Better drives, better lives — and better balance sheets too.
New Delhi: CARS24’s H1 FY26 performance update reads less like a routine financial disclosure and more like a progress report of a company that has found its rhythm—and is now turning up the volume. In the first half of FY26, the auto-tech major delivered strong operating momentum, sharper unit economics and a clear signal that it is no longer just about buying and selling cars, but about owning them, living with them, and occasionally refinancing them.
Numbers that matter (and some that quietly impress)
For H1 FY26, Adjusted Net Revenue rose 18% year-on-year to ₹651 crore, while Adjusted EBITDA burn reduced by a healthy 36% to ₹162 crore—proof that growth and discipline can, in fact, coexist. Behind these numbers, nearly 85,000 cars changed hands across India, the UAE and Australia, generating ₹3,731 crore in Vehicle Transaction GMV.
The real star, however, is retail. As CARS24 deliberately shifted cars from wholesale lanes into higher-margin retail parking slots, Retail GMV crossed ₹2,000 crore, growing 21% YoY and now contributing over 50% of total transaction GMV. Retail margins expanded to 19.3%, a figure that would make even global peers nod approvingly.
Financing shifts gears
If cars are the engine, financing is clearly the turbocharger. Loans disbursed grew ~38% YoY to ₹1,637 crore globally, with non-captive financing—dealer consumer loans and refinancing—emerging as a serious growth engine beyond just attached retail loans. LOANS24, once a support act, is now a standalone profit pool with improving asset quality and faster approvals (70% of customers now get loan decisions within an hour).
From transactions to relationships
Eighteen months ago, CARS24 was largely a buy/sell destination. Today, it is rapidly becoming an end-to-end vehicle ownership platform. Products like Insurance, Challan payments, Buyback, Chauffeurly and CarTruth—its independent vehicle history and inspection service—powered ₹94 crore in Vehicle Ownership Services GMV, marking a 19x jump YoY. With the CarInfo acquisition, the company is doubling down on this high-margin, asset-light segment. In short, it’s no longer about one transaction; it’s about staying with the customer long after the keys change hands.
AI under the hood
Much of this efficiency is being driven by tech. CARS24 is fast becoming an AI-first organisation, with calling, inspections, document checks and even hiring rebuilt on its in-house AI stack. AI voice systems now handle 7 lakh minutes of calls every month, inspections are 30% faster, and the company has been recognised by OpenAI among the top 0.0025% of AI builders globally. Not bad for a company that started with used cars.
Geography check: UAE takes the lead
Internationally, the UAE business has quietly hit a milestone—positive Adjusted EBITDA of ₹9 crore in H1 FY26, operating at ~24% retail margins, approaching benchmarks set by global leaders like Carvana. Australia, meanwhile, posted ~20% GMV growth, with a sharper focus on city expansion and financing attach rates.
What’s next?
Looking ahead, H2 FY26 is on track for ₹750+ crore in Adjusted Net Revenue, implying ~35% YoY growth, with transaction GMV expected to re-accelerate as the retail-heavy mix stabilises. And yes, the big road sign ahead reads IPO—with plans firming up for a public listing in the next 6–12 months.
With a USD 200+ billion market in its headlights, CARS24 seems clear about the route it’s taking: compound momentum, deepen ownership relationships and let technology do the heavy lifting. The journey, it appears, is only just getting into top gear.
