Zoomcar narrows Ebitda loss in Q1 FY25, marks third profitable quarter

The Bangalore-headquartered, Nasdaq-listed self-drive rental car company Zoomcar reported a narrowed adjusted Ebitda loss, decreasing from $6.8 million to $3.3 million year-on-year during the first quarter of the financial year 2024-25, ending on June 30. Additionally, the company achieved a 58 per cent reduction in the cost of revenue, bringing it down to $1.5 million.

The improvement in adjusted Ebitda was attributed to cost optimisation efforts driven by technology and product enhancements. A guest verification process, incorporating Aadhaar, driving licence, and selfie authentication, has been instrumental in reducing late returns and accidents, contributing to overall cost savings.