“Over the past few weeks, we have had to make the difficult decision to part ways with around 200 of our teammates across various functions,” Chopra wrote. “Over the last few months, we realised that some projects did not deliver what we expected. Some roles were added too early. A few hypotheses simply didn’t hold when tested. And in some cases, we couldn’t offer the kind of growth or learning that people truly deserve.”
He added that Cars24 was offering severance support to affected employees.
Chopra said no further layoffs were expected at this time, calling it a “specific, intentional reset, not the beginning of a rolling plan.”
However, he emphasised that Cars24 would be “far more rigorous” about future hiring. “Every open role will be evaluated carefully, with clear justifications and outcome expectations,” he said.
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News website Entrackr reported on the development first on Saturday. In March, Cars24 entered the new car sales segment with the launch of a platform that aggregates dealerships and vehicle manufacturers.
In August last year, the company launched a super app consolidating ancillary services such as vehicle repairs, financing, on-demand chauffeur booking, insurance payments, FASTag distribution and service history records — aiming to monetise the consumer base it built through used-car sales.
For the year ended March 31, 2024, Cars24 recorded a 25% rise in operating revenue to Rs 6,917 crore, driven by an increase in unit sales and average selling price. However, its net loss widened to Rs 498 crore from Rs 468 crore in FY23.
Cars24’s rival Spinny recently closed a $131 million funding round led by US-based Accel Leaders Fund at a flat valuation of $1.7-1.8 billion, ET reported on March 31 — marking the first major deal in the used-car classifieds space since the boom period of 2021.
