Popular Vehicles and Services Limited — Updates, 12-02-2025: Press Release

**Financial Highlights:** Popular Vehicles & Services Limited reported total income of ₹4,185.4 Cr for the nine months of FY25, representing a 2.1% year-on-year decline. EBITDA decreased by 32.2% to ₹145.7 Cr, with margins contracting to 3.5%. Profit Before Tax (PBT) was ₹7.3 Cr, reflecting a margin of 0.2%, while profit after tax (PAT) plummeted 94.2% to ₹3.3 Cr, yielding a margin of 0.1%.

**Strategic Initiatives and Growth Drivers:** The company continues to expand its network in Kerala, launching new facilities and securing approvals for additional projects. Partnerships with Jaguar Land Rover and Ather are strategic moves aimed at tapping into the luxury and EV markets, which are seeing shifting consumer preferences.

**Business Developments:** New vehicle sales volumes fell by 5.2% year-on-year, and pre-owned vehicle sales also declined by 3.5%. Notably, the services and repairs segment saw an increase in income despite a slight reduction in volume, indicating a stronger focus on service-based revenue.

**Market Position and Competitive Advantage:** The firm is well-positioned in India’s automotive sector, operating extensively across multiple states and showcasing a diverse portfolio of vehicle brands, which helps them navigate demand fluctuations.

**Investor Implications:** While experiencing immediate challenges, the company's strategic cost optimizations and expansion plans, particularly in luxury and EV segments, offer potential for recovery. Investors should watch for improved performance from FY26 onwards as market conditions potentially stabilize.