CarTrade Tech Q1 profit rises 21 per cent as EBITDA hits record high

Mumbai: CarTrade Tech shifted into top gear in the first quarter of FY27, reporting record revenue, profit and operating margins as strong growth across its consumer, classifieds and remarketing businesses offset a one-off labour law provision.

For the quarter ended June 30, 2026, the digital automotive marketplace posted total income of Rs 229.7 crore, up 16 per cent from Rs 198.5 crore in the year-ago period. Operational revenue also rose 16 per cent to Rs 201.2 crore, while other income contributed Rs 28.6 crore.

The company’s operating performance strengthened significantly during the quarter. EBITDA jumped 45 per cent year on year to Rs 63 crore from Rs 43.5 crore, pushing the EBITDA margin to 31 per cent from 25 per cent a year earlier. Adjusted EBITDA rose 34 per cent to Rs 97.5 crore, with the adjusted margin expanding to 42 per cent.

Profit before tax increased 31 per cent to Rs 74.5 crore despite an exceptional provision of Rs 3.1 crore related to revised labour laws. Excluding the one-time charge, profit before tax climbed 36 per cent to Rs 77.6 crore.

Profit after tax rose 21 per cent to Rs 56.8 crore from Rs 47.1 crore in the corresponding quarter last year.

CarTrade Tech also kept a tight rein on costs. Total expenses increased only 7 per cent to Rs 138.2 crore, even as employee expenses rose 11 per cent. Marketing expenditure declined 9 per cent during the quarter, helping improve profitability.

The company’s consumer business, comprising CarWale, BikeWale and CarTrade, reported an 18 per cent increase in operational revenue to Rs 78.1 crore. EBITDA rose 33 per cent to Rs 25.9 crore, while segment profit after tax increased 12 per cent to Rs 25.7 crore.

OLX India emerged as the fastest-growing business during the quarter. Operational revenue climbed 29 per cent to Rs 62.2 crore, while EBITDA surged 76 per cent to Rs 18.1 crore. Segment profit after tax grew 27 per cent to Rs 18.6 crore, with EBITDA margins improving to 29 per cent.

The remarketing business, which includes Shriram Automall, CarTrade Exchange and CarGrade, also posted healthy growth. Revenue rose 13 per cent to Rs 67.2 crore, EBITDA increased 38 per cent to Rs 19 crore and profit after tax climbed 31 per cent to Rs 12.4 crore. The business is targeting 1.48 million auction listings and auction volumes of 225,000 vehicles during FY27.

CarTrade Tech said it now attracts around 80 million monthly active users across its platforms, including 47 million users on CarWale, BikeWale and CarTrade, and 32 million on OLX India. More than 95 per cent of its web traffic is organic, while cumulative app downloads have crossed 100 million.

The company has also built a physical network of more than 500 outlets across Automall, abSure and OLX India centres. Following its recently announced partnership with Spinny, it is expanding its presence in India’s used vehicle market while growing its network to more than 550 abSure and Signature locations.

Technology remains central to its strategy. The company is expanding the use of its proprietary VAYA AI platform and AI-powered tools for buyer matchmaking, dynamic vehicle pricing and automated condition assessment. It has also introduced NEW AUTO AI Assist, a 17-step digital assistant that guides customers through the entire new car buying journey, from comparing variants to taking delivery.

The company is also scaling its “Elite Buyer” programme, which recently crossed 100,000 buyers in a single month, while transitioning all business buyers to a paid model.

CarTrade Tech ended the quarter with a debt-free balance sheet and cash reserves of Rs 1,321 crore, providing significant financial flexibility for future investments.

The company has now delivered EBITDA growth of more than 45 per cent for 16 consecutive quarters. Between FY23 and FY27, it achieved a revenue CAGR of 22 per cent, EBITDA CAGR of 66 per cent and profit CAGR of 54 per cent. Earnings per share increased from Rs 7 in FY23 to Rs 47 in FY26, while return on equity stood at 10 per cent.

With expanding margins, growing AI capabilities, a strong cash position and sustained growth across its businesses, CarTrade Tech appears well positioned to accelerate further as India’s automotive retail market continues its digital transformation.