India, May 2 -- IPO-bound consumer services unicorn Urban Company has begun winding down its step-down subsidiary in Saudi Arabia as it failed to achieve or maintain profitability, its draft red herring prospectus (DRHP) shows.

The home and beauty services startup said it has started transferring its Saudi operations to a joint venture launched last year, with an intent to eventually wind down the step-down subsidiary, Urban Company Arabia for Information Technology.

Incorporated in 2021, Urban Company Arabia reported an 182% increase in its loss before tax to INR 23.4 Cr for the nine months ended December 31, 2024 (9M FY25) from INR 8.3 Cr in the year-ago period.

Its loss before tax for FY24 stood at INR 14.1 Cr, for FY23 at INR 17.7 ...