The company’s operating revenue grew 17.4% to INR 331.3 Cr in the quarter under review from INR 282.1 Cr in Q1 FY24
IndiaMART’s revenue from web and related services increased at the same rate, 17.4% YoY to INR 315.6 Cr in Q1
Its deferred revenue as on June 30, 2024 stood at INR 1,474 Cr, growing 23% YoY
B2B marketplace IndiaMART
InterMESH posted a 37.3% rise in its consolidated net profit to INR 114 Cr in the June quarter (Q1) of the financial year 2024-25 (FY25) from INR 83 Cr in the same period last year.
The company’s operating revenue grew 17.4% to INR 331.3 Cr in the quarter under review from INR 282.1 Cr in Q1 FY24.
IndiaMART’s revenue from web and related services increased at the same rate, 17.4% year-on-year (YoY), to INR 315.6 Cr in Q1 FY25, while revenue from accounting software services rose 16.3% YoY to INR 15.7 Cr.
Its web and related services revenue comes from providing a platform for online B2B marketplace to discover products and services and connect with the suppliers of such products and services.
The company said in a statement that its collections from customers grew 14% to INR 366 Cr during the quarter, which primarily comprised standalone collections of INR 341 Cr and Busy Infotech’s collections of INR 24 Cr.
Meanwhile, its deferred revenue as on June 30, 2024 stood at INR 1,474 Cr, growing 23% YoY. This primarily includes IndiaMART’s standalone deferred revenue and some for Busy Infotech.
It is pertinent to note that earlier this year, IndiaMART approved a scheme of amalgamation amongst its three wholly-owned subsidiaries – Busy Infotech Private Limited (transferor company 1), Hello Trade Online Private Limited (transferor company 2), and Tolexo Online Private Limited (transferee company).
IndiaMART disclosed in its Q1 FY25 earnings filing that the National Company Law Tribunal (NCLT) pronounced the first motion petition order for the scheme on July 3, 2024 and the second motion hearing held on July 26, 2024. Given that the scheme will become effective on filling of the NCLT order with the Registrar of Companies, the financial impact of the scheme is not incorporated in the consolidated financial results of the group for the quarter ended June 30, 2024, it said.
Emphasising the company’s steady growth in revenue and deferred revenue, along with expansion in operating margin, IndiaMART CEO Dinesh Agarwal said, “On the back of strong balance sheet and sustained cash flows, we will continue to make investments to further strengthen our value proposition, improving customer experience and leveraging growth opportunities.”
“We are confident of the sustained long term profitable growth as more and more businesses adopt (the) internet to grow themselves,” he added.
IndiaMART’s total expenses increased a mere 3.5% to INR 221.9 Cr in Q1 FY25 from INR 214.4 Cr in the year-ago quarter.
Employee expenses continued to be the biggest expense head for the company, growing 15.2% to INR 143.2 Cr during the quarter under review from INR 124.3 Cr in Q1 FY24.
Its total paying suppliers count stood at 216K, witnessing a 4% rise YoY, while the Indian supplier storefront increased 5% YoY to 8 Mn in Q1.
Ahead of the earnings announcement on Tuesday (July 30), shares of IndiaMART ended the trading session 3.3% higher at INR 3,146.55 on the BSE.
