Furlenco Delivers Strong FY26 Growth as Profit Surges
Furniture rental startup Furlenco recorded a significant improvement in its financial performance in FY26, with profit for the year climbing to ₹59.52 crore from ₹3.11 crore in FY25.
The increase represents a roughly 19-fold year-on-year jump and marks Furlenco's second consecutive profitable fiscal year after the company moved into the black in FY25. Revenue from operations, meanwhile, increased about 62% to ₹370.43 crore from ₹228.74 crore in the previous financial year.
The latest numbers indicate that Furlenco is not only expanding its top line but is also generating substantially stronger earnings as its rental-focused model scales.
Revenue Has Grown More Than 2.5X Since FY24
Furlenco's recent growth becomes more notable when viewed over a two-year period.
The company's revenue from operations stood at about ₹140 crore in FY24. It increased to ₹228.74 crore in FY25 before reaching ₹370.43 crore in FY26. That means operating revenue has expanded by roughly 2.6 times in two financial years.
Including other income of around ₹5 crore, Furlenco's total income reached approximately ₹375.4 crore in FY26, representing a 56.4% increase from the previous year.
Furniture Rental Remains Furlenco's Core Business
Rental services continued to account for the overwhelming majority of Furlenco's operating revenue.
Revenue from renting furniture and office equipment reached ₹341.1 crore in FY26, representing approximately 92% of total operating revenue. Rental income increased 64% year-on-year.
Furniture sales provided another source of growth, with revenue from the segment rising 38% to ₹29.4 crore.
The revenue mix shows that despite expanding into furniture sales and other home solutions, Furlenco remains predominantly a rental-driven company.
EBITDA Nearly Doubles to ₹129.5 Crore
The improvement was also visible at the operating level.
Furlenco's EBITDA nearly doubled to ₹129.5 crore in FY26 from ₹66.4 crore in FY25. Its EBITDA margin expanded to 35.01%, compared with roughly 29% in the previous financial year.
The combination of rapid revenue growth and a higher EBITDA margin suggests that the company generated stronger operating leverage as its business expanded.
Return on capital employed also improved to 13.17% from 5.37% in FY25, according to figures reported by ETRetail.
Expenses Rise as Furlenco Continues to Scale
Growth came alongside higher expenditure.
Furlenco's total expenses increased 45.1% year-on-year to ₹343.9 crore in FY26 from ₹236.9 crore in FY25. Other expenses—including categories such as transportation, rent, insurance, power and fuel—represented 52.7% of overall expenditure.
Employee benefit expenses increased 17.7% to ₹36.2 crore from ₹30.7 crore, while depreciation and amortisation expenses climbed 57.5% to ₹70.3 crore from ₹44.6 crore.
Finance costs rose more sharply, increasing 75.5% to ₹32.7 crore from ₹18.6 crore in FY25.
Despite the increase in expenditure, the company's revenue growth and improved operating profitability were strong enough to produce a substantial increase in reported profit.
Cash Position and Current Assets Strengthen
Furlenco also ended FY26 with a stronger balance-sheet position on some key measures.
Cash and bank balances more than doubled to ₹75 crore, while current assets increased 67.9% to ₹178 crore.
These improvements come as the company continues investing in expansion and strengthening its position in India's furniture and home-solutions market.
Furlenco Raised ₹125 Crore During FY26
During the financial year, Furlenco raised ₹125 crore to support expansion in existing markets, enter additional markets and invest in technology, product innovation and customer experience.
The company has raised more than $290 million in total funding, according to Inc42, with investors including Lightbox Ventures, Crescent Ventures, Sheela Foam, Whiteoak and Madhu Kela.
From Furniture Rentals to Broader Home Solutions
Founded in 2012, Furlenco operates a subscription-based furniture and appliance rental platform. Its catalogue includes more than 300 SKUs across 28 cities, including Bengaluru, Mumbai, Delhi NCR, Chennai and Kolkata. The business also sells furniture.
Its broader offering includes furniture and home décor rentals as well as purchase, refurbished furniture and relocation solutions.
The model targets consumers seeking access to furniture without necessarily committing to permanent ownership—a proposition that can be particularly relevant to renters, people relocating between cities and households looking for greater flexibility.
Why Furlenco's FY26 Numbers Matter
The most important feature of Furlenco's FY26 performance is the combination of growth and improved profitability.
Operating revenue rose about 62%, but profit increased far faster—from ₹3.11 crore to ₹59.52 crore. EBITDA also nearly doubled, and the EBITDA margin expanded to 35.01%.
That makes FY26 more than simply another year of revenue expansion for Furlenco. It provides evidence that the company's rental-led model has achieved substantially stronger operating economics as it has scaled.
The next test will be whether Furlenco can sustain those margins while continuing to invest in new markets, technology and customer acquisition.
