Carsome office / Photo credit: Carsome
Carsome, a Malaysia-headquartered used-car marketplace, hit quarterly positive EBITDA for the first time in Q1 2024, the company said in a statement. It did not disclose hard numbers, but it partly attributed the development to a “significant” improvement in gross profit per unit, which rose 48% year on year.
“While we are on track to achieve the group’s first full-year profitability this year, we are also continuing our long-term vision of driving profitable growth and extending our leadership in the region and the industry,” co-founder and CEO Eric Cheng said, adding that the untapped potential in Carsome’s market is “immense.”
The firm also said it has sold more than 500,000 cars since its 2015 founding, with 150,000 of them sold last year. Meanwhile, revenues from Carsome Capital surged by over 80% in 2023, marking the second year in a row of net profits for Carsome’s financing and insurance arm.
The used-car marketplace, which operates in three other Southeast Asian markets aside from its native Malaysia, is reportedly eyeing a public listing. In June 2023, it raised an undisclosed amount of funding, which appears to be part of its IPO preparations.
The company has also reshuffled its top management, appointing a new group CFO as well as a COO over the past year. It has not publicly announced when and where it will go public.
See also: This Indonesian startup speeds up auto repair shops’ digital transition
Editing by Dhania Putri Sarahtika
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