Rentomojo, a Bengaluru-based startup specializing in furniture and appliance rentals, reported operating revenue of nearly Rs 200 crore for FY24, showcasing a strong recovery as people returned to workplaces post-pandemic. The company achieved a 60% rise in revenue, reaching Rs 193 crore, according to its financial disclosures filed with the Registrar of Companies.
The company’s sharp focus on controlling expenses paid off significantly, with net profits soaring to Rs 22 crore in FY24 from just Rs 6 crore in the previous year. Its EBITDA (earnings before interest, depreciation, and amortization) also surged to Rs 65 crore, highlighting the company’s ability to manage costs while scaling its operations.
Geetansh Bamania, Rentomojo’s founder and CEO, attributed this growth to strategic automation efforts. He explained, “We’ve been able to expand quickly by automating key operational processes, reducing costs, and ensuring sustainable profitability.” Bamania further noted that consumer verification, previously handled manually, is now fully automated, reducing processing time to just one minute.
The company, founded in 2015 by Bamania and Ajay Nain, operates in 19 cities and manages around 30 offline stores. Although Nain left the company in 2018, Rentomojo continues to grow. It reported an occupancy rate of 84% as of March 2024, with nearly 400,000 items rented out, up from 291,000 the previous year.
In February 2023, Rentomojo raised Rs 210 crore in a late-stage funding round led by Edelweiss Discovery, fueling further expansion. The company is now preparing for an initial public offering (IPO) within the next 18 months, with plans to grow its EBITDA and net profit by 40-50% in FY25, according to Bamania.
Rentomojo’s momentum is set against the backdrop of industry consolidation, as its main competitor, Furlenco, was acquired by Sheela Foam, the owner of Sleepwell, in July 2023. However, Rentomojo’s growth strategy remains on track, with Bamania emphasizing continued expansion through automation and disciplined cost management.