The company’s subsidiary received an LOI to set up Ather facilities in Chennai. Despite recent losses, the company maintains strong operations across sales, service, spares, and strategic OEM partnerships.
The shares of the leading auto dealer gained up to 1 percent in today’s trading session after the company’s subsidiary received a Letter of Intent (LOI) for setting up Ather facilities in Chennai, Tamil Nadu.
With a market capitalisation of Rs 949.78 crore, the shares of Popular Vehicles and Services Ltd were trading at Rs 133.40 per share, decreasing around 1.69 per cent as compared to the previous closing price of Rs 135.70 apiece.
According to the exchange filing, Popular Vehicles and Services Ltd announces that its 100% step-down subsidiary, Kuttukaran Cars Pvt Ltd, has received a Letter of Intent (LOI) for setting up Ather facilities in Chennai, Tamil Nadu.
Further, the facilities will be spread across two locations, one housing the Experience Centre, and the other accommodating the Service Centre and warehouse. The service centre will initially feature 5 bays, with the capacity to service approximately 450 vehicles per month. Operations are expected to commence by the first week of September this year. Total investment for setting up these facilities is estimated at around Rs 75 Lakhs.
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Looking forward to the company’s financial performance, revenue increased by 1 percent from Rs 1,364 crore in Q4FY24 to Rs 1,372 crore in Q4FY25. Further, during the same time frame, net profit turned into a loss from a profit of Rs 20 crore to a loss of Rs 14 crore.
Popular Vehicles & Services operates across 4 states with 450+ touchpoints and 10,000+ employees. The company partners with leading OEMs like Maruti Suzuki, Honda, and Tata Motors. It offers a fully integrated business model, covering sales, service, spares, used cars, and insurance.
Popular Vehicles & Services’ spare parts distribution business operates through 47 retail outlets and 24 warehouses across Kerala and Karnataka. Serving 800+ customers daily and managing 20,000+ SKUs, it recorded steady income growth in spare parts, reaching ₹264 crore in FY25. Contributing 5% to turnover and 8% to EBITDA, this segment highlights strong customer engagement and operational efficiency.
Popular Vehicles and Services Ltd. is a major Indian automobile dealership that provides a wide range of services throughout the vehicle ownership lifecycle. They are involved in selling new and pre-owned vehicles, offering vehicle servicing and repairs, distributing spare parts and accessories, facilitating financing and insurance, and operating driving schools.
Written by Abhishek Singh
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