Financial Performance
Dev Accelerator Ltd reported a strong financial performance for the fiscal year ended March 2026, with consolidated revenue hitting ₹226 crore. This performance aligns with the management's pre-IPO guidance of ₹225 crore. Profitability remains a key strength, with a consolidated EBITDA margin of 48.4%.
On a standalone basis, the company performed even better, generating ₹171 crore in revenue with an EBITDA margin of 60.5%. The net profit for the year stood at ₹8.8 crore, representing a significant 404% increase year-on-year, while the company maintained a rent-to-revenue ratio of 2.4x, outperforming the industry average of 2.2x.
Management Outlook and Growth Strategy
The leadership has outlined an aggressive growth trajectory for the upcoming years, specifically targeting ₹330-350 crore in revenue for FY27. To support this scale, the company plans to invest between ₹200 crore and ₹225 crore in capital expenditure, aiming to expand its total managed area to 3 million square feet by FY28. Funding for this expansion is expected through a combination of ₹100 crore in Non-Convertible Debentures (NCDs) and a ₹35 crore preferential issue.
Management expressed high confidence in their first-mover advantage regarding institutional-grade supply in Tier 2 cities, which are increasingly becoming hubs for Global Capability Centers.
Business Overview
The company is evolving from a coworking provider into a comprehensive development management platform. Its business model focuses on asset-light growth, particularly targeting the enterprise segment which now accounts for 65% of revenue. Key upcoming projects include the Capital One campus, which already boasts a 95% occupancy rate pre-launch, and the Million Minds project at Vaishnodevi.
The company's design and technology arms, Needle & Thread and SaaSjoy, also contributed significantly to the top line, with the design segment alone accounting for ₹52.3 crore in revenue.
What to Watch
- Execution and delivery of the 15.75 lakh sq ft contracted space in Ambli Bopal.
- The impact of the ₹100 crore NCD issuance on the company's leverage and interest coverage.
- Successful migration of enterprise clients to newly launched assets in Bangalore and Pune.
- Operational improvements following the strategic decision to shut down the non-performing Noida asset.
- Sustainability of the 60% standalone EBITDA margins as the company scales its leadership team.
Strategic Direction
Management explicitly guided ₹225cr revenue for FY26 during pre-IPO roadshows and achieved ₹226cr (on track), but more importantly, provided future growth guidance for FY27 revenue of ₹330-350cr, representing 46-55% YoY growth over FY26.
