losses have significantly decreased, falling to Rs 17.8 crore for the fiscal year ending in March 2024, a 61.8% decrease.
Awfis’ Growth Trajectory
Since its founding in 2015, Awfis has made a name for itself as a top supplier of scalable office solutions for small and medium-sized businesses as well as startups. They provide a full range of supplementary services to meet different corporate demands, going beyond just workspace. These services include infrastructure services, IT support, and food and beverage alternatives.
Revenue Breakdown
Co-working space rentals and related services continue to be a major source of income for Awfis. This category generated Rs 619 crore in FY24 as opposed to Rs 419 crore the year before, a 47.7% year-over-year gain. This amounts to an astounding 73% of Awfis’ overall operating income.
The company also generates revenue from construction and fit-out projects, facility management, and food sales. While the specific breakdown of these revenue streams is not provided here, you can find a more detailed analysis on TheKredible [invalid URL removed].
Expense Management
While revenue has grown considerably, Awfis has also seen an increase in expenses. The company’s burn on subcontracts stood at Rs 171 crore in FY24. Employee benefits also saw a significant rise of 41.7%, reaching Rs 136 crore in FY24. Overall expenditure grew by 45.8% to Rs 892 crore in FY24, compared to Rs 612 crore in FY23. This increase can be attributed to factors such as finance costs, legal expenses, depreciation and amortization, and the purchase of traded goods.
The results for Awfis in FY24 show a clear route to profitability. The co-working business appears to be in good shape given the notable increase in income and the notable decline in losses. Awfis is in a good position to benefit from the growing trend of demand for flexible workplace solutions and maintain its market-leading position.
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