Should you buy, sell, or hold Awfis Space shares after strong Q3 results?

Synopsis: AWFIS Space Solutions Limited reports 20.16% YoY revenue growth and a  42.78% YoY net profit surge in Q3 FY26 results, along with Choice Institutional Equities projects 52 percent potential upside.

This Small-cap Stock, engaged in providing flexible workspaces, co-working spaces, managed offices, and allied services across multiple cities in India, jumped 10.59 percent after the company reported December quarterly results with a 42.78 percent YoY increase in net profit.

With a market capitalization of Rs. 2,738.44 crores, the share of AWFIS Space Solutions Limited has reached an intraday high of Rs. 429.55 per equity share, rising nearly 10.59 percent from its previous day’s close price of Rs. 388.40. Since then, the stock has retreated and is currently trading at Rs. 382.95 per equity share.

Q3 FY26 Result

Coming into the quarterly results of AWFIS Space Solutions Limited, the company’s consolidated revenue from operations increased by 20.16 percent YOY, from Rs. 317.72 crore in Q3 FY25 to Rs. 381.78 crore in Q3 FY26, and grew by 4.07 percent QoQ from Rs. 366.86 crore in Q2 FY26.

AWFIS Space Solutions Limited generated 84.27 percent of its Co-working space on rent & allied services segment and 15.73 percent from Construction & fit-out projects segment in Q3 FY26.

In Q3 FY26, AWFIS Space Solutions Limited’s consolidated net profit increased by 42.78 percent YOY, reaching Rs. 21.66 crore compared to Rs. 15.17 crore during the same period last year. As compared to Q2 FY26, the net profit has increased by 35.63 percent, from Rs. 15.97 crore.

The basic earnings per share increased by 40.93 percent and stood at Rs. 3.03 as against Rs. 2.15 recorded in the same quarter in the previous year, FY2025. AWFIS Space Solutions Limited’s revenue has grown at a CAGR of 67.51 percent over the last three years.

In terms of return ratios, the company’s ROCE and ROE stand at 12.9 percent and 26.1 percent, respectively. AWFIS Space Solutions Limited has an earnings per share (EPS) of Rs. 8.24, and its debt-to-equity ratio is 2.91x.

Brokerage Viewpoints

Choice Institutional Equities, a prominent brokerage firm, has recommended a “Buy” call on AWFIS Space Solutions Limited with a revised target price of Rs. 590 per share from Rs. 760 per share, indicating an upside potential of 54.07 percent from its current market price.

Choice Institutional Equities revised its outlook on AWFIS due to expectations of higher capital expenditure and lower profit after tax during FY26-28E. The brokerage has also reduced its valuation multiple to 15x EV/Adjusted EBITDA from 16x earlier, reflecting cautious investor sentiment and weaker relative performance in the office space sector. Despite this adjustment, the company continues to demonstrate operational resilience.

Current Capacity

AWFIS Space Solutions Limited continued expanding its footprint as of December 31, 2025, with 257 signed centres representing 177K seats and 8.6 Mn sq. ft. Total supply stood at 246 centres with 166K seats. 

During Q3, the company added 8K seats and launched 11 new centres; 34K seats were added year-on-year, taking operational capacity to 152K seats, reflecting 25 percent YoY growth.

AWFIS Space Solutions Limited was incorporated in December 2014 and is headquartered in India, and is the country’s largest flexible workspace provider. The company offers co-working spaces, customized offices, day passes, meeting rooms, and allied services like IT support, F&B, and event hosting for startups, SMEs, and corporates.

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