CarTrade Tech has reported a strong start to FY27, posting healthy growth in both revenue and profit during the first quarter. The company recorded its highest-ever quarterly income, supported by steady growth across its consumer, remarketing, and OLX India businesses.
While the company performed well compared to the same quarter last year, its profit fell slightly compared to the previous quarter. This led to a cautious reaction from investors, and the company’s shares declined after the results were announced.
CarTrade Tech posts strong Q1 FY27 financial performance
For the quarter ended June 2026, CarTrade Tech reported revenue from operations of ₹201.16 crore, up 16.25% from the same period last year. Total income reached a record ₹229.74 crore, showing a 16% year-on-year increase.
The company’s operating performance also improved during the quarter. EBITDA rose 45% to ₹63 crore, while the EBITDA margin increased to 31%. Adjusted EBITDA stood at ₹97.5 crore, up 34% from last year, with an adjusted EBITDA margin of 42%.
Consolidated profit after tax (PAT) increased to ₹56.75 crore, around 21% higher than the year-ago quarter. However, profit was lower than the previous quarter, when the company had reported ₹70.85 crore.
The quarter-on-quarter decline was mainly due to a higher tax rate and an increase in employee expenses. Employee costs rose to ₹83.47 crore during the quarter. The company also recorded a one-time exceptional expense of ₹3.07 crore related to revised labour laws.
Another factor that supported earnings was other income, which increased to ₹28.58 crore during the quarter.
CarTrade Tech also continued to maintain a strong financial position. The company remained debt-free and ended the quarter with cash reserves of ₹1,321 crore, giving it enough financial strength for future growth.
OLX India drives growth as company expands AI and used-car business
All of CarTrade Tech’s business segments reported double-digit growth during the quarter, with OLX India delivering the strongest performance.
OLX India reported revenue of ₹62.18 crore, a 29% increase from the same quarter last year. EBITDA from the business jumped 76% to ₹18.12 crore, with an operating margin of 29%.
The Consumer Group, which includes CarWale, BikeWale and CarTrade, reported revenue of ₹78.11 crore, up 18% year-on-year. EBITDA increased 33% to ₹25.86 crore, while the EBITDA margin remained healthy at 33%.
The Remarketing Group, which includes Shriram Automall and Adroit Auto, posted revenue of ₹67.23 crore, up 13% from a year ago. EBITDA rose 38% to ₹19.01 crore. The company said its vehicle auction business is targeting around 225,000 auction volumes during FY27.
During the quarter, CarTrade Tech also announced a partnership with Spinny. Under this partnership, Spinny’s certified used cars will be listed on CarWale and OLX India. This allows customers to access verified vehicles while helping CarTrade Tech earn commission-based revenue without holding vehicle inventory.
The company also launched VAYA AI, an artificial intelligence-powered tool that helps connect buyers with suitable vehicle listings, recommends prices, and supports vehicle condition checks.
Another new offering, NEW AUTO AI Assist, has been introduced to make the new car buying process easier by helping customers from vehicle search and comparison to dealership visits and final delivery.
CarTrade Tech also said its Elite Buyer programme crossed 100,000 buyers in a single month. At the same time, OLX India is gradually shifting business buyers to a paid model to increase revenue.
User base grows as investors closely watch the stock
CarTrade Tech continued to expand both its online reach and offline network during the quarter.
The company’s platforms now attract around 80 million monthly active users, compared to 76 million in the previous quarter. Around 95% of this traffic comes through organic search, helping the company keep marketing costs under control.
Its mobile apps have crossed 100 million downloads, while its physical network has expanded to more than 500 locations across India. These include Shriram Automall centres, CarWale abSure outlets, Signature dealerships, and OLX India franchise stores.
On the shareholding side, foreign institutional investors (FIIs) reduced their stake in the company during the June 2026 quarter. At the same time, domestic mutual funds increased their holdings, while public shareholding also went up.
Despite reporting record quarterly income, CarTrade Tech’s shares fell after the results as investors focused on the lower sequential profit and the company’s premium valuation. Even so, the company continues to strengthen its position in India’s online automobile marketplace with steady business growth, new AI-powered products, and a strong cash position.