iCar stated that its incremental improvements over the past year including an earnings accretive acquisition of Carmudi have contributed to achieving positive EBITDA (earnings before interest, tax, depreciation and amortisation) margin growth in its core markets of Malaysia, Thailand and Indonesia.
In November this year, iCar acquired Carmudi Indonesia for $4.4 million and began to integrate the business into its own existing operations.
The focus of the integration has been squarely on Carmudi’s new and used car business units as well as its car sales centres operating under the Carsentro brand.
At the time, iCar said the deal would provide access to Carmudi’s established advertising and lead generation business which services Indonesia car makers and racks up approximately 2 million website hits per month.
iCar claims it is currently ASEAN’s number one network of digital automotive marketplaces and delivers the most comprehensive web and mobile apps in the automation industry.
The Carmudi acquisition is therefore a direct attempt to expand iCar’s used car business with Indonesia’s second vertical automotive site, Carmudi.co.id.
According to iCar, the combined Indonesian business has approximately doubled its monthly Indonesian revenues and increased the overall present contribution of Indonesia to iCar’s revenues from approximately 12% to 22%.
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