Urban Money Achieves 58% Growth in FY25
Urban Money stands out in the digital lending space as it reported a remarkable 58% growth year-on-year for fiscal year 2025. The company’s internal documents indicated a revenue increase to Rs 714 crore in FY25 from Rs 454 crore in FY24 and Rs 233 crore in FY23. This impressive revenue trajectory showcases a growth of over tenfold within three years, driven by an expansion of its lending network and heightened demand for home-loan disbursals.
Significant Growth in Gross Transaction Value
The gross transaction value (GTV) of Urban Money enhanced by 59% year-on-year, reaching $5.7 billion in FY25, up from $3.6 billion in FY24. During the fiscal year, total loan transactions amounted to 1.55 lakh, reflecting robust engagement in the lending space.
Leveraging Strategic Partnerships
Urban Money capitalised on its strong foothold in real estate distribution by identifying a significant opportunity within Square Yards’ extensive network of real estate agents and financial advisors. By integrating these partners through a model akin to an Uber network, the platform enabled them to originate mortgages directly via integrated digital systems—effectively bridging the divide between property transactions and home loan execution.
Extensive Network of Channel Partners
Currently, Urban Money connects over 150,000 channel partners, which include independent real estate agents and financial advisors, with more than 95 banking and NBFC partners. The insights from the documents underline that approximately 87% of its business derives from aggregated channels, while 13% is generated through its direct operations, highlighting its tech-enabled scalability and asset-light distribution model.
Innovative Technology Integration
Urban Money seamlessly integrates with the loan origination systems of partner banks, providing API-based KYC, income, and credit score verification, along with immediate eligibility assessments based on each bank’s credit policy. This technological edge positions the company favourably within the rapidly evolving mortgage landscape. Furthermore, the recent launch of its real estate data intelligence platform aims to accelerate lending decisions through real-time property evaluations and automated title verification.
Impact on Parent Company’s Revenue
The finance vertical has emerged as a crucial contributor to Square Yards’ overall financial health. As per its filings with the Registrar of Companies (RoC), Square Yards reported a consolidated revenue increase of 41% to Rs 1,410 crore in FY25, rising from Rs 1,001 crore in FY24. Additionally, the company reached EBITDA positivity at Rs 46 crore, marking its first operationally profitable year.
Alignment with Strategic Objectives
Urban Money’s growth trajectory appears to correlate with Square Yards’ strategic shift from being solely a real estate brokerage to evolving into a comprehensive prop-fintech platform. In the first quarter of the current fiscal year (Q1FY26), the Gurugram-based real estate and mortgage platform recorded a year-on-year revenue jump of 45% to Rs 378 crore and achieved profitability of Rs 70 crore at the EBITDA level.
Challenges in the Lending Landscape
Despite the swift expansion of the lending division, challenges related to real estate demand cycles and interest rate variations persist. Maintaining profitability will depend largely on cost management, technology-driven efficiencies, and further strengthening lender relationships.
