Competent Automobiles Company Ltd (531041)
Latest quarterly results (Q1 FY27)
In its latest reported quarter, Q1 FY27, Competent Automobiles' revenue was ₹657 Cr (+47.8% year on year, +6.0% on the previous quarter), and net profit ₹3.8 Cr (+41.5% year on year); the operating margin was 3.1%.
| Q1 FY27 (₹ Cr) | Value | YoY vs Q1 FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹657 | +47.8% | +6.0% |
| Operating profit | ₹20.2 | +22.5% | -30.0% |
| Net profit | ₹3.8 | +41.5% | -56.2% |
| EPS (₹) | 6.17 | +41.5% | -56.1% |
| Operating margin | 3.1% | — | — |
📢 Recent Corporate Announcements
Competent Automobiles Company Ltd has scheduled its 41st Annual General Meeting (AGM) for Friday, September 18, 2026, at 11:00 AM via video conferencing. The company has fixed September 11, 2026, as the record date/cut-off date to determine member eligibility for voting and receiving the final dividend for FY2026, subject to shareholder approval. Additionally, the share transfer books and register of members will remain closed from September 12, 2026, to September 18, 2026.
- 41st Annual General Meeting scheduled for September 18, 2026, at 11:00 AM via VC/OAVM
- Record date / cut-off date fixed for September 11, 2026, for AGM voting and final dividend eligibility
- Book closure set from September 12, 2026, to September 18, 2026 (both days inclusive)
Competent Automobiles Company Ltd has scheduled its 41st Annual General Meeting (AGM) for Friday, September 18, 2026, at 11:00 AM via Video Conferencing. The company's Register of Members and Share Transfer Books will be closed from September 12, 2026, to September 18, 2026 (both days inclusive). The record date and cut-off date to determine shareholder eligibility for AGM voting and the final dividend for FY2026 is fixed as September 11, 2026.
- 41st Annual General Meeting scheduled for September 18, 2026, at 11:00 AM via VC/OAVM
- Book closure period fixed from September 12, 2026, to September 18, 2026 (both days inclusive)
- Record date / cut-off date set for September 11, 2026, for AGM voting and final dividend eligibility
- Final dividend for the financial year ended March 31, 2026, subject to shareholder approval at the AGM
Competent Automobiles Company Ltd has submitted its 41st Annual Report along with the Notice of the Annual General Meeting for the financial year 2025-26 under Regulation 34(1) of SEBI LODR. The report details the company's dealer network, comprising 36 Arena, 11 Nexa, 6 True Value, and 4 Commercial showrooms across Delhi, Haryana, UP, and Himachal Pradesh. It also records recent board adjustments, including the appointment of Mrs. Nisha Mehta as Whole Time Director effective August 14, 2026.
- Filing of the 41st Annual Report and AGM notice for FY 2025-26 under Regulation 34(1)
- Extensive network listed with 36 Arena showrooms, 11 Nexa showrooms, and 6 True Value outlets
- Commercial showroom network stands at 4 locations, alongside over 22 Arena workshops
- Board update notes Mrs. Nisha Mehta appointed as Whole Time Director effective 14.08.2026
Competent Automobiles Company Ltd has issued the notice for its 41st Annual General Meeting scheduled for September 18, 2026, via Video Conferencing. The company has fixed September 11, 2026, as the record date to determine shareholder eligibility for the final dividend for FY2026. Key special business includes the proposed appointment of Mrs. Nisha Mehta as a Whole-Time Director for 5 years effective August 14, 2026, at a monthly remuneration of Rs. 1,25,000.
- 41st AGM scheduled for Friday, 18th September, 2026 at 11:00 AM IST via VC/OAVM.
- Record Date fixed as Friday, 11th September, 2026 for FY2026 final dividend entitlement.
- Proposed appointment of Mrs. Nisha Mehta as Whole-Time Director for a 5-year tenure starting 14th August, 2026.
- Remuneration for the proposed Whole-Time Director fixed at Rs. 1,25,000 per month.
Competent Automobiles reported consolidated revenue from operations of ₹656.96 cr for Q1 FY27, up 47.8% YoY compared to ₹444.56 cr in Q1 FY26. Consolidated net profit rose 41.4% YoY to ₹3.79 cr from ₹2.68 cr. On a standalone basis, revenue jumped 35.1% YoY to ₹576.10 cr, though standalone net profit was nearly flat (+0.6% YoY) at ₹3.68 cr due to higher vehicle purchase and finance costs. The Board also appointed Mrs. Nisha Mehta as Whole Time Director for a 5-year tenure.
- Consolidated revenue from operations grew 47.78% YoY to ₹65,695.96 lacs (₹656.96 cr).
- Consolidated net profit increased 41.42% YoY to ₹379.27 lacs (₹3.79 cr) with diluted EPS of ₹6.17.
- Standalone revenue from operations rose 35.15% YoY to ₹57,609.88 lacs, driven by Showroom sales of ₹53,268.38 lacs.
- Standalone net profit remained largely flat at ₹368.04 lacs (+0.60% YoY) amid finance costs of ₹840.43 lacs.
- Appointed Mrs. Nisha Mehta as Additional Director & Whole Time Director for 5 years effective August 14, 2026.
Competent Automobiles has scheduled a board meeting for August 14, 2026, to consider and approve the unaudited financial results for the quarter ended June 30, 2026. This follows a fiscal year (FY26) where the company maintained steady performance with revenue of ₹2,239 Cr and PAT of ₹23 Cr. The trading window for designated persons has been closed since July 1, 2026, and will remain so until 48 hours after the results are declared. Investors will be monitoring the results for volume growth from the company's 43 showrooms, especially the newer locations in Noida and Kashmir.
- Board meeting scheduled for August 14, 2026, to approve Q1 FY2027 results.
- Financial results to be reviewed for the quarter ended June 30, 2026.
- Trading window for insiders has been closed since July 1, 2026.
- Company currently operates 43 showrooms and workshops across North India.
- TTM revenue stands at ₹2,239 Cr with a thin operating margin of 3.8%.
Competent Automobiles Company Ltd has announced the resignation of Mr. Kamal Kant Kumar from his position as Whole Time Director, effective July 14, 2026. The resignation is attributed to personal reasons and circumstances requiring his complete attention. The company has formally acknowledged his contributions and is in the process of updating statutory registers and filing Form DIR-12. This change represents a standard executive transition for the Maruti Suzuki dealership operator.
- Resignation of Whole Time Director effective from the close of business hours on July 14, 2026
- Official intimation filed with the exchange on July 15, 2026
- Director identified by DIN 11366068
- Resignation cited as being due to personal reasons requiring full attention
Financial Performance
Revenue Growth by Segment
The company operates in two segments: Showroom (vehicle sales) and Service & Spares. Total operating income reached INR 2,139 crore in fiscal 2025, representing a muted volumetric growth of 2% due to an auto sector slowdown. However, the company achieved a 20% CAGR over the three fiscals ending 2025. Revenue for fiscal 2026 is projected to grow to INR 2,300-2,400 crore, driven by a 6-7% expected volumetric growth from new showrooms.
Geographic Revenue Split
Operations are concentrated in North India, with 43 showrooms and workshops across Delhi, Haryana, Himachal Pradesh, Uttar Pradesh (Noida), and Jammu & Kashmir. While specific percentage splits per region are not disclosed, the expansion into Noida and Kashmir is expected to drive 15-20% revenue growth in the upcoming cycles.
Profitability Margins
Net Profit Margin declined by 18.46% YoY, falling from 1.30% in FY2024 to 1.06% in FY2025. Operating Profit Margin remained relatively stable but saw a slight 2.04% decline from 2.94% to 2.88% in the same period. Historical margins were higher at 4-4.5% in FY2021-22, but have compressed due to higher discounts and the absence of extra sales incentives from the principal supplier.
EBITDA Margin
Operating Profit Margin was 2.88% in FY2025, down from 2.94% in FY2024. This core profitability is under pressure due to rising dealership operation costs, increased labor wages, and higher selling/distribution costs necessitated by intense market competition.
Capital Expenditure
The company has no major debt-funded capital expenditure (capex) proposed over the medium term. Recent expansions into Noida and Kashmir showrooms were the primary focus, and future growth is expected to be funded through internal accruals and existing reserves.
Credit Rating & Borrowing
The company maintains a 'Stable' outlook from CRISIL. Interest Coverage Ratio stood at 2.03 times in FY2025, a 24.81% decrease from 2.70 times in FY2024. Net cash accrual to adjusted debt (NCAAD) is expected at 0.2-0.3 times, with bank limit utilization averaging 77.84% through May 2025.
Operational Drivers
Raw Materials
As an automobile dealer, the primary 'raw material' is the finished vehicle inventory, which accounts for the bulk of the cost of goods sold. Other costs include spare parts and workshop consumables.
Import Sources
Vehicles and spare parts are sourced domestically from the principal manufacturer's plants in India, primarily located in Haryana.
Key Suppliers
Maruti Suzuki India Limited (MSIL) is the sole principal supplier for vehicles and genuine spare parts.
Capacity Expansion
The company currently operates 43 showrooms and workshops. Expansion is focused on geographic reach rather than manufacturing capacity, with new showrooms recently operationalized in Noida and Kashmir to increase the scale of operations.
Raw Material Costs
Inventory costs are the primary driver. Inventory turnover ratio decreased by 22.87% from 12.75 times to 9.85 times in FY2025, indicating an increase in inventory holding periods which raises carrying costs.
Manufacturing Efficiency
As a trading entity, efficiency is measured by turnover. Debtors turnover ratio fell 32.02% from 39.31 times to 26.72 times in FY2025, reflecting a stretch in the operating cycle.
Logistics & Distribution
Increasing level of competition in the automotive market has translated into higher selling and distribution costs to maintain market share.
Strategic Growth
Expected Growth Rate
6-7%
Growth Strategy
Growth will be achieved through volumetric increases from newly launched showrooms in Noida and Kashmir, alongside an increase in revenue from ancillary services and workshops. The company aims to leverage its 30-year relationship with MSIL to capture demand in the Arena and Nexa segments.
Products & Services
Maruti Suzuki passenger vehicles (Arena and Nexa brands), automotive servicing, and sale of genuine spare parts.
Brand Portfolio
Competent Automobiles, Maruti Suzuki Arena, Maruti Suzuki Nexa.
New Products/Services
The company relies on MSIL for new product launches; recent volumetric growth is supported by new models introduced by MSIL in the SUV and Nexa segments.
Market Expansion
Targeting the Jammu & Kashmir and Uttar Pradesh regions with new showroom launches to mitigate non-exclusivity risks in Delhi.
Market Share & Ranking
The company is a leading dealer for MSIL in North India, maintaining an established market position for over three decades.
Strategic Alliances
Exclusive dealership agreement with Maruti Suzuki India Limited (MSIL).
External Factors
Industry Trends
The Indian automotive market is seeing increased competition from new entrants and a shift toward SUVs. The industry is evolving with higher digital integration for sales, and the company is adopting online accounting and audit trail facilities to match regulatory shifts.
Competitive Landscape
Intense competition from other MSIL dealers (non-exclusivity in Delhi) and dealers of other OEMs like Hyundai, Tata Motors, and Mahindra.
Competitive Moat
The company's moat is its 30+ year relationship with MSIL and its extensive network of 43 outlets. This provides a significant barrier to entry in its specific territories, though it is challenged by MSIL's policy of appointing multiple dealers in the same region.
Macro Economic Sensitivity
Highly sensitive to interest rate cycles and liquidity conditions which affect consumer financing for vehicle purchases.
Consumer Behavior
Shift toward higher-end models (Nexa segment) and increased demand for professional after-sales servicing.
Geopolitical Risks
Limited direct impact, though global supply chain issues affecting MSIL's production (e.g., semiconductor shortages) indirectly affect the company's inventory levels.
Regulatory & Governance
Industry Regulations
Subject to the Companies Act 2013, Motor Vehicles Act, and various labor laws. The company has implemented audit trail (edit log) facilities in its accounting software (Real books-online) as per recent regulatory mandates.
Environmental Compliance
The company operates workshops that must comply with local environmental and pollution control board norms for waste disposal and emissions.
Taxation Policy Impact
The company complies with standard Indian corporate tax rates; specific effective tax rate % was not disclosed.
Legal Contingencies
The Secretarial Audit report for FY2025 indicated no specific events or actions having a major bearing on the company's affairs, and the company is in compliance with SEBI LODR Regulations.
Risk Analysis
Key Uncertainties
The primary uncertainty is the 100% dependency on MSIL's performance and product pipeline. A decline in MSIL's market share would have a direct negative impact on CACL's revenue.
Geographic Concentration Risk
High concentration in North India (Delhi, Haryana, HP), making it vulnerable to regional economic downturns or regulatory changes in those specific states.
Third Party Dependencies
100% of vehicle inventory is sourced from a single supplier, Maruti Suzuki India Limited.
Technology Obsolescence Risk
Risk of shift toward Electric Vehicles (EVs) if the principal supplier lags in the EV transition, though MSIL is currently the market leader in the passenger vehicle segment.
Credit & Counterparty Risk
Receivables management is critical; Debtors turnover slowed by 32.02% in FY2025, indicating potential pressure on credit collections.
