Carro, an online automotive platform based in Singapore, reported record revenue of S$1.2 billion (US$898 million) and gross profit of S$149 million (US$111 million) for FY2025.
This represents a 15% rise in revenue and a 20% rise in gross profit year-on-year.
Its gross profit margin increased to 12.4% from 11.8% in FY2024, with liquidity at S$385 million (US$287 million) and total assets of S$1.3 billion.
The company expanded operations in Hong Kong and Japan and closed a US$60 million funding round led by Cool Japan Fund to support regional growth.
Genie Financial Services, Carro’s fintech arm, saw a 35% rise in its consumer loan book to S$670 million (US$500 million) while maintaining a non-performing loan ratio below 0.5%.
🔗 Source: Carro
🧠 Food for thought
Implications, context, and why it matters.
Carro’s low Non-Performing Loan (NPL) ratio may mask risk from a young portfolio and collateral limits
- Genie Financial Services (Genie), Carro’s lending unit, has an NPL ratio below 0.5%. The portfolio rose 35% year over year to S$670 million, so many accounts are new and have not seasoned 1. Fast expansion can mute early delinquency.
- Auto loans carry vehicle collateral, which helps recoveries through repossession. Carro does not share recovery rates or time to liquidate or other collateral outcomes, so investors cannot judge workout strength. The ratio also depends on whether underwriting stayed tight during growth.
- The release omits 30–60 day delinquency buckets and loan vintage curves 1. Without that detail, the headline NPL figure gives an incomplete read on embedded credit risk.
External financiers and Asset-Backed Securities (ABS) arrangers can target Genie’s expanding portfolio for warehouse lines or securitizations
- A S$670 million book with strong reported asset quality can attract banks, credit funds, or alternative lenders 1. Revolving credit facilities are short-term lines secured by the loans, which let Carro scale originations without heavy balance sheet use.
- The US$60 million Cool Japan Fund deal signals room for strategic capital 1. Debt from warehouse providers or the Asset-Backed Securities (ABS) market could lower funding costs at scale, while sidestepping more equity dilution.
Recent Carro developments
