Rentomojo reported revenue from operations of Rs 142.11 crore for the quarter ended September 30, up 52.8 per cent from Rs 93.01 crore a year earlier. The numbers came in the furniture and appliance rental platform’s second quarterly results since its stock market listing in September.
Profit after tax came in at Rs 18.19 crore, down 62.6 per cent from Rs 48.61 crore in the same quarter last year. The drop is a tax story rather than an operating one, since the year-ago quarter included a one-time deferred tax credit of Rs 32.84 crore.
Strip that effect out and the picture looks strong. Normalised profit after tax rose 52.2 per cent to Rs 24 crore, and profit before tax grew about 55 per cent to Rs 24.4 crore. Profit also jumped 132.1 per cent from Rs 7.84 crore in the June quarter.
A tax credit explains the profit drop
In the September quarter last year, Rentomojo booked a deferred tax credit of Rs 32.84 crore, which lifted its reported profit. This time it paid tax of about Rs 6.2 crore instead, and that swing explains most of the gap.
The operating lines back that reading. Earnings before interest, tax, depreciation and amortisation rose to nearly Rs 58 crore from Rs 37.6 crore a year earlier, with the margin steady at about 40 per cent.
Operating profit grew about 50 per cent to Rs 22.3 crore, while total expenses rose 53 per cent to Rs 120 crore, in line with revenue.
The June quarter comparison is flattered by a weak base. Profit then was Rs 7.84 crore after an exceptional loss of Rs 11.37 crore linked to a fire at one of its warehouses.
IPO money is already cutting debt
Rentomojo used Rs 70 crore of its IPO proceeds to retire debt during the quarter. Its net debt to equity ratio now stands at 0.28 times. The monitoring agency CRISIL Ratings confirmed the proceeds were used as stated in the offer document, with no deviation.
The company listed on the NSE and BSE on September 17, 2026, at Rs 482.45 a share, a premium of about 19 per cent over its issue price of Rs 404.
The offer raised Rs 150 crore in fresh capital as part of a total issue size of Rs 1,255.57 crore.
The market rewarded the numbers
Rentomojo shares fell about 3 per cent in early trade on Wednesday, then recovered to climb as much as 10 per cent to Rs 650, a new 52-week high.
The stock has now gained about 48 per cent from its issue price, valuing the company at roughly Rs 6,060 crore.
A decade of renting before the listing
Rentomojo was founded in November 2014 by Geetansh Bamania and Ajay Nain, two IIT Madras graduates. Bamania, who leads the company as chairperson, managing director and chief executive, started it after finding it easier to rent furniture for his own home than to buy it.
The platform now counts about 2.5 lakh active subscribers, which the company estimates gives it roughly 55 per cent of the organised furniture rental market by subscriber base. It operates across 22 cities from 21 warehouses, with a portfolio of 7.29 lakh products.
Growth has been steady rather than sudden. Revenue rose 45.5 per cent to Rs 386.99 crore in the year ended March 2026, with profit after tax of Rs 104.3 crore. The company has been profitable since the 2022-23 financial year.
The next test is whether Rentomojo can keep growing revenue at this pace while turning operating gains into reported profit. The tax base effect will fade from the comparison in the coming quarters, so the profit line should soon show the same story as the revenue line.
