CARS24 Eyes IPO Within 12 Months After Financial Turnaround

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AuthorAarav Shah|Published at:
CARS24 Eyes IPO Within 12 Months After Financial Turnaround
Overview

Used car marketplace CARS24 is planning an Initial Public Offering in six to twelve months. CEO Vikram Chopra cited strong financial improvements, including an 18% revenue jump and a 36% cut in losses, as the company targets expansion in the $200 billion used car market.

CARS24, the dominant online used car marketplace, is gearing up for a significant public market debut, with co-founder and CEO Vikram Chopra announcing plans for an Initial Public Offering within the next six to twelve months.

Financial Turnaround Fuels IPO Ambitions

The company reported a robust performance in the first half of FY26. Adjusted net revenue surged 18% year-over-year to ₹651 crore, a key indicator of top-line growth. Concurrently, CARS24 managed to trim its adjusted EBITDA loss by a substantial 36% to ₹162 crore. Chopra expressed confidence in sustained momentum, projecting H2 FY26 revenue to reach ₹750 crore, representing a 35% year-over-year increase.

Operational Scale and Market Reach

In the first half of FY26, CARS24 facilitated the trade of nearly 85,000 cars, with a total transaction value exceeding ₹3,700 crore. Loan disbursements saw a healthy increase of approximately 38% year-over-year, reaching ₹1,600 crore. The platform reported over 1.1 crore monthly active users, a figure expected to drive approximately 1.8 lakh car deals in FY26.

Internationally, CARS24 asserts its position as the leading online used car transaction player across India, the UAE, and Australia, achieving a Gross Merchandise Value (GMV) of ₹3,731 crore in H1 FY26. Notably, the UAE market emerged as the first geography to deliver positive adjusted EBITDA, contributing ₹9 crore in the same period.

Strategic Expansion Beyond Marketplace

Founded in 2015, CARS24 has evolved from a core buy/sell platform into an end-to-end vehicle ownership ecosystem. Strategic acquisitions, including Team BHP and vehicle information platform CarInfo, bolster its offerings. These expansions into areas like insurance, payment services, and diagnostics contributed ₹94 crore GMV in H1 FY26, with transactions increasing nineteenfold.

The startup's IPO aspirations align with a broader surge in Indian tech company listings. Following a strong performance in 2025, the market has seen recent filings from companies like Amagi and Shadowfax. CARS24 aims to become the second major automobile e-commerce platform to go public, following its competitor CarTrade.

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