Q3 2026 Popular Vehicles and Services Ltd Earnings Call Transcript
Key Points
- The board approved the divestment of two subsidiaries, which will optimize resource allocation and focus on core business growth.
- Expansion into new markets, including Maharashtra and Karnataka, with new facilities and partnerships, is underway.
- The company has implemented aggressive retail initiatives to manage inventory levels effectively.
- Service business is expected to see improvements with a focus on digital transformation and manpower productivity.
- The company aims to achieve a 5.1% EBITDA margin, with cost-saving measures and increased finance income contributing to this goal.
- FY25 was challenging due to subdued retail demand and macroeconomic headwinds, impacting overall performance.
- High inventory levels led to increased short-term borrowings and interest costs.
- The pre-owned vehicle segment faced a slowdown due to price sensitivity and inflation-driven cost increases.
- Service business growth was flat, with headwinds in the first half of the year affecting overall performance.
- Discounts were higher in FY25, impacting margins, although efforts are being made to reduce them in FY26.
Ladies and gentlemen, good day and welcome to Popular Vehicles and Services Limited Q4 FY25 earnings conference call. (Operator Instructions). I now hand the conference over to Mr. Naveen Philip, promoter and managing director of Popular Vehicles and Services Limited.
Thank you and over to you, sir.
Thank you. Good morning, everyone and a very warm welcome to our Q4 and FY25 earnings call. Joining me today on the call are Raj Narayan, our CEO of Popular Vehicles and Services, John Verghese, the group CFO, Abraham Mammen, the CFO designate, and other senior team members.
Before I speak about the past performance, I would like to revisit a point we discussed during our last call. I intention to consider divestment of two subsidiaries. These included our wholly owned subsidiary Kutoka and Green Private Limited, which is a PITO business, and our wholly owned Step-down subsidiary Vision Motors Private Limited Honda Division.
I'm pleased to share that
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
