Wakefit Innovations Limited announced its audited financial results for the quarter and financial year ended 31st March 2026, showcasing strong operational performance despite macroeconomic headwinds in the latter half of the year.
For FY26, the company reported revenue from operations of ₹14,889.4 million, representing a 16.9 per cent year-on-year increase from ₹12,736.9 million in FY25. Reported EBITDA excluding other income reached ₹1,819.6 million, a 207.9 per cent increase from ₹591.0 million in FY25, with a margin of 12.2 per cent compared to 4.6 per cent previously. Reported IndAS EBITDA including other income stood at ₹2,273.9 million, up 150.3 per cent from ₹908.3 million.
Profit after tax for FY26 reached ₹1,891.8 million with a margin of 12.7 per cent. The company’s PAT benefited from a deferred tax asset of ₹980.7 million recognised in accordance with Ind AS 12.
In Q4FY26, revenue from operations totalled ₹3,436.0 million, up 13.5 per cent from ₹3,026.1 million in Q4FY25. Operating EBITDA margin improved to 6.3 per cent in Q4FY26 from negative 1.1 per cent in Q4FY25. However, discretionary spending moderated in the latter half of Q4FY26 due to macroeconomic challenges.
Operationally, mattresses accounted for 61.4 per cent of FY26 revenue, furniture 29.3 per cent, and furnishings 9.3 per cent. Own channels contributed 67.2 per cent of FY26 revenue, up from 57.0 per cent in FY25, while external channels accounted for 32.8 per cent. Retail channel revenue grew 49 per cent in FY26 and 35 per cent in Q4FY26.
The company ended FY26 with 139 company-owned company-operated (COCO) stores across 76 cities and 1,948 multi-brand outlet (MBO) stores across 536 cities. During the year, the company added 42 new COCO stores and closed 8 stores. Gross profit for Q4FY26 stood at ₹1,923 million with a margin of 56 per cent.
Marketing spend in Q4FY26 represented approximately 7.3 per cent of revenue from operations. Net cash flow generated from operating activities for FY26 stood at ₹2,445 million. The company held investable cash of ₹9,586 million as of 31st March 2026.
ESOP expenses for FY26 totalled ₹33.0 million, with FY27 expected to incur ₹120 million in such charges. The board approved alteration of the Memorandum of Association to expand object clauses, enhancing the company’s integrated business offerings and enabling growth of ancillary products.
Ankit Garg, Chairman, Chief Executive Officer and Executive Director, noted that FY26 set a new revenue record. The mattress segment grew approximately 17 per cent year-on-year, whilst furniture category delivered approximately 24 per cent growth. Garg highlighted that structural growth drivers including rising urbanisation, premiumisation trends, and increasing online adoption continue to support long-term category expansion.
Chaitanya Ramalingegowda, Executive Director, highlighted March 2026’s significant raw material volatility, with select inputs including Polyol and TDI registering price increases between 30 and 160 per cent. The company managed cost inflation through strong supplier relationships and implemented measured pricing actions, with further increases implemented in April. He noted that owned channels contributed over 67.2 per cent of total FY26 revenues compared to 57.0 per cent in FY25, and MBO store counts increased 30 per cent during the year.
Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).