Landmark Cars shares came under pressure on Wednesday, with the stock falling as much as 7.77% to Rs 528 apiece on the BSE, as investors appeared to book profits after the company's June-quarter results and a sharp recent rally.
At 11:44 am, Landmark Cars shares were trading 7.35% lower at Rs 530.40, while the BSE Sensex was down 0.71% at 77,601 levels. The stock had gained around 26% over the past month before Wednesday's decline.
Landmark Cars Q1 Results
Landmark Cars reported a strong first quarter of FY27, with consolidated revenue rising 22.7% year-on-year (YoY) to Rs 1,302.4 crore, compared with Rs 1,061.7 crore in Q1FY26. EBITDA increased 18.2% YoY to Rs 72.1 crore, from Rs 61 crore, while EBITDA margin moderated to 5.5% from 5.7%.
Net profit more than doubled to Rs 14.5 crore in Q1FY27, compared with Rs 6.9 crore a year earlier (Q1FY26).
Mayank Jain, market analyst at Share.market by PhonePe, said Landmark Cars delivered its strongest-ever first-quarter performance, driven by robust growth across its business segments. He noted that proforma revenue, which includes the full value of Mercedes-Benz vehicles sold under the agency model, increased 22.4% year-on-year to Rs 1,732.5 crore.
However, the analyst said the sequential picture was less encouraging, with reported revenue rising just 1.9% quarter-on-quarter (Q-o-Q), while net profit declined 3.2%. Proforma revenue also fell 3.5% sequentially to Rs 1,732.5 crore from Rs 1,795.1 crore in Q4FY26.
The company's after-sales business remained a key strength, generating Rs 267 crore in revenue while maintaining an EBITDA margin of 18.4%. Landmark Cars serviced more than 98,200 vehicles during the quarter.
Stock Sees Profit Booking
Jain said the sharp reaction in the stock despite the record Q1 performance was likely linked to profit booking after its recent rally, along with a contraction in gross profit margin. Gross profit margin declined to 15.72% in Q1FY27 from 17.37% a year earlier, partly due to changes in the sales and service mix and accounting adjustments related to annual incentives recognised in previous quarters.
“The market reaction was likely driven by a contraction in Gross Profit Margin... stemming from shifts in the sales and service revenue mix as well as accounting adjustments from annual incentives recognised in previous quarters,” Jain said.
Technical View
From a technical perspective, Jain said the stock is undergoing a pullback after a strong recovery from its Rs 350-Rs 360 support base. The Rs 520-Rs 535 zone, around the 20-day simple moving average, is now an important near-term support area.
A sustained hold above this zone could help stabilise the short-term trend, while the Rs 455-Rs 475 range, where the 50-day and 200-day moving averages converge, could offer a stronger support zone.
On the upside, a decisive daily close above Rs 580 could signal renewed momentum, he said.
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