IndiaMART InterMESH (INDIAMART) Q1 24/25 earnings summary

Executive summary

• Consolidated revenue from operations reached ₹3,313 million (INR 331 crore), up 17% year-over-year, with net profit at ₹1,139 million (INR 114 crore), up 37% year-over-year, and EBITDA margin at 36%.

• Collections from customers grew 14% year-over-year to ₹366 crore (consolidated), with standalone collections at ₹341 crore, up 15%.

• Unique business inquiries increased 15% year-over-year to 25 million; total paying subscribers reached 216,000, with a net addition of 1,519 suppliers.

• Acquired a 10% stake in Baldor Technologies (IDfy) and increased stake in Simply Vyapar Apps to 28.7% to enhance digital business solutions.

• The Board approved a composite scheme of amalgamation among wholly owned subsidiaries, with NCLT proceedings ongoing.

Financial highlights

• Deferred revenue grew 23% to ₹1,474 crore; revenue from operations rose 17% to ₹3,313 million; consolidated net profit for the quarter was ₹1,139 million.

• Standalone revenue from operations was ₹350 crore, up 18% year-over-year, with EBITDA margin at 37%.

• Bizy Infotech reported net billing of ₹23.4 crore (up 4% YoY), revenue of ₹15.5 crore (up 15% YoY), and EBITDA margin of 7%.

• Cash generated from operating activities was ₹136 crore (consolidated), 37% of collections, up 50% year-over-year.

• Cash and treasury balance at ₹2,319 crore as of June 30, 2024; investments (current and non-current) at ₹25,780 million.

Outlook and guidance

• Management expects EBITDA margin to normalize to 33-34% in the next two quarters as customer acquisition costs rise.

• No commitment on net subscriber additions for FY25 due to persistent churn; focus remains on quarter-by-quarter performance.

• Strategic focus on expanding the buyer and supplier network, commerce enablement, fintech, and SaaS business enablement.

• Continued investment in technology, accounting, and business enablement platforms to drive future growth and customer experience.