Popular Vehicles misses FY26 targets as CEO departs
The automotive retailer posted a full-year loss of ₹12.5 crore and missed its profitability guidance, even as it targets a turnaround in FY27.
— 4 earlier stories on Popular Vehicles & Services Ltd. →What's new
- Management missed its prior profitability and EBITDA margin guidance for the quarter.
- The company reported a Q4 net loss of ₹5 cr and a full-year loss of ₹12.5 cr.
- CEO Raj Narayan has resigned; the firm is now pivoting to geographic and service-revenue growth.
Why this matters
Missing guidance while simultaneously losing a chief executive creates a difficult environment for investors. Management is now asking for patience, promising sustainable profitability by the second quarter of FY27. Whether they can hit these new targets after missing the last ones is the open question.
What we're watching
- The search for a new CEO and any potential shifts in leadership strategy.
- Whether the company hits its 4.8-5% EBITDA margin target in FY27.
- Evidence of sustainable profitability by Q2 FY27.
The full read
Popular Vehicles & Services Ltd ended FY26 in the red, reporting a full-year loss of ₹12.5 crore and a Q4 loss of ₹5 crore. Management admitted during the May 27 conference call that they missed their prior profitability and EBITDA margin targets. The company is now resetting expectations for FY27, guiding for an EBITDA margin of 4.8-5% and promising a return to sustainable profitability by the second quarter of the new fiscal year. This financial reset coincides with the resignation of CEO Raj Narayan. The company intends to address these setbacks by focusing on geographic expansion and growing its service revenue. The next test is whether the firm can stabilize its margins and execute this new strategy without its former chief executive.
Questions answered
- What were the financial results for Popular Vehicles in FY26?
- The company reported a net loss of ₹5 crore for the fourth quarter and a full-year loss of ₹12.5 crore.
- What is the company's guidance for the upcoming fiscal year?
- Management expects an EBITDA margin of 4.8-5% for FY27 and aims to reach sustainable profitability by the second quarter.
- Who is leading the company following the resignation of Raj Narayan?
- The filing notes the resignation of CEO Raj Narayan but does not name a successor.
- What is the company's new strategic focus?
- The firm is shifting its focus toward geographic expansion and increasing service-related revenue.
Story so far
All notes on PVSL →- 27 May 2026 · 11:45 AM IST Popular Vehicles misses FY26 targets as CEO departs
- today Popular Vehicles & Services revenue jumps 28% but losses persist
- today Popular Vehicles & Services files routine annual results
- today Popular Vehicles & Services slashes Q4 growth claim from 69% to 28%.
- 5d ago Popular Vehicles & Services CEO Raj Narayan quits