Karmo has reported strong growth following the first anniversary of its Motopool acquisition, with the Brisbane-based company expanding its debt facility to AUD $150 million and aiming to add 5,000 new vehicles to its subscription fleet. Annual recurring revenue now stands at AUD $60 million, marking significant momentum for the car subscription provider, which now claims the largest revenue and fleet size in Australia's car subscription market.
Facility increase
The company's debt facility, which stood at AUD $138 million last year, has been increased to AUD $150 million. This financial capacity underpins Karmo's expansion plans, supporting the addition of thousands of new vehicles and positioning the business to reach a broader customer base. The fleet now covers over 35 automotive brands and maintains an average age of approximately nine months.
Revenue surge
Karmo reported a 35% year-on-year jump in recurring revenue, reaching AUD $60 million. This growth is attributed to a combination of organic expansion, strategic leadership, and growing demand from both consumers and business clients.
Business partnerships
Corporate demand for vehicle subscriptions has played a major role in Karmo's financial results. Partnerships, such as those with CommCars and CPA Australia, have broadened access to vehicle subscription services for both consumers and business fleets. These agreements allow businesses to scale their vehicle usage flexibly and shift toward sustainable mobility without the long-term commitments or capital requirements of ownership.
Karmo reports increasing traction with national organisations and fleet management providers, reflecting the growing appeal of the subscription model for corporate Australia. The service allows businesses to respond to changing workforce needs and supports fleet managers seeking to integrate electric vehicles (EVs) efficiently.
Technology development
The company highlights its technology platform, developed in-house, as a driver for operational efficiency and customer experience. This focus on proprietary systems is credited with streamlining onboarding, payment, and fleet management for users. Karmo's technology is being utilised to assist customers trial and incorporate EVs, making it easier for fleets to manage transitions to new vehicle types.
Industry recognition
Karmo has garnered industry recognition, with nominations for the Deloitte Tech Fast 50 Awards and the Smart50 list of fast-growing small-to-medium enterprises. The company has also been shortlisted for awards recognising high-growth and innovation within the business community, such as the Lord Mayor's Business Awards and the AFR BOSS Most Innovative Companies list.
Customer experience
Karmo attributes much of its reputation to consistently positive customer feedback, with a Google rating of 4.9 stars from over 1,200 reviews. Its subscription fleet includes a wide range of vehicle categories, from small hatchbacks and SUVs to commercial vans, utes, electric vehicles, and high-end models.
Leadership statement
"The past year has proven that Karmo isn't just part of the mobility revolution, we're leading it," said Nick Boucher, CEO and Co-Founder, Karmo. "Our mission has always been to build a smarter, more sustainable alternative to car ownership, one that evolves with people's lifestyles. This milestone is proof that innovation, not acquisition, drives real progress."
