Home / Business and Economy / Rentomojo Shares Soar 38% Post-IPO
Rentomojo Shares Soar 38% Post-IPO
15 Oct
Summary
- Rentomojo shares rose 38% above IPO price of ₹404.
- Revenue increased 51% year-on-year to ₹126.3 crore in Q1 FY27.
- Operating cash flow of ₹173 crore in FY26 exceeded capital expenditure.
Rentomojo's stock price has seen a significant increase of 38% above its Initial Public Offering (IPO) price of ₹404. This surge, following its listing on September 17, 2026, reflects investor confidence in the company's robust revenue growth and improving financial performance.
In the first quarter of fiscal year 2027 (Q1 FY27), Rentomojo reported a substantial 51% year-on-year increase in revenue from operations, reaching ₹126.3 crore. The company also demonstrated strong profitability metrics, with a normalized EBITDA margin of approximately 41% and an EBIT margin of nearly 23%.
Further bolstering the company's valuation is its solid cash generation. Rentomojo generated ₹173 crore in operating cash flow in FY26, significantly exceeding its growth-related capital expenditure of ₹87.5 crore. This healthy cash flow has been consistent over the past three years.
Recent operational highlights include improved inventory utilization, with average occupancy rising to 85.7%. The company is also expanding its private-label sourcing and exploring service-intensive categories like water purifiers, indicating a strategic focus on sustained growth and enhanced offerings.
