Snabbit Reports Rs 168 Crore Loss in FY26
Two-year-old Snabbit has recorded a substantial Rs 168 crore loss in FY26 with operating revenue of Rs 12.25 crore, highlighting the significant expenses associated with developing an on-demand home services platform. This financial struggle is not exclusive to Snabbit, as competitors like Urban Company’s InstaHelp and Pronto are also investing heavily to expand and establish market dominance.
Operational Revenue and Growth
Snabbit’s operational revenue for FY26 was Rs 12.25 crore, a notable increase from Rs 26 lakh in FY25, based on its annual financial records obtained from the Registrar of Companies (RoC). Founded in 2024 by Aayush Agarwal, Snabbit is designed to connect households with trained professionals for various tasks such as cleaning, dishwashing, and laundry. The platform allows users to book professionals by the hour, ensuring service delivery within 10 minutes.
Revenue Breakdown
The platform services accounted for Rs 10.82 crore, representing 88% of the total operational revenue, while the remainder was sourced from uniform sales. Additionally, Snabbit generated Rs 14.76 crore in other income primarily from interest accrued on bank deposits. Notably, this interest was higher than the earnings from core operations, which is a trend seen commonly in consumer internet businesses during their formative years amid competitive pressures and growth investments.
Cost Analysis
On the expense front, employee benefits were significant at Rs 46 crore, while service costs for professionals reached Rs 63 crore. Marketing expenditures amounted to Rs 49 crore, complemented by Rs 23.8 crore on service fulfilment. Various overheads, including banking charges, commissions, recruitment, and legal expenses, escalated total expenses to Rs 195 crore in FY26, a substantial rise from Rs 6.8 crore in FY25.
Impact of Spending on Losses
The heavy investment in acquiring customers, hiring staff, and fulfilling services led to a net loss of Rs 168 crore in FY26, compared to Rs 5.7 crore in the previous year. At the unit level, Snabbit’s expenditure reached Rs 15.92 for every rupee of operational revenue. Given the nascent nature of the market, traditional profitability measures may not truly represent the situation, resulting in a negative return on capital employed (ROCE) of 58.45% and an EBITDA margin of -1481.63% for the fiscal year.
Funding and Demand Growth
Snabbit has successfully raised over $112 million, including a $56 million Series D funding round from Susquehanna VC, Mirae Asset Venture Investments, and Bertelsmann India Investments. The startup has witnessed a surge in demand, reporting over 115,000 completed jobs in a single day and reaching a milestone of four million jobs in house help during Q1 FY27. The burn rate per job has notably decreased by more than Rs 100 from quarter to quarter, dropping below Rs 250.
Operational Milestones and Future Prospects
Aayush Agarwal stated that FY26 marked the company’s first complete year of operations. Starting with approximately 500 daily jobs across eight micro-markets, the company ended the year with 35,000 daily jobs in over 100 micro-markets, showcasing a remarkable 75X growth within a year and onboarding nearly one million customers while adding over 20,000 professionals.
Agarwal explained that the Rs 167.8 crore loss represented investments aimed at expansion, both in customer and expert acquisition, as well as enhancing long-term capabilities. He emphasised that the financial figures for FY26 do not capture the current economic state, noting improvements in operational leverage and unit economics as the business gains traction within various communities.
Competitive Landscape
Snabbit is among many companies transforming household chores into a quick-commerce format. Urban Company’s InstaHelp recorded around 1.9 million orders in July 2026, marginally ahead of Snabbit’s 1.85 million, while Pronto surpassed 1.25 million bookings. The competitive environment has compelled established players like Urban Company to invest in quick home services, actively seeking to raise $200 million, while Snabbit and Pronto persist in their expansion efforts.
For the time being, these companies are competing to attract customers, build their workforce, and expedite order fulfilment. The pressing question remains: how long can they maintain such high levels of spending before the business becomes self-sustaining? In the interim, the sector may continue to experience increased funding, a surge in order volumes, and ongoing losses.
Market Dynamics
The quick home services market is entering a stage where mere scale may not equate to a sustainable competitive edge. While faster fulfilment and repeat usage can foster consumer habits, the economic viability will rely on the platforms’ abilities to optimise worker utilisation, lower customer acquisition costs, and secure sufficient bookings within each locality to cover fixed expenses. The upcoming challenge is not only to attract demand but to convert that demand into a viable business model without dependence on continuous funding rounds.