Gurugram-headquartered Smartworks Coworking Spaces is eyeing sustained annual revenue growth of 30–35 per cent over the next three to four years, driven by aggressive capacity additions, rising enterprise demand and improving operating metrics. The office space provider also plans to enter three to four new Tier-I markets by FY27, largely to cater to expanding requirements from existing enterprise clients, even as it reported its first quarterly profit since listing in July 2025.

“Our growth trajectory of 30-35 per cent year-on-year is something we are fairly confident about for the next three to four years. The supply we have already blocked and the new space we continue to add is commensurate with that growth,” Neetish Sarda, founder and managing director, Smartworks,  said following the firm’s December quarter results on Friday, according to a report by Business Standard.

The company reported a profit for the first time after its listing in July 2025, earning ₹1.2 crore in the third quarter against a loss of ₹16 crore in the same period a year ago.

Its revenues from operations grew 34 per cent to ₹472 crore in the quarter ended December versus the same period a year ago.

Earnings took a hit as operational expenses including employee expenses rose by 25 per cent and 54 per cent in the December quarter versus the same period a year ago, according to data in the company’s investor presentation.

The workspace operator currently operates across all nine major Indian office markets and has expanded into Tier-II cities such as Ahmedabad, Jaipur, Kochi, Coimbatore, and Indore. While Tier-I cities will continue to account for the bulk of growth, the company expects to add a few more Tier-II locations as demand emerges.

The company’s footprint has expanded from about 12 million square feet at the time of its IPO to over 15.3 million square feet as of December 2025. Smartworks plans to add 2.5 to 3 million square feet every year, translating into 45,000- 50,000 seats on an annual basis.

“We take large assets on long-term leases, certain accounting liabilities get created under Indian Accounting Standards, which reflect as depreciation and interest, even though these are not actual cash payouts,” he said on rising operating expenses.

Sarda added that the accounting adjustments are expected to reverse once the lease escalations kicks in.