IndiaMART Q2: Profit Plunges 39% YoY To INR 83 Cr

SUMMARY

On a sequential basis, profit plunged 47% from INR 151.3 Cr

The company’s profit declined despite a 13% YoY and 5% QoQ increase in operating revenue to INR 391 Cr during the quarter under review

Expenses surged 21% YoY and 9% QoQ to INR 269.2 Cr

B2B ecommerce company IndiaMART InterMESH’s consolidated net profit crashed 39% to INR 82.7 Cr in Q2 FY26 from INR 134.5 Cr in the year-ago quarter due to fall in margins. On a sequential basis, profit plunged 47% from INR 151.3 Cr.

The company’s profit declined despite a 13% YoY and 5% QoQ increase in operating revenue to INR 391 Cr during the quarter under review.

EBITDA for the quarter fell 4% YoY to INR 130 Cr. Meanwhile, EBITDA margin stood at 33%.

Including other income of INR 10.2 Cr, total income for the quarter stood at INR 401.2 Cr. The other income component was higher in the comparative quarters, leading to a 3% YoY and 14% QoQ decline in total income in the September quarter.

Meanwhile, the company’s expenses surged 21% YoY and 9% QoQ to INR 269.2 Cr.

IndiaMART primarily earns from its ecommerce platform, which acts as a medium for businesses to find each other, facilitating trade across industries.

Collections from customers grew 8% YoY to INR 365 Cr while deferred revenue as at the end of the quarter stood at INR 1,633 Cr. Its ecommerce revenue stream, web and related services, brought in INR 360.3 Cr, up 9% YoY.

The company registered 3.1 Cr unique business enquiries in Q2 FY26, up 12% YoY. Supplier storefronts grew 6% YoY to 86 Lakh and paying suppliers at the end of the quarter stood at 2.2 Lakh, representing a net addition of 4K.

Meanwhile, its accounting software services business, Busy Infotech, registered a revenue of INR 29 Cr in the quarter, marking a jump of 88% YoY.

Busy’s net billing also increased 57% YoY to INR 38 Cr while its net profit stood at INR 5 Cr.

“We are committed to sustaining our growth momentum, with a continued focus on strengthening the platform, improving user experience for both buyers and suppliers, driving better engagement and conversion, enhancing customer servicing, and building a trusted platform,” CEO Dinesh Agarwal said.

Shares of IndiaMART ended today’s trading session 0.67% lower at INR 2,342.40
on the BSE.