CarTrade Reports 3% Profit Growth in Second Quarter

Automotive classifieds platform CarTrade Tech reported a consolidated net profit of ₹66 crore for the quarter ending in September, marking a 3% increase from the ₹64.1 crore recorded during the same period last year. The company released its second-quarter financial results for the 2027 fiscal year on Tuesday.

Operating revenue for the quarter reached ₹213.1 crore, representing a 10.2% growth compared to the ₹193.4 crore reported in the second quarter of the previous fiscal year. When compared to the preceding June quarter, operating revenue rose by 5.9% from ₹201.2 crore.

Including other income of ₹23.1 crore, the company’s total income for the quarter stood at ₹236.2 crore.

Financial Performance and Expenses

The company’s total expenses for the September quarter rose 6% year-on-year to ₹150.8 crore. However, expenditures decreased by 0.9% when compared to the June quarter, which recorded expenses of ₹152.1 crore.

The June quarter figures were impacted by an exceptional expense of ₹3.1 crore, which the company attributed to salary restructuring aimed at complying with new labor codes. CarTrade reported no such exceptional expenses during the most recent quarter.

Quarter-on-quarter, the net profit showed a more significant increase of 16.2%, rising from ₹56.8 crore in the first quarter of the fiscal year.

Why it matters:

The financial results indicate steady growth for the digital automotive marketplace as it manages operational costs. This performance reflects the broader trend of digital transformation in the automotive retail sector, offering insights into how classifieds platforms navigate regulatory shifts and labor code compliance while maintaining profitability.