New Delhi, 17 September (H.S.): Shares of Rentomojo, a company that rents furniture and appliances to customers for their homes, made a strong debut on the stock market on Thursday, entering at a premium and delighting its IPO investors. The company had issued its shares at Rs 404 per share under the IPO. On the BSE, the shares were listed at Rs 480, a premium of 18.81 per cent, while on the NSE, they debuted at Rs 482.45, representing a premium of 19.42 per cent.
After the listing, buying support drove the shares up to Rs 546.80 within a short period. However, profit-booking subsequently led to some moderation in the share price. After the full trading session, the shares closed at Rs 532.95. As a result, IPO investors earned a gain of Rs 128.95 per share, or 31.92 per cent, on the first day of trading.
The company’s Rs 1,255.57-crore IPO was open for subscription from September 9 to 11. The issue received an overwhelming response from investors and was subscribed 72.89 times overall. The portion reserved for Qualified Institutional Buyers (QIBs) was subscribed 177.29 times, excluding the anchor portion. Similarly, the portion reserved for Non-Institutional Investors (NIIs) received 67.93 times subscription. The retail investors’ portion was subscribed 15.62 times, while the portion reserved for employees was subscribed 21.03 times.
Under the IPO, a total of 3,10,80,978 shares with a face value of Re 1 each were offered. This included 37,15,449 fresh shares worth approximately Rs 150 crore, while 2,73,65,529 shares worth around Rs 1,106 crore were offered for sale. The proceeds from the fresh issue will be used by the company to pay licence fees and lease rentals for its warehouses and experience stores, meet working-capital requirements, reduce its existing debt burden, reimburse IPO-related expenses and for general corporate purposes.
According to the claims made in the Red Herring Prospectus (RHP) filed with capital-market regulator SEBI, RentoMojo’s financial position has remained consistently strong. The company reported a net profit of Rs 22.41 crore in financial year 2023-24, which increased to Rs 43.11 crore in FY 2024-25. In FY 2025-26, its net profit rose sharply to Rs 104.30 crore.
During the same period, the company’s revenue also increased steadily. Total revenue stood at Rs 195.80 crore in FY 2023-24 and rose to Rs 271.96 crore in FY 2024-25. In the previous financial year, FY 2025-26, revenue increased further to Rs 394.09 crore.
The company’s debt burden, however, also increased consistently during this period. At the end of FY 2023-24, the company had outstanding debt of Rs 147.22 crore, which rose to Rs 154.48 crore in FY 2024-25. In FY 2025-26, its debt burden increased further to Rs 187.59 crore.
The company also strengthened its reserves and surplus during the period. At the end of FY 2023-24, reserves and surplus stood at Rs 138.94 crore, increasing to Rs 182.94 crore in FY 2024-25. In FY 2025-26, the figure rose further to Rs 291.71 crore.
The company’s net worth also increased during the period. Its net worth stood at Rs 139.61 crore in FY 2023-24, rising to Rs 183.61 crore in FY 2024-25. In FY 2025-26, the company’s net worth increased further to Rs 295.81 crore.
As for EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortisation), the company reported EBITDA of Rs 78.15 crore in FY 2023-24, which increased to Rs 118.44 crore in FY 2024-25. In FY 2025-26, EBITDA rose further to Rs 163.46 crore.
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Hindusthan Samachar / Jun Sarkar
