Popular Vehicles and Services Limited — Important, 16-01-2025: General Updates

Q3FY25 saw a ~3% year-over-year decline in total revenue from operations for Popular Vehicles and Services Ltd. The luxury car segment experienced a ~1% decrease, with commercial vehicles (CV) declining by ~2%, while the passenger vehicles (PV) segment, excluding luxury, dipped ~6%. However, segments like electric vehicles (EV) and spare parts distribution grew by ~13%. For the first nine months of FY25, total revenue also decreased by ~2%.

Despite these challenges, the company has expanded its network by inaugurating multiple new facilities across Kerala, including service centers and sales outlets. Its wholly-owned subsidiary, Popular Mega Motors (India) Pvt Ltd, recognized for strong performance with awards from Tata Motors, reflects operational strengths. Inventory turnover has slightly improved, reducing days from ~54 to ~43, enabling a ~17% reduction in debt from earlier in the fiscal year. Investors should watch closely for potential recovery in sales as economic conditions evolve.