Landmark Cars , a leading premium automotive retail network in India, has announced a significant expansion of its partnership with BYD India Private Limited. The company has received approval to open a new showroom and workshop in Pune, Maharashtra, marking its entry into this promising market for luxury and premium electric vehicles.

Key Highlights

• Landmark Cars to open new BYD showroom and workshop in Pune
• Expansion strengthens Landmark's position as BYD's largest retail partner
• Move marks Landmark Cars' entry into Pune's premium EV market

Partnership Details

Landmark Cars continues to solidify its position as BYD's largest retail and service partner in India. The new facilities in Pune will be established through M/s Watermark Cars Private Limited, a wholly-owned subsidiary of Landmark Cars.

Market Dynamics

The expansion comes at a time when BYD is experiencing significant growth in India's premium EV market. According to the company's statement, BYD has recorded an 80% surge in sales this year, establishing itself as a leading player in the segment.

Strategic Importance

This move is strategically significant for Landmark Cars for several reasons:

1. Market Entry: It marks the company's entry into Pune, a city with substantial potential in the premium and luxury vehicle segment.
2. Partnership Strength: The expansion reinforces Landmark Cars' status as a partner of choice for its OEM collaborators.
3. EV Market Growth: It positions the company to capitalize on the rapidly growing electric vehicle market in India.

Company Statement

Mr. Sanjay Thakker, Promoter and Chairman of Landmark Cars Limited, commented on the development, highlighting BYD's strong performance in India's premium EV market. He noted the popularity of BYD models such as ATTO 3, SEAL, and e6, attributing their success to premium features, excellent performance, and advanced safety.

Outlook

As the electric vehicle market in India continues to expand, particularly in the premium segment, Landmark Cars' strategic partnership with BYD and its entry into the Pune market position the company for potential growth. However, investors should note that future performance will depend on various factors, including market demand, competition, and overall economic conditions.

Landmark Cars Limited continues to demonstrate its ability to adapt to changing market dynamics and consumer preferences in the automotive retail sector. The company's focus on premium and electric vehicle segments aligns with the growing trend towards sustainable and luxury mobility solutions in India.

Landmark Cars Limited , a leading multi-brand automotive dealership in India, reported a robust 31% year-on-year revenue growth to INR 1,657.00 crores in Q2 FY26, despite facing challenges during the GST rate transition period. However, the company experienced margin pressure due to inventory liquidation and discounts offered during this transition.

Financial Highlights

Key Takeaways

1. Revenue Growth: The company's proforma revenue saw a significant increase, driven by strong performance across all OEM partners.

2. Segment-wise Performance:

   • New car sales: INR 1,403.00 crores (+35% YoY)
   • Aftersales revenue: INR 254.00 crores (+11.2% YoY)

3. Margin Pressure: Gross margins compressed to 16.2% due to discounts and inventory liquidation during the GST rate transition period from August 15 to September 21, 2025.

4. Average Selling Price (ASP): The company achieved its highest-ever ASP of INR 23.16 lakhs for new cars in Q2 FY26, indicating a trend towards premium vehicle sales.

5. After-sales Performance: Per car service revenue stood at over INR 26,000 in Q2 FY26.

6. Cash Flow: The company generated a net operating cash flow of INR 177.00 crores in H1 FY26, surpassing the FY25 level of INR 152.00 crores.

GST Transition Impact

The GST rate revision announcement on August 15, 2025, led to a period of uncertainty and changed consumer behavior. Key impacts include:

• Buyers deferred purchases in anticipation of better pricing from September 22, 2025.
• The company implemented selective discounting and incentive schemes to maintain customer engagement.
• The transition period coincided with the festive season, further complicating market dynamics.
• The abolition of the compensation cess created ambiguity at the dealer level, leading to challenges in utilizing accumulated cess credits.

Future Outlook

1. Margin Recovery: Management has guided for a 100+ basis points margin improvement in the second half of FY26 as GST-related disruptions normalize.

2. Demand Momentum: The company expects sustained demand across luxury and premium segments.

3. New Launches: Honda, a key partner for Landmark Cars, plans to introduce 10 new models in India by 2030, primarily focusing on SUVs with hybrid and electric powertrains.

4. Electric Vehicle Growth: BYD, for which Landmark is the largest partner, crossed the 1,000-unit sales mark in October, reflecting growing customer acceptance of electric vehicles.

5. Expansion Plans: While the company has completed its planned expansions, it remains open to strategic acquisitions to consolidate its market position.

Sanjay Thakker, Chairman and Executive Director of Landmark Cars, commented on the results: "We navigated one of the most significant tax transitions in recent memory. While these short-term measures helped maintain customer engagement, they also exerted temporary pressure on the gross margins. We are guiding that the gross profit percentages going ahead for the balance part of the year will increase by over 100 basis points."

The company's management expressed optimism about the future of the Indian automotive market, anticipating that the recent GST reforms will lead to sustained profitable growth for several years to come.

As the automotive industry adapts to these changes, Landmark Cars appears well-positioned to capitalize on the growing demand for premium and luxury vehicles in the Indian market.