Why is Landmark Cars share price under pressure today? Find out here

Business Standard

a day ago

Landmark Cars share price: Shares of Landmark Cars were under pressure on Friday, May 30, 2025, with the stock falling up to 7.46 per cent to an intraday low of ₹447.80 per share.
Around 11:20 AM, Landmark Cars shares were off day's low, and were trading 3.95 per cent lower at ₹464.85 per share. In comparison, BSE Sensex was trading 0.29 per cent lower at 81,400.29 levels.
Why is Landmark Cars' share falling in trade today?
Landmark Cars shares were under pressure after the company posted a massive drop in profit in the March quarter of FY25 (Q4FY25) results.
The company's profit nosedived 86.7 per cent year-on-year (Y-o-Y) to ₹1 crore in Q4FY25, from ₹11 crore in the same quarter a year ago.
'PAT is impacted primarily due to high depreciation and the Ind AS effect by the addition of new outlets and the impact of fair valuation of ESOP grants ₹2.8 crore,' Landmark Cars said, in a statement.
However, revenue from operations soared 26.3 per cent Y-o-Y to ₹1,091.2 crore in Q4FY25, from ₹863.9 crore a year ago.
At the operating level, earnings before interest, tax, depreciation and amortisation (Ebitda) rose merely 2 per cent Y-o-Y to ₹54.5 crore, from ₹53.4 crore a year ago.
Ebitda margin, meanwhile, squeezed to 5 per cent in the March quarter of FY25, from 6.2 per cent in the same quarter of previous fiscal year (Q4FY24).
Additionally, the company reported record-high proforma and reported annual revenues for FY25 at 5,626.1 crore, from 4,655.4 crore in FY24, driven primarily by the rapid growth of new brands and continued footprint expansion. FY25 also marked the highest-ever annual gross profit.
However, Mercedes-Benz sales in Q4FY25 fell short-of-expectations on a Y-o-Y basis due to capital market volatility, which negatively impacted both proforma revenue and gross margin for the quarter.
Sales of Mercedes-Benz have since rebounded and returned to a growth trajectory beginning in Q1FY26.
The full benefit of newly launched showrooms and workshops is expected to materialise over FY26 and FY27, the company said.
The company currently maintains a new car inventory of 45 days—below the industry average of 50 to 55 days, it added.
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Landmark Cars dividend
Landmark Cars board of directors has recommended a final dividend at 10 per cent i.e. Re 0.50 only per equity share of the face value of Rs 5- each for FY25, subject to the approval of the shareholders at the ensuing Annual General Meeting of the Company.
About Landmark Cars
Landmark Cars Limited is among India's leading automotive retailers, specialising in premium and luxury vehicle brands.
Established in 1998, the company has built a strong reputation through its expansive network of showrooms, workshops, and value-added services. It is known for its dealership partnerships with globally recognised brands such as Mercedes-Benz, Jeep, Honda, Volkswagen, and Renault, and also represents emerging names like BYD, Morris Garages, Mahindra, and KIA.
In addition to retailing passenger vehicles, Landmark Cars also manages the commercial vehicle business for Ashok Leyland.
The company offers a comprehensive range of services beyond vehicle sales, including repairs and maintenance, insurance facilitation, accessories sales, and financing options.