IndiaMART InterMESH (INDIAMART) investor relations material

Executive summary

• Consolidated revenue from operations reached INR 414 crore in Q1 FY27, up 11% year-over-year, with net profit at INR 172 crore and a 33% margin; standalone revenue was INR 376 crore, up 9% YoY, and standalone net profit rose 16% YoY to INR 176 crore.

• Customer collections grew 8% YoY to INR 463 crore, while deferred revenue increased 16% to INR 2,014 crore; unique business inquiries were 26 million, with a paying supplier base of 218,000, reflecting a net decline of 1,850 suppliers due to elevated churn at the Silver tier.

• Platinum and Gold subscribers, representing 50% of the customer base and over 75% of revenue, maintained strong upsell and retention rates.

• Continued focus on trust, safety, and AI-driven enhancements to improve platform experience and efficiency.

• Audited consolidated and standalone financial results for the quarter ended June 30, 2026, were approved and published, with auditors expressing an unmodified opinion.

Financial highlights

• Consolidated EBITDA was INR 146 crore, with a margin of 35%, supported by lower customer acquisition costs and operating leverage; standalone EBITDA was INR 149 crore (40% margin), up 11% YoY.

• Consolidated net profit for the quarter was INR 172 crore; standalone net profit was INR 176 crore.

• Cash generated from operations stood at INR 163 crore; cash and treasury balance was INR 3,553 crore as of June 30, 2026.

• BUSY Infotech reported INR 59 crore in billing (up 10% YoY), INR 36 crore in revenue from operations (up 47% YoY), and INR 146 crore in deferred revenues (up 44% YoY).

• Deferred revenue as a percentage of total liabilities remains significant, supporting future revenue visibility.

Outlook and guidance

• Investments in product improvements and user experience are expected to drive the next phase of growth, particularly for BUSY.

• Management expects to maintain or improve BUSY's CAGR growth rate, targeting 27%-30% over the next few years, with aspirations for 35%-40% over five years.

• Buyer monetization experiments are ongoing, with voluntary paid programs and third-party advertising retargeting being tested.

• Strategic focus remains on expanding the buyer and supplier network, enhancing engagement, and driving business enablement through SaaS, fintech, and commerce solutions.

• The company will evaluate the impact of new Labour Codes as rules are notified by remaining states and will recognize any consequential effects in future periods.