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Urban Company Shares Plunge 7% As InstaHelp Losses Mount
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CNBC TV18•19-10-2026, 09:40
Urban Company Shares Plunge 7% As InstaHelp Losses Mount
- •Urban Company shares fell over 7.5% on Monday, becoming the top Nifty 500 loser after reporting wider quarterly losses.
- •The home services operator posted a net loss of ₹182.48 crore for the September quarter, significantly higher than ₹59.33 crore last year.
- •Revenue grew by 41% year-on-year to ₹537.29 crore, driven by strong core business and Native segment growth.
- •InstaHelp remained a major financial drag, reporting a widened EBIT loss of ₹173 crore alongside high per-order losses compared to competitor Snabbit.
- •Analyst sentiment is mixed with four sell ratings, three buys, and two holds, while Kotak Institutional Equities recently downgraded the stock to sell.
Key Questions Answered
Urban Company shares dropped over 7.5% on Monday, October 19, 2026, because the home services operator reported a wider net loss of ₹182.48 crore for the September quarter compared to ₹59.33 crore in the previous year, driven primarily by mounting losses in its InstaHelp investments.
The core business remained strong during the quarter with a 28% revenue growth, while earnings before tax (EBIT) grew more than four-fold and margins expanded sharply to 12.9% from 3.9% earlier.
While the order value per job was nearly the same at ₹113 for InstaHelp and ₹114 for Snabbit, InstaHelp's loss per order was much higher at ₹279 compared to Snabbit's loss of ₹225.
