Popular Vehicles & Services Ltd Posts 1% Revenue Growth In Q1 FY25 Amid Mixed Segment Performance

Popular Vehicles & Services Ltd has reported a modest 1 percent increase in total revenue from operations for the first quarter of FY25, reaching ₹1,291.4 crore. The growth was driven by higher average selling prices in premium vehicle categories, despite subdued demand in mid-range segments.

Key Highlights From Q1 FY25

- New vehicle revenue declined by 2 percent year-on-year due to lower volume sales, offset partially by a 4.4 percent rise in average selling price  
- Pre-owned vehicle sales dropped 6.2 percent in volume, with a marginal 3 percent increase in price realization  
- Service segment revenue grew by 4.7 percent, supported by a 6.9 percent rise in service pricing despite a 2.1 percent dip in volume  
- Total income for the quarter stood at ₹1,298.4 crore, up 16.9 percent quarter-on-quarter  

Operational And Strategic Updates

- The company inaugurated new service centers in Maharashtra and plans to launch its first NEXA Studio in Thrissur  
- Focus remains on reducing inventory levels and optimizing manpower costs amid challenging market conditions  
- Credit ratings for five group companies remain in the ‘A’ category, reflecting financial stability  

Outlook

Popular Vehicles is banking on rising demand for luxury vehicles and service revenue to offset pressure in the mass-market segment. With strategic expansion and cost control measures underway, the company aims to deliver sustainable performance in the coming quarters.

Sources: ET Money, Business Standard, Moneycontrol, Popular Vehicles Investor Presentation Q2 FY25