India's sleep economy is evolving into a ₹30,000 crore market with significant growth potential. According to Ken Research, the overall mattress and sleep economy in India is estimated at around ₹30,000 crore. The mattress category itself offers strong growth prospects, with Grand View Research estimating the Indian mattress market at US$2.94 billion in 2025, projected to reach US$5.94 billion by 2033, implying a 9.3% CAGR between 2026 and 2033. The organised segment accounts for roughly 40% of the market and is estimated to grow at about 17% CAGR, as reported by the Indian Sleep Products Federation citing Mordor Intelligence. The biggest potential lies in premium, orthopaedic, memory-foam, latex and hybrid mattresses, with the opportunity not simply about selling more mattresses but about premiumisation and formalisation.
Wakefit Innovations Limited is rapidly scaling its offline presence with 165 active company-owned, company-operated (COCO) stores across 100 cities in 22 states and two Union Territories as of June 30, 2026. The company added 27 COCO stores in Q1FY27 alone, compared with 42 additions in FY26. Wakefit plans to add nearly 80 COCO stores during FY27 with ₹100–120 crore capital expenditure guidance, with around 80% allocated for retail expansion, particularly its jumbo-store format. The remaining 20% is planned for manufacturing automation and other business upgrades. The company also operates a 2,250-store multi-brand outlet network across 701 cities, giving it additional reach beyond its own stores.
Wakefit Innovations reported strong Q1 FY27 results with revenue from operations at ₹404.91 crore, representing a 16.6% year-on-year increase from ₹347.12 crore in Q1 FY26. On a sequential basis, revenue surged 17.84% from ₹343.60 crore in Q4 FY26. The company's profit after tax stood at ₹23.38 crore, up 19.2% YoY from ₹19.62 crore, with a reported PAT margin of 5.8%. Mattresses contributed 65.9% of sales mix, followed by furniture at 27.8% and furnishings at 6.3%. The mattress segment saw 27.3% year-on-year growth in Q1 FY27, higher than the company's overall growth rate. Retail channel revenue grew 20.5% year-on-year in Q1FY27, with own channels accounting for 72.3% of total sales and growing 20.5% YoY.
Sheela Foam operates through its brands Sleepwell and Kurlon, which hold a 30% share of India's mattress market with over 20,000 retail touchpoints across India and beyond. Sleepwell is the group's most recognised mattress brand with an 18% share of the Indian mattress market and more than 5,000 exclusive brand outlets. Kurlon, particularly strong in southern and eastern India, has an 11% share of the Indian mattress market and more than 5,500 retail touchpoints. The company produces 1,00,000 tonnes of foam annually across 10 foaming plants spanning three continents, with 72% of distributors receiving orders within 24 hours. Sheela Foam's operating model covers designing, manufacturing, moving and retailing products, with more than 12 plants and over 250 distribution points across India.
The comparison shows Wakefit Innovations with a P/E ratio of 26.15 and ROCE of 10.90%, while Sheela Foam trades at a P/E of 37.10 and ROCE of 6.11%. Wakefit delivered Q1 FY27 revenue of ₹404.91 crore with 16.6% YoY growth, compared to Sheela Foam's* Q1 FY27 revenue of ₹1,031.94 crore with 25.6% YoY growth. Wakefit's PAT of ₹23.38 crore had a 5.8% margin, while Sheela Foam's* PAT of ₹62.34 crore achieved a 6.0% margin. Sheela Foam has delivered strong recent performance with a 32.3% return over the past six months and 17.4% year-to-date return. Wakefit debuted on stock exchanges in December and has declined 20.45% since listing, though it surged 24% in the last month. Nomura initiated coverage with a Buy rating and ₹200 target price, representing roughly 31% upside from the reference price of ₹153.
