Cars24 adjusted net revenue jumps to Rs 651 crore in H1 FY26; plans to launch IPO in next 6–12 months

Used-car marketplace Cars24 reported steady gains in revenue and operating efficiency in the first half of FY26, even as it kept transaction GMV largely flat, and said it is preparing for an IPO in India within the next 6-12 months.

In a performance update shared by the company and founder and CEO Vikram Chopra, Cars24 said its adjusted net revenue rose 18% year on year to Rs 651 crore in H1 FY26. Over the same period, its adjusted EBITDA loss narrowed 36% to Rs 162 crore, aided by tighter cost controls and higher automation.

Operating expenses remained broadly flat at Rs 719 crore despite revenue growth. The company said GenAI-led automation across pricing, inspections, document verification and customer calls helped reduce inspection time by nearly 30% while keeping costs in check as volumes scaled. Cars24 invested Rs 95 crore in technology during the half year.

Vehicle transaction gross merchandise value (GMV) declined 5% year on year to Rs 3,731 crore in H1 FY26. The company said it deliberately shifted more vehicles toward retail transactions instead of wholesale, prioritising profitability over volumes. Retail GMV grew 21% to Rs 2,009 crore and accounted for over half of total transaction GMV, while retail margins expanded to 19.3% during the period.

Cars24 facilitated nearly 85,000 car transactions across India, the UAE and Australia in the first half and said it is on track to cross 1.8 lakh transactions in FY26.

Financing emerged as a key growth lever. Loan disbursements through the platform increased 38% year on year to Rs 1,637 crore globally. In parallel, vehicle ownership services, including insurance, inspection reports, buyback and compliance products, generated Rs 94 crore in GMV, nearly 19 times higher than a year earlier.

International operations also strengthened. The UAE business turned profitable at the adjusted EBITDA level, posting a profit of Rs 9 crore in H1 FY26, with retail margins of around 24%. Australia reported about 20% year-on-year growth in GMV and over 22% growth in adjusted net revenue.

Sharing the financial update, Chopra said Cars24 is targeting an initial public offering in India within the next six to 12 months.

Looking ahead, the company expects to cross Rs 750 crore in adjusted net revenue in the second half of FY26, implying around 35% year-on-year growth, as it continues to focus on earnings quality rather than headline GMV growth.

Chopra added that the platform has expanded beyond its original buy-and-sell model over the past 18 months into a broader vehicle ownership ecosystem, with offerings such as insurance, challan payments, pre-delivery inspections and vehicle history reports under CarTruth, buyback solutions and chauffeur services through Chauferly.

Earlier this month, Cars24 acquired Delhi-based vehicle information and management platform CarInfo, as part of its strategy to deepen data capabilities and strengthen its ownership-services stack ahead of the planned listing.