Management Commentary

Mr. Naveen Philip, Promoter & Managing Director, commented on Q1 FY27 performance citing strong start to FY27 with broad-based growth across new vehicle business. Improving customer sentiment supported by GST reforms announced in September 2025, particularly in entry-level segment, continued to drive demand. Performance driven by healthy combination of organic and inorganic growth, demonstrating strength of existing network alongside successful integration of acquisitions completed during FY26. Achieved diversification milestone with revenue contribution from Keralam declining to below 50% in Q1FY27.

Financial Performance Highlights

Profit & Loss Statement (INR Crores)

| Particulars | Q1FY27 | Q1FY26 | YoY Growth | Q4FY26 | QoQ Growth |

| Revenue from Operations | 1,889.6 | 1,310.9 | 44.1% | 1,754.5 | 7.7% |

| Other Income | 13.5 | 5.1 | 164.7% | 4.3 | 213.9% |

| Total Income | 1,903.1 | 1,316.0 | 44.6% | 1,758.8 | 8.2% |

| Gross Profit | 256.1 | 191.6 | 33.6% | 226.6 | 13.0% |

| Gross Profit % | 13.5% | 14.6% | -110 bps | 12.9% | +60 bps |

| EBITDA | 71.5 | 38.3 | 86.6% | 57.5 | 24.4% |

| EBITDA % | 3.8% | 2.9% | +90 bps | 3.3% | +50 bps |

| EBIT | 31.9 | 11.5 | 178.3% | 19.7 | 62.0% |

| EBIT % | 1.7% | 0.9% | +80 bps | 1.1% | +60 bps |

| Finance Cost | 30.1 | 22.6 | 33.2% | 27.2 | 10.7% |

| Profit before Tax & Exceptional Items | 1.9 | -11.1 | - | -7.5 | - |

| Profit After Tax | 1.4 | -8.8 | - | -5.0 | - |

| EPS (INR) | 0.19 | -1.23 | - | -0.70 | - |

Key Financial Notes

  • Other Income in Q1FY27 includes one-off benefit of ~₹5.4 Cr from lease modification pertaining to Telangana operations
  • Employee cost increase primarily reflects integration of Telangana, Punjab and Andhra Pradesh operations
  • Adjusted Performance (acquisition & divestment effect):
  • Adjusted EBITDA grew ~82% YoY to ₹62.0 Cr
  • Adjusted PBT stood at ₹11.2 Cr compared to reported PBT of ₹1.9 Cr

Operational Performance

Business Growth Metrics (Approximate YoY Growth %)

| Business Segment | Total Growth | Organic Growth |

| Total Revenue from Operations | 52% | 33% |

| PV (excluding luxury) | 72% | 49% |

| Luxury PV | 42% | 21% |

| CV | 35% | 21% |

| EV, Spare parts distribution | 43% | 16% |

Volume Growth (Approximate YoY Growth %)

| Segment | Total Growth | Organic Growth |

| Total New Vehicle Volume Sales | 91% | 58% |

| PV (excluding luxury) | 96% | 70% |

| Luxury PV | 39% | 1% |

| CV | 41% | 34% |

| EV | 171% | 57% |

Service Volume Growth (Approximate YoY Growth %)

| Segment | Total Growth | Organic Growth |

| Total Service Volume | 13% | -1% |

| PV (excluding luxury) | 8% | -4% |

| Luxury PV | 87% | 9% |

| CV | 15% | 5% |

| EV | 95% | 43% |

Acquisition Contributions

Revenue contribution from acquisitions in Q1FY27:

  • Globe CV Private Limited (BharatBenz): ₹71 Cr
  • R.K.S Motors Private Limited (MSIL): ₹126 Cr
  • Olympus Motors Private Limited (Audi): ₹20 Cr

Network Expansion

New operations started at:

  • MSIL 1 Service Center at Koyilandy, Keralam
  • Tata Motors CV 1 Sales outlet each at Perumbavoor and Kazhakootam, Keralam
  • JLR 1 Sales & Service Facility at Nagpur, Maharashtra

Awards & Recognition

Popular Mega Motors (India) Pvt Ltd received four awards at Tata Motors National Dealer Conference:

  • Highest Market Share Growth CV Passenger
  • Highest Market Share Growth SCV Cargo (ACE)
  • Highest Sales Tata Winger
  • Spare Parts Process Excellence

Inventory Management

New vehicle inventory days reduced significantly to around 32 days from approximately 50 days a year ago. Absolute inventory increased by around 14% year-on-year, substantially lower than revenue growth. Inventory levels increased sequentially during the quarter as part of festive season preparedness and new model launches by OEM.

Geographic Diversification

Revenue contribution from Keralam declined to below 50% in Q1FY27, marking an important diversification milestone.

Segment-wise Performance Highlights

Maruti Suzuki Performance

| Particulars | FY26 | FY25 | FY24 | FY23 |

| New Vehicle Volume (Units) | 31,667 | 28,175 | 29,334 | 30,948 |

| Revenue (INR Cr) | 2,056 | 1,832 | 1,888 | 1,772 |

| Service Volume (Units) | 690,002 | 726,992 | 732,543 | 689,514 |

| Service Revenue (INR Cr) | 491 | 458 | 471 | 440 |

JLR Performance

| Particulars | FY26 | FY25 | FY24 | FY23 |

| New Vehicle Volume (Units) | 390 | 382 | 274 | 138 |

| Revenue (INR Cr) | 426 | 378 | 285 | 128 |

| Service Volume (Units) | 6,375 | 6,114 | 5,211 | 5,212 |

| Service Revenue (INR Cr) | 73 | 67 | 54 | 42 |

Audi Performance (FY26 only)

  • New Vehicle Volume: 20 units
  • Revenue: ₹13 Cr

Tata Motors CV Performance

| Particulars | FY26 | FY25 | FY24 | FY23 |

| New Vehicle Volume (Units) | 10,060 | 7,768 | 8,762 | 10,367 |

| Revenue (INR Cr) | 1,350 | 1,034 | 1,168 | 1,310 |

| Service Volume (Units) | 137,566 | 133,074 | 156,690 | 156,029 |

| Service Revenue (INR Cr) | 159 | 146 | 142 | 125 |

Bharat Benz Performance

| Particulars | FY26 | FY25 | FY24 | FY23 |

| New Vehicle Volume (Units) | 2,486 | 1,890 | 1,839 | 1,203 |

| Revenue (INR Cr) | 775 | 576 | 540 | 114 |

| Service Volume (Units) | 65,081 | 50,911 | 46,043 | 27,230 |

| Service Revenue (INR Cr) | 192 | 128 | 106 | 16 |

Ather Performance

| Particulars | FY26 | FY25 | FY24 | FY23 |

| New Vehicle Volume (Units) | 8,025 | 3,974 | 3,704 | 2,886 |

| Revenue (INR Cr) | 132 | 67 | 58 | 39 |

| Service Volume (Units) | 37,267 | 17,954 | 10,866 | 1,918 |

| Service Revenue (INR Cr) | 9 | 6 | 3 | 1 |

Network Statistics (as of 30th June 2026)

Showrooms & Sales Outlets

| State | PV | CV | EV | Total |

| Keralam | 96 | 34 | 10 | 140 |

| Tamil Nadu | 5 | 32 | 3 | 40 |

| Karnataka | 3 | - | 3 | 6 |

| Maharashtra | 1 | 6 | 5 | 12 |

| Punjab | - | 2 | - | 2 |

| Telangana | 10 | - | - | 10 |

| Andhra Pradesh | 1 | - | - | 1 |

| Total | 116 | 74 | 21 | 211 |

Service Centers

| State | PV | CV | EV | Total |

| Keralam | 70 | 23 | 8 | 101 |

| Tamil Nadu | 8 | 17 | 3 | 28 |

| Karnataka | 4 | - | 1 | 5 |

| Maharashtra | 1 | 9 | 5 | 15 |

| Punjab | - | 8 | - | 8 |

| Telangana | 14 | - | - | 14 |

| Andhra Pradesh | 2 | - | - | 2 |

| Total | 99 | 57 | 17 | 173 |

Additional Facilities

  • Spares: Keralam (13 Warehouses, 40 Retail Outlets), Karnataka (11 Warehouses, 14 Retail Outlets)
  • Driving School: 7 Keralam, 3 Telangana
  • POC: 27 Keralam, 1 Telangana, 2 Tamil Nadu, 1 Karnataka

Strategic Acquisitions Timeline

August 2025 - Globe CV Pvt. Ltd.

  • OEM: BharatBenz
  • Geography: Punjab
  • Consideration: Slump sale ~₹12 Cr
  • Touchpoints: 1 Showroom & 8 Service centers, 1 Sales outlet
  • FY25 Turnover: ~₹250 Cr
  • FY26 Revenue Contribution: ~₹150 Cr (8 months)

October 2025 - R.K.S. Motor Pvt. Ltd.

  • OEM: MSIL
  • Geography: Telangana
  • Consideration: Slump sale not exceeding ₹93 Cr
  • Touchpoints: 5 Showroom & 12 Service centers, 1 Sales outlet, 1 POC showroom/sales outlet
  • FY25 Turnover: ~₹493 Cr
  • FY26 Revenue Contribution: ~₹151 Cr (6 months)

December 2025 - Olympus Motors Private Limited

  • OEM: Audi
  • Geography: Telangana & Andhra Pradesh
  • Consideration: Asset Purchase Agreement for cash consideration of ₹9.75 Cr
  • Touchpoints: 2 Showroom, 3 Service centers
  • FY25 Turnover: ₹120-150 Cr
  • FY26 Revenue Contribution: ₹20 Cr (3 months)

Capital Structure Impact

Higher debt levels compared to last year primarily reflect investments towards strategic acquisitions and network expansion. Acquisition-related Ind AS accounting adjustments continued to weigh on reported profitability.