HomeLane's revenue holds flat at ₹745 crore in its first year with DesignCafe

HomeLane’s revenue was broadly flat in the year to March 2026, its first full year after taking over rival DesignCafe, as the Bengaluru home interiors company put margins ahead of growth.

Revenue for FY26 was ₹745 crore, compared with ₹756 crore in FY25, The Economic Times and Moneycontrol reported on Monday, citing the company. That is a decline of about 1.5 percent.

HomeLane reported a loss of ₹137 crore for the year. The Economic Times described the figure as a loss before tax, up from ₹111 crore a year earlier. Moneycontrol described it as an EBITDA loss and said it included ₹19 crore of one-time integration costs.

“We were very clear that we wanted to use the year to solidify our margins, increase gross margin and have the base set so that we could get to EBITDA positivity in FY27,” founder and chief executive Srikanth Iyer told Moneycontrol.

Much of that work went into manufacturing and back-end functions. HomeLane previously ran five factories and DesignCafe two; the companies now operate a single combined manufacturing setup that processes about 1.5 million square feet of modular furniture a month, according to Moneycontrol. Direct project costs fell to 52 percent of revenue in FY26 from 56.6 percent in FY25, an improvement of 460 basis points. The company said its own Tyrox private-label hardware now accounts for more than half of the hardware HomeLane uses.

In the January–March quarter, HomeLane turned positive on operating EBITDA, with a margin of about 5 percent on revenue of ₹212 crore, Moneycontrol reported. Iyer said the company is also using artificial intelligence in design work, which has cut design-related expenses, previously about 7 to 7.5 percent of revenue, by about 1.5 to 2 percentage points.

For FY27, HomeLane is targeting revenue of ₹1,000 crore, about 34 percent more than in FY26, with the second half expected to be stronger than the first. It expects about ₹100 crore to come from new studios and the rest from its existing network, and it is adding studios under a franchise-owned, franchise-operated model. DesignCafe, whose revenue was about ₹140 crore when it was acquired, is expected to reach ₹270 crore in FY27.

HomeLane, founded in 2014, counts Peak XV Partners, Accel and Pidilite Industries among its investors and competes with Livspace and Godrej Interio. In June, Iyer told Reuters the company planned to go public in 12 to 24 months.

The figures were shared by the company with the publications cited; HomeLane is privately held. This report is not investment advice.