IndiaMART’s board is also scheduled to consider and approve its financial results for the quarter ended June 2023 during its meeting on July 20
During intraday trading, the B2B marketplace’s shares jumped over 5% on the BSE but gave up some of the gains to end the day 1.9% higher than the previous close
Earlier this year, IndiaMART issued bonus shares in the ratio of 1:1
B2B marketplace IndiaMART InterMesh on Monday (July 17) said its board will consider a proposal to buy back shares of the company during its upcoming meeting on Thursday (July 20).
“… please be informed that the board of directors of IndiaMART InterMESH Limited will also consider the proposal for buyback of fully paid up equity shares of the company… in their meeting scheduled to be held on Thursday, July 20, 2023,” the company said in an exchange filing.
The shares of the company ended Monday’s session nearly 2% higher at INR 2,903.75 on the BSE. During intraday trading, the stock jumped over 5% to INR 2,997.20.
Share buyback refers to a company buying its own shares from the market to reduce the number of outstanding shares, which leads to an increase in earnings per share.
IndiaMART’s board is also scheduled to consider and approve its financial results for the quarter ended June 2023 during its meeting on July 20.
It must be noted that IndiaMART issued bonus shares in the ratio of 1:1 earlier this year. In the last year or so, new-age tech companies like Nykaa and EaseMyTrip have also issued bonus shares.
IndiaMART, an ecommerce marketplace which connects businesses with suppliers, was founded in 1996 by Dinesh Agarwal and Brijesh Agarwal. The company went public in 2019 and is one of the few profitable new-age tech companies.
The B2B marketplace’s net profit declined 5% to INR 239 Cr in FY23 from INR 298 Cr in FY22. Operating revenue grew 31% to INR 985 Cr from INR 753 Cr in the previous fiscal year.
Meanwhile, its net profit fell marginally to INR 56 Cr in March quarter of 2023 from INR 57 Cr in the year-ago quarter. However, revenue from operations soared 33% to INR 269 Cr from INR 201 Cr.