IndiaMART InterMESH (INDIAMART) Q1 25/26 earnings summary

Executive summary

• Consolidated revenue from operations reached INR 3,721 million (INR 372 crore) in Q1 FY26, up 12% year-over-year, with net profit at INR 1,535 million (INR 154 crore), a 135% increase year-over-year and a 33% margin.

• Standalone revenue was INR 3,463 million (INR 346 crore), up 10% year-over-year, with net profit at INR 1,660 million (INR 166 crore), a 34% increase year-over-year and a 39% margin.

• Customer collections grew 17% YoY to INR 430 crore, with deferred revenue up 17-18% YoY to INR 1,735 crore.

• Unique business inquiries for the standalone business rose 17% YoY to 29 million; net paying subscribers increased by 1,500 in the quarter.

• Ms. Vasuta Agarwal was appointed as an Additional Non-Executive Independent Director for a three-year term, subject to shareholder approval.

Financial highlights

• Consolidated EBITDA was INR 134 crore (36% margin), up 12% year-over-year; standalone EBITDA was INR 135 crore (39% margin), up 15% year-over-year.

• Cash flow from operations reached INR 161 crore consolidated (37% of collections, up 18% year-over-year) and INR 144 crore standalone (39% of collections, up 16% year-over-year).

• Busy Infotech reported Q1 revenue of INR 25 crore (up 29% year-over-year), collections of INR 50 crore, and deferred revenue of INR 101 crore; 12,000 new licenses sold in Q1.

• Annualized revenue per paying supplier increased 19% year-over-year to INR 64,000.

• Basic EPS (consolidated) for the quarter was INR 25.59, up from INR 19.00 year-over-year.

Outlook and guidance

• Continued focus on product and user experience enhancements, with ongoing investments in digital marketing, AI, and business enablement SaaS.

• Advertising budget set at INR 6-10 crore per quarter for experimentation and optimization; impact on net adds and retention to be evaluated over 3-4 quarters.

• Margin guidance remains at 30-35% EBITDA, with current investments expected to impact margins by about 3%.