IndiaMART Q1 Profit Rises 12% to ₹172 Crore; Board Approves IndiaMART Finance Subsidiary

IndiaMART InterMESH Ltd reported a healthy set of Q1 FY27 earnings, with consolidated net profit rising 12.2% year-on-year to ₹172.2 crore, supported by steady growth in its B2B marketplace business. Revenue from operations increased to ₹414.4 crore, while EBITDA improved to ₹146.5 crore, reflecting continued demand for the company's digital business solutions.

Apart from its quarterly earnings, the company's board approved the incorporation of IndiaMART Finance Limited, a wholly-owned subsidiary that will focus on providing financing solutions to businesses operating on the IndiaMART platform. The move is aimed at strengthening the company's ecosystem by helping small and medium enterprises (SMEs) meet their short-term working capital requirements.

IndiaMART Q1 FY27 Financial Performance

IndiaMART continued to deliver steady operational growth during the June quarter, with improvements across revenue, profitability and earnings per share. Although EBITDA margin moderated slightly, the company maintained healthy operating profitability while continuing to invest in future growth initiatives.

Q1 FY27 Consolidated Financial Performance

Particulars	Q1 FY27	Q1 FY26	YoY Growth
Revenue from Operations	₹414.4 crore	₹372.1 crore	11.4%
Net Profit	₹172.2 crore	₹153.5 crore	12.2%
EBITDA	₹146.5 crore	₹133.4 crore	9.8%
EBITDA Margin	35.4%	35.9%	Slightly Lower
Basic EPS	₹28.66	₹25.59	12%

The company continued to benefit from growth in its web and related services segment, which remains the primary contributor to its revenue. Higher customer engagement and continued digital adoption among SMEs helped sustain business momentum during the quarter.

Standalone Business Also Reports Healthy Growth

On a standalone basis, IndiaMART delivered another stable quarter, reporting net profit of ₹176.1 crore, compared with ₹166 crore in the corresponding quarter last year. Revenue from operations increased to ₹375.9 crore, while total income reached ₹464 crore.

The standalone financial results were reviewed by the Audit Committee on July 20, 2026, before being approved by the Board of Directors on July 21, 2026.

Standalone Financial Highlights

Particulars	Q1 FY27	Q1 FY26
Revenue from Operations	₹375.9 crore	₹346.3 crore
Net Profit	₹176.1 crore	₹166 crore
Total Income	₹464 crore	-

Board Approves IndiaMART Finance Limited

One of the biggest announcements alongside the quarterly results was the approval to incorporate IndiaMART Finance Limited, a wholly-owned subsidiary.

The new entity will primarily focus on offering financial products that help buyers and suppliers on the IndiaMART platform meet their short-term financing requirements. By integrating financial services into its marketplace ecosystem, IndiaMART aims to improve user engagement, strengthen trust and create additional value for millions of MSMEs using its platform.

The subsidiary will be incorporated with an initial paid-up capital of ₹5 lakh, comprising 50,000 equity shares of ₹10 each, fully subscribed by IndiaMART InterMESH. The proposal remains subject to approvals from the Ministry of Corporate Affairs (MCA) and other regulatory authorities.

IndiaMART Finance Details

Particular	Details
Subsidiary Name	IndiaMART Finance Limited
Ownership	100% Wholly-Owned Subsidiary
Initial Capital	₹5 lakh
Equity Shares	50,000 shares
Purpose	SME & Working Capital Financing
Approval Status	Subject to Regulatory Approvals

IndiaMART Share Price Performance

Despite reporting improved quarterly earnings, IndiaMART shares have remained under pressure over the past year amid broader weakness in internet and digital platform stocks.

Stock Performance Snapshot

Period	Return
1 Day	-0.77%
5 Days	-1.77%
1 Month	-6.46%
6 Months	-10.45%
1 Year	-26.24%
5 Years	-45.53%

Current Market Snapshot

Metric	Value
Share Price	₹1,919
Market Capitalisation	₹11,542 crore
52-Week Range	₹1,860 – ₹2,687
P/E Ratio	24.3x
ROCE	28%
ROE	20.7%
Dividend Yield	1.54%

Key Business Strengths

IndiaMART remains India's largest online B2B marketplace, connecting millions of buyers and suppliers across industries. The company offers digital storefronts, product discovery, lead generation, CRM solutions, RFQ services and cloud telephony solutions that help SMEs expand their business online.

The launch of IndiaMART Finance marks another step towards building an integrated digital ecosystem, allowing businesses not only to find customers but also access working capital through the same platform.

Company Overview

IndiaMART InterMESH Ltd operates India's largest B2B online marketplace, enabling businesses to connect, generate leads and complete transactions digitally. The company primarily serves SMEs through subscription-based business solutions and continues to expand its offerings across commerce, software and financial services.

1. What were IndiaMART's Q1 FY27 results?

IndiaMART reported net profit of ₹172.2 crore, up 12.2% YoY, while revenue from operations increased 11.4% to ₹414.4 crore.

2. What is IndiaMART Finance Limited?

It is a wholly-owned subsidiary approved by the board to provide financing solutions and working capital support to businesses operating on the IndiaMART platform.

3. How much was IndiaMART's EBITDA in Q1 FY27?

The company reported EBITDA of ₹146.5 crore with an EBITDA margin of 35.4%.

4. Why is IndiaMART launching a finance subsidiary?

The company aims to strengthen its B2B ecosystem by helping SMEs access credit and improve business engagement through integrated financial services.

5. What does IndiaMART do?

IndiaMART operates India's largest B2B online marketplace, connecting buyers and suppliers while offering digital business solutions, lead generation tools, CRM services and marketplace technology.