Awfis Space Solutions, a nine-year-old flexible-workspace company, is unlike any of its competitors.

No, not because it reported two consecutive profitable quarters. The investors cheered the company on, sending its shares up over 6%, after it published its financials for the June 2024 quarter earlier in August. (Awfis’ share price has surged over 70% since its listing in May compared with a 13% rise in the BSE Smallcap index.)

After all, the flexible workspace sector is booming, thanks to corporates ending the work-from-home routine. So it’s not terribly surprising, then, that the financials of the firm backed by Peak XV Partners and Chrys Capital look strong.

For the quarter ended June, the company generated revenues close to Rs 260 crore (US$31 million). For the 2024 fiscal, its top line came in at nearly Rs 850 crore.

That’s probably also prompting others in the space to hit the bourses, which would mean Awfis won’t remain the only publicly listed co-working company in India for long.

Its closest competitor Smartworks has already converted Entrackr Smartworks converts into public company Read more converted Entrackr Smartworks converts into public companyinto a public company in preparation for a market debut, while Bengaluru-based Bhive Workspace has announced plans The Economic Times Bhive Workspaces plans to raise Rs 800 crore via IPO Read more plans The Economic Times Bhive Workspaces plans to raise Rs 800 crore via IPOfor a Rs 800 crore (US$95 million) listing next year. Even Wework India—the largest operator in terms of revenue—is reportedly Hindustan Times After Awfis, three major co-working firms mull Initial Public Offering in 2025: Sources Read more reportedly Hindustan Times After Awfis, three major co-working firms mull Initial Public Offering in 2025: Sourcesplanning an IPO on a similar timeline.

So what sets Awfis apart? A distinct business model that has enabled it to expand aggressively, with triple the number of centres across more cities than Wework, Tablespace, and Smartworks.

The Delhi-based company hinges its supply strategy on a managed-aggregation model, wherein the owners of its centres are essentially its business partners. In other words, the property owner is responsible for most of the fit-out Fit-out The process of preparing a building’s interior for a tenant’s occupancy, including interior construction and furnishing fit-out Fit-out The process of preparing a building’s interior for a tenant’s occupancy, including interior construction and furnishingcost and also keeps a chunk of the revenue their centre generates.