Awfis reports insider trading breach by senior executive
Anindita Seal Sarkar, Vice President of Sales at Awfis, sold shares and then bought 25 equity shares without proper clearance.
Co-working space company Awfis Space Solutions Limited reported a trading violation involving one of its executives on Wednesday.
Anindita Seal Sarkar, Vice President of Sales, sold 15,764 shares and then bought 25 equity shares without proper clearance, breaching the company's insider trading guidelines.
The issue was discovered during a routine review on November 26, 2024. Awfis referred the matter to its Audit Committee, emphasising that the trade contradicted its internal policies and regulatory standards.
"Matter has been intimated to the Chairman of the Audit Committee and the chairman of the Board. The Audit Committee shall take action as may deem fit in line with the requirements of Code of Conduct," Awfis said in a reply to the exchanges.
However, Awfis stressed that the trade was a violation of its Insider Trading Code, citing that Sarkar's actions were inconsistent with regulatory norms. The company, however, confirmed no monetary penalty was imposed and no previous violations have been reported in the current fiscal year.
Awfis Space Solutions reported a 40.46% rise in revenue from operations to Rs 292.38 crore for Q2 FY25, up from Rs 208.15 crore a year earlier. The co-working space provider turned profitable in the July-September quarter, posting a net profit of Rs 38.67 crore compared with a Rs 4.34 crore loss in Q2 FY24.
Total expenses grew by 30.85% YoY to Rs 287.29 crore, driven by higher sub-contracting, employee, and operational costs as the company expanded to meet demand. Sub-contracting expenses, tied to its profit-sharing model, increased 30.80% YoY to Rs 56.13 crore, while employee costs rose 16.75% to Rs 39.38 crore. Operating expenses also climbed 30.41% YoY to Rs 87.01 crore.
The core segment—renting co-working spaces and related services—generated Rs 218.31 crore, accounting for nearly three-fourths of revenue, with a 43% quarter-on-quarter increase. Revenue from construction and fit-out projects also grew 36.3% to Rs 68.15 crore.
4o
Edited by Kanishk Singh