Landmark Cars submitted its Business Responsibility and Sustainability Report (BRSR) for FY26 to stock exchanges on September 2, 2026. The standalone filing details significant reductions in direct greenhouse gas emissions and operational energy intensity compared to the previous fiscal year.

Environmental Performance

The company reported a sharp decline in Scope 1 emissions, which fell to 279.05 metric tonnes of CO2 equivalent in FY26 from 1,004.76 metric tonnes in FY25. This reduction was driven by improved fuel management practices for demo vehicles, including daily monitoring of kilometres travelled.

Total energy consumption dropped by 39% to 14,301.29 Gigajoules (GJ) from 23,506.01 GJ. Fuel consumption specifically decreased to 3,889.84 GJ from 14,011.45 GJ, while electricity consumption from non-renewable sources rose slightly to 9,876.08 GJ from 9,494.56 GJ.

What the Numbers Show

The divergence between rising electricity use and falling total energy consumption highlights a structural shift in the company's energy mix. While non-renewable electricity consumption increased by 4%, the 72% collapse in fuel consumption drove the overall efficiency gain. This suggests that operational fuel savings significantly outweighed increased grid reliance during the period.

Resource Management

Water withdrawal increased to 34,330.13 kilolitres from 30,012.00 kilolitres, primarily due to higher third-party water usage for car washing and drinking (13,621.37 kL vs 10,138.50 kL). Total waste generated rose to 149.60 metric tonnes from 137.67 metric tonnes, with all waste recovered through recycling.

The company installed a 129 kVA solar power system at its Ahmedabad registered office, generating approximately 148,715 kWh of renewable electricity in FY26. Additionally, its ROAR Initiative includes plantation projects with around 61,066 surviving trees, estimated to sequester 833 tonnes of CO2e annually.

Social and Governance Metrics

Landmark Cars employed 999 permanent employees as of March 31, 2026, with women constituting 13.51% of the workforce. The overall turnover rate for permanent employees fell to 22.63% from 33.88% in FY25, though female turnover remained elevated at 46.95%.

Customer complaints totalled 227 in FY26, up from 178 in FY25, with all resolved within time-bound periods. The company recorded zero complaints regarding sexual harassment, discrimination, or data privacy breaches.

Landmark Cars Limited delivered its strongest first-quarter performance in history for FY27, reporting pro forma revenue from operations growth of over 22% year-on-year. The automotive retailer saw profit after tax (PAT) nearly double compared to the prior period, outpacing the revenue expansion due to improving operating leverage and disciplined cost management.

The results were announced during an earnings conference call held on August 12, 2026, where management emphasized the structural shift toward electric mobility. Electric vehicles (EVs) accounted for 30% of vehicles sold by value at Landmark, a figure substantially higher than the broader industry average. This mix shift is supported by new partnerships and expanded capacity across key brands.

Financial Highlights

Management noted that the corresponding period last year was influenced by GST-related changes and deferred purchases, creating a lumpy baseline. With these dynamics largely resolved, the company expects a more normalized demand trajectory for the remainder of the fiscal year.

What the Numbers Show

A key divergence in the current quarter is the disproportionate contribution of EVs to the sales mix versus their impact on aftersales revenue. While EVs represent 30% of sales by value, management indicated that aftersales revenue from EVs is not negatively impacted compared to internal combustion engine (ICE) vehicles. In fact, higher running frequency and costlier accident repairs for EVs are driving higher revenue per vehicle in the full-year outlook. This suggests that the annuity-based aftersales business model remains resilient despite the powertrain transition.

Brand Performance and Expansion

Mercedes-Benz remained the leading luxury brand in India, recording 9,786 unit sales in H1 calendar year 2026, a 9% year-on-year increase. The average selling price (ASP) for Mercedes-Benz rose to approximately ₹79 lakh in Q1 FY27, up from ₹73 lakh in Q4 FY26, driven by a focus on top-end vehicles.

MG Motors benefited from increased EV penetration, with the new MG Majestor commencing deliveries to strengthen its premium portfolio. Landmark also received a letter of intent for an additional MG showroom in Ahmedabad, expanding its network to 17 outlets for the brand.

Other notable developments include:

• Mahindra: Strong momentum continues with new launches; a new workshop in Hyderabad will soon begin operations.
• BYD: Supply is expected to improve significantly, with hybrid models launching later in FY27. New outlets in Pune became operational in July.
• Kia: Healthy momentum post-Seltos launch, with the Syros EV receiving strong order bookings.
• Honda: Encouraging improvements supported by the City, Amaze, and Elevate models.

Strategic Initiatives

Landmark has signed a memorandum of understanding with ChargeZone, one of India’s leading EV charging networks. Under this industry-first partnership, EV customers will receive wallet credit redeemable at ChargeZone locations, while Landmark earns a share of the charging revenue. This creates a recurring revenue stream beyond the point of sale.

On the infrastructure front, the company inaugurated a large 50,000 square foot workshop in Mumbai to cater to Mercedes-Benz, BYD, and Jeep. Management clarified that future capacity additions will be measured in bays rather than just workshop counts, allowing for better consolidation and margin improvement.

Outlook and Guidance

Looking ahead, management expects demand to remain positive, supported by GST 2.0 reforms. The company plans to maintain capital discipline while selectively expanding service facilities. Operating cash flow for the quarter stood at approximately ₹60 crore, contributing to robust annual cash generation of ₹250–260 crore in the previous fiscal year. Management indicated that borrowing costs remain stable and capex is in line with guidance of around ₹50 crore for the year.