Landmark Cars Limited (LCL) has reported a robust financial performance for the second quarter of fiscal year 2026, marking significant growth and operational expansion. The multi-brand automotive retailer has demonstrated strong momentum in its business, driven by increased vehicle sales and after-sales services.

Financial Highlights

LCL reported impressive financial results for Q2 FY26:

The company achieved its fastest quarterly growth since its listing, with vehicle sales, including agency and pre-owned vehicle sales, showing a substantial increase of 35.03%. The after-sales service and spare parts segment also demonstrated solid growth, reaching its highest quarterly revenue level to date.

Operational Expansion

Landmark Cars has been actively expanding its operational footprint:

• July 2025: Operationalized two KIA workshops in Hyderabad and Mercedes-Benz operations in Patna
• October 2025: Opened an MG Select outlet in Kolkata
• November 2025 (Planned):
  • Strengthening Mahindra partnership with a new sales outlet in Hyderabad
  • Opening small KIA sales outlets in Hyderabad and Kolkata

Market Dynamics

The company's growth was particularly strong during the Navratra period, traditionally a time of high demand in the Indian market. However, LCL noted that some purchase deferrals occurred due to announcements regarding GST rate reductions, indicating consumer sensitivity to potential price changes.

Looking Ahead

With its strategic expansion and strong financial performance, Landmark Cars appears well-positioned to capitalize on the growing automotive market in India. The company's focus on both sales and after-sales services, coupled with its multi-brand strategy, provides a diverse revenue stream and potential for sustained growth.

Investors and market watchers will likely keep a close eye on how Landmark Cars leverages its expanded operations and navigates the evolving automotive retail landscape in the coming quarters.

Landmark Cars Limited, a prominent player in the Indian automotive retail sector, has announced a strategic move to consolidate its Mercedes-Benz dealership operations. The company is set to acquire the remaining 17% equity stake in its subsidiary, Landmark Cars (East) Private Limited (LCEPL), which operates Mercedes-Benz dealerships in West Bengal and Sikkim.

Acquisition Details

Landmark Cars has entered into a Share Purchase Agreement to acquire the remaining shares from Autocity Services Private Limited and two individual shareholders. The key details of the acquisition are as follows:

Financial Performance of LCEPL

LCEPL has shown strong financial performance in recent years:

For the fiscal year 2024-25, LCEPL reported a profit before tax of Rs. 1,188.66 lakhs.

Strategic Implications

This acquisition aligns with Landmark Cars' strategy to strengthen its position in the luxury car segment, particularly in the eastern region of India. By making LCEPL a wholly-owned subsidiary, Landmark Cars aims to enhance operational control and potentially improve synergies across its dealership network.

Market Context

The move comes at a time when Mercedes-Benz India has reported record sales performance. In September, the luxury automaker achieved its strongest quarterly performance, indicating robust demand for Mercedes-Benz vehicles in the Indian market. Landmark Cars' decision to increase its stake in LCEPL could be seen as a strategic response to capitalize on this growing demand.

This acquisition underscores the dynamic nature of the Indian automotive retail sector and highlights the importance of strategic partnerships in the luxury car segment. As Landmark Cars strengthens its position in the Mercedes-Benz dealership network, it may be well-positioned to benefit from the ongoing growth in India's luxury car market.