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Car-sharing company Zoomcar on Thursday said its quarterly adjusted core loss improved as it managed to keep a lid on its operating expenses.

Zoomcar reported an adjusted EBITDA loss of $4 million in the third quarter ended December 31, compared with a loss of $5.2 million a year ago.

Its non-adjusted net income jumped to $14.4 million from a loss of $8.7 million a year earlier, primarily because of a one-time financial gain resulting from completing the process of transitioning from a private company to a publicly traded entity through a merger with a special purpose acquisition company (SPAC).

The company listed on the NASDAQ in December last year.

Zoomcar trimmed its operating expenses by 24% to $2.2 million, driven by reductions in both sales and marketing expenses, as well as technology and development costs.

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However, its net revenue dropped by 18.7% to $2.4 million because fewer days were booked, leading to lower gross billings. Zoomcar said it focused more on booking higher-margin trips in the quarter, which earned it more money and helped reduce costs.

“As we look ahead to 2024, we expect a meaningful return to growth with materially improved profitability as we now have the right infrastructure in place to scale our operations efficiently,” said Greg Moran, CEO and Co-founder of Zoomcar.

Zoomcar is like an Airbnb for cars where hosts connect with guests interested in renting their cars. The Bengaluru-headquartered company has operations across India, Egypt, and Indonesia.

It said its hosts earned nearly $4 million in the third quarter on its platform.

For the calendar year ended December 31, 2024, Zoomcar said it expects net revenue between $17 million and $20 million, up around 70-100% from the previous corresponding period.

It hopes to swing to profit on an adjusted EBITDA basis, expecting to earn $2 million to $4 million, by the fourth quarter of 2024.

Zoomcar’s presence in India over the past decade has been quite turbulent, featuring a series of shifts and strategic manoeuvres that, unfortunately, have not successfully achieved the intended outcomes.

It started with buying a small fleet of cars and leasing them out, after which it tried convincing wealthy individuals to invest in purchasing a small fleet of cars for a neat return.