Financial Performance Summary

Quarterly Performance (Q2 FY27 vs Q2 FY26):

  • Revenue from Operations: ₹4,519.9 million (up 19.9% YoY from ₹3,768.8 million)
  • Reported EBITDA (excluding Other Income): ₹501.5 million (up 21.5% YoY from ₹412.7 million); Margin: 11.1% (vs 11.0%)
  • Reported IndAS EBITDA (including Other Income): ₹661.9 million (up 31.2% YoY from ₹504.4 million); Margin: 14.6% (vs 13.4%)
  • Profit Before Tax: ₹265.4 million (up 66.3% YoY from ₹159.6 million); Margin: 5.9% (vs 4.2%)
  • Profit After Tax: ₹158.9 million (down -0.4% YoY from ₹159.6 million); Margin: 3.5% (vs 4.2%)
  • Operating EBITDA: ₹305.0 million (up 25.8% YoY from ₹242.4 million); Margin: 6.7% (vs 6.4%)

Half-Yearly Performance (H1 FY27 vs H1 FY26):

  • Revenue from Operations: ₹8,569.0 million (up 18.4% YoY from ₹7,240.0 million)
  • Reported EBITDA (excluding Other Income): ₹1,065.5 million (up 24.0% YoY from ₹859.0 million); Margin: 12.4% (vs 11.9%)
  • Reported IndAS EBITDA (including Other Income): ₹1,382.0 million (up 33.9% YoY from ₹1,031.9 million); Margin: 16.1% (vs 14.3%)
  • Profit Before Tax: ₹628.5 million (up 76.7% YoY from ₹355.7 million); Margin: 7.3% (vs 4.9%)
  • Profit After Tax: ₹392.7 million (up 10.4% YoY from ₹355.7 million); Margin: 4.6% (vs 4.9%)
  • Operating EBITDA: ₹673.3 million (up 39.0% YoY from ₹484.3 million); Margin: 7.9% (vs 6.7%)

Key Operational and Financial Metrics

Sales Mix by Category (Q2FY27/H1FY27):

  • Mattresses: 61.8% / 63.7%
  • Furniture: 30.1% / 29.0%
  • Furnishings: 8.1% / 7.3%

Sales Mix by Channel (Q2FY27/H1FY27):

  • Own Channels: 70.0% / 71.1%
  • External: 30.0% / 28.9%

Retail Channel Growth: ~24% YoY in Q2FY27 and ~22% YoY in H1FY27

Store Network as of September 30, 2026:

  • COCO Stores: 205 stores across 137 cities (41 new stores opened in Q2 FY27; 68 opened in H1 FY27)
  • MBO Stores: 2,589 stores across 787 cities (vs 2,250 stores across 701 cities as of June 2026)

Gross Profit: Q2 FY27 stood at ₹2,435.6 million (53.9% margin) vs Q2 FY26 ₹2,174.5 million (57.7% margin), registering 12.0% YoY growth in absolute terms.

ESOP Expenses: ₹25.5 million in Q2FY27 vs ₹3.6 million in Q2FY26.

Advertisement and Marketing Spend: 5.2% of Revenue from Operations in Q2 FY27 and 6.3% in H1 FY27.

Deferred Tax Charge: ₹64.3 million in Q2 FY27 (vs nil in Q2 FY26 and ₹73.0 million in Q1 FY27). This is attributed to (i) normal-course reversal of timing differences relating to depreciation and provisions, and (ii) unwinding of deferred tax asset on carried-forward losses. This is a non-cash, accounting-driven movement.

PAT Excluding Deferred Tax: Q2 FY27 stood at ₹223.2 million (4.9% of Revenue from Operations) vs ₹159.6 million (4.2%) in Q2 FY26, registering 39.9% YoY growth. For H1 FY27: ₹530.0 million (6.2%) vs ₹355.7 million (4.9%) in H1 FY26, up 49.0% YoY.

Management Commentary Highlights:

  • Ankit Garg, Chairman, CEO and Executive Director, noted this was the highest-ever quarterly revenue despite a shift in festive demand to Q3 (festive sales began second week of October 2026 vs late September 2025).
  • Mattresses grew 21.4% YoY in Q2 FY27; furniture revenue grew 24.9% YoY.
  • Repeat customers contributed 32.4% of revenue during the quarter.
  • Chaitanya Ramalingegowda, Executive Director, highlighted challenging operating environment with elevated crude-linked raw materials (Polyol and TDI) and geopolitical disruptions in West Asia impacting raw material availability and logistics.
  • Company has crossed milestone of 10 million lifetime orders.
  • FY27 capex plan of ₹1,000-1,200 million remains on track, with ~80% allocated towards retail expansion (jumbo store format).
  • First jumbo store in Bengaluru targeting launch in Q2 FY28.

Additional Context

Note: Operating EBITDA represents EBITDA before considering Ind AS116 adjustments (lease), ESOP charges and other non-operating or one time income & expenses.

In accordance with IndAS 12, the Company recognized one-time higher Deferred Tax Asset (DTA) of ₹980.7 million under tax expense (credit) in Q4FY26 and partial unwinding of DTA in the form of Deferred Tax expense of ₹73.0 million in Q1 FY27 and ₹64.3 million in Q2 FY27.