CarTrade Tech (CARTRADE) Q2 24/25 earnings summary

Executive summary

• Achieved highest-ever quarterly revenue and profit before tax in Q2 FY25, maintaining a debt-free position with a strong cash balance of ₹832 crore.

• Consolidated revenue grew 28% year-over-year to ₹1,542 crore in Q2 FY25, with profit after tax at ₹307 million.

• Platforms reached 77 million monthly active users and over 100 million app downloads, with 95%+ organic unique visitors.

• Unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2024, were approved by the Board and reviewed by statutory auditors without qualifications.

• The company granted 100,000 ESOPs to eligible employees at market price during the quarter.

Financial highlights

• Q2 FY25 consolidated revenue from operations: ₹1,542 crore, up 28% year-over-year; H1 FY25 revenue was ₹29,538.72 lakhs.

• Adjusted EBITDA for Q2 FY25: ₹568 million, up 37% year-over-year; margin at 33%.

• Profit after tax for Q2 FY25: ₹307 million, up 32% year-over-year; earnings per share (consolidated, continuing operations) for Q2 FY25 was ₹5.90 basic and ₹5.45 diluted.

• H1 FY25 EBITDA up 104% year-over-year; total comprehensive income for H1 FY25 (consolidated) was ₹5,294.72 lakhs.

• Maintained a debt-free balance sheet with a cash balance of ₹832 crore.

Outlook and guidance

• Focus on leveraging a large organic customer base to lower acquisition costs and enhance monetization for OEMs and dealers.

• Continued investment in technology and platform expansion to drive growth across consumer, remarketing, and classifieds segments.

• Sobek Auto India Private Limited, a subsidiary, discontinued its C2B auto transaction business to focus on classifieds, aiming to improve unit economics and cost structure.

• No specific revenue or growth rate guidance provided, but management expects continued quarter-on-quarter improvement.

• Expecting stronger revenue growth in OLX and remarketing in coming quarters, with seasonality expected to benefit Q3.