Cars24 Reports 18% YoY Growth in Adjusted Net Revenue: Anticipates Revenue to Cross ₹750 crore in 2HFY26

Digital automotive marketplace Cars24 reported an 18% year-on-year increase in adjusted net revenue to ₹651 crore in the first half of FY26, even as overall vehicle transaction GMV remained largely flat, according to its latest performance update.

During the period, Cars24 reduced its adjusted EBITDA loss by 36% YoY to ₹162 crore. The improvement was driven by disciplined cost management and increased automation, with operating expenses remaining broadly stable at ₹719 crore despite revenue growth.

Vehicle Transaction GMV Slightly Declines

Vehicle transaction GMV declined 5% YoY to ₹3,731 crore in H1 FY26. Cars24 shifted its focus from wholesale to retail transactions, prioritising profitability over volume. Retail GMV grew 21% YoY to ₹2,009 crore, representing over 50% of total transaction GMV, while retail margins expanded to 19.3% during the period.

The company facilitated nearly 85,000 car transactions across India, the UAE, and Australia in H1 FY26, and is on track to exceed 1.8 lakh car transactions for FY26.

Financing, which includes loans disbursed via the platform, rose 38% YoY to ₹1,637 crore. Vehicle ownership services, covering insurance, inspection reports, buyback, and compliance products, saw GMV surge nearly 19x YoY to ₹94 crore.

International Operations Strengthen

Cars24’s international operations showed notable growth. The UAE business became profitable at the adjusted EBITDA level, reporting a profit of ₹9 crore in H1 FY26, with retail margins reaching 24%. In Australia, GMV rose about 20% YoY, while adjusted net revenue increased over 22%.

Technology Investments and AI Automation

Cars24 invested ₹95 crore in technology during H1 FY26. GenAI now powers pricing, inspections, document verification, and customer calls at scale. AI-led automation reduced inspection time by nearly 30%, helping control costs as transaction volumes scaled.

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Outlook

Looking ahead, Cars24 expects adjusted net revenue to surpass ₹750 crore in H2 FY26, implying roughly 35% YoY growth, as the company continues to emphasise earnings quality over headline GMV expansion.

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