EkoStay Hits ₹40 Crore Revenue in FY26 — Scales Profitably Without External Funding

EkoStay has reported ₹40 crore in revenue for FY 2025–26, registering 43% year-on-year growth while maintaining profitability, highlighting a capital-efficient approach in India’s alternative accommodation segment.

Revenue Growth Backed by Profitability

The company remained EBITDA-positive during the financial year, with margins of approximately 10%. This performance underscores a disciplined growth model in a category often characterised by aggressive expansion and high cash burn.

The ₹40 crore milestone reflects both sustained demand and consistent operational performance across its portfolio.

Scaling Beyond Revenue Metrics

Beyond topline growth, EkoStay has expanded its footprint to over 150 professionally managed villas across more than 12 leisure destinations. The portfolio has maintained an average occupancy of around 56%, indicating stable utilisation levels across seasons.

The company is targeting revenue of over ₹52 crore by FY27, alongside plans to scale its inventory to more than 220 properties nationwide.

Bootstrapped Model Driving Capital Efficiency

Founded by Husain Khatumdi, Sohail Mirchandani, Varun Arora, and Zishan Khan, the company has scaled without raising external capital. Growth has been funded through internal accruals, supported by measured expansion and tight operational controls.

Leadership emphasised that this approach has instilled financial discipline, enabling efficient decision-making while maintaining profitability.

Repeat Demand as a Core Growth Driver

A significant portion of bookings is driven by repeat customers and referrals, reducing reliance on paid marketing channels. This repeat-led demand has strengthened unit economics by lowering acquisition costs while improving customer lifetime value.

The focus on consistent guest experience has played a key role in building trust and sustaining organic growth.

Demand-Led Expansion Strategy

The company’s supply growth has been aligned with destinations demonstrating strong underlying demand. Regions across South India, including the Nilgiris, have emerged as key growth markets, reflecting a broader shift towards private, experience-led stays.

By expanding selectively, EkoStay has maintained balance between inventory growth and market demand, avoiding over-supply risks.

Outlook and Strategic Direction

Looking ahead, EkoStay aims to sustain its growth trajectory through continued expansion in high-demand leisure destinations while maintaining profitability. The planned scale-up in inventory and revenue targets indicates confidence in the long-term potential of India’s alternative accommodation segment.

Conclusion

The ₹40 crore milestone represents more than revenue growth for EkoStay. It highlights the viability of a bootstrapped, demand-led model built on operational discipline, repeat customer behaviour, and capital-efficient expansion in a rapidly evolving hospitality landscape.