IndiaMart net profit slumps 49 per cent in first quarter

Mumbai (Maharashtra) [India], July 22 : IndiaMART Inter MESH Limited (IndiaMART) on Friday reported a consolidated net profit of Rs 47 crore for the quarter ended June 30, recording a year-on-year decline of 49 per cent.
The company reported consolidated total revenue from operations of Rs 225 crore in Q1 FY23, a growth of 24 per cent YoY primarily driven by 23 per cent increase in number of paying subscription suppliers and addition of Rs 10.53 crore revenue from accounting software services.
Consolidated deferred revenue of IndiaMART increased by 34 per cent YoY to Rs 961 crore as on June 30, 2022.
The company continued making growth investments in manpower, product and technology, sales and servicing resulting into growth in revenue and paying subscription suppliers. As a result, consolidated EBITDA was Rs 64 crore for Q1 FY23 representing an EBITDA margin of 29 per cent, IndiaMART said in a statement.
Expenses for the quarter also included one-time cost of Rs 4.07 crore related to the acquisition of Busy Infotech Private Limited and Finlite Technologies Private Limited, which have been consummated during the quarter, it said.
"We are starting the fiscal year on a positive note as the quarter registered modest all-round profitable growth and improvement in overall demand environment. We continue to make investments in strengthening our value proposition as well as building the organization to further accelerate digital transformation of businesses," Dinesh Agarwal, Chief Executive Officer, IndiaMART, said in a statement.
"We look forward to capitalizing the emerging opportunities arising from the increasing adoption of the internet on the back of investments made in the recent quarters as well as a strong balance sheet," Agarwal added.