IndiaMart InterMesh Quarterly Results: A Mixed Bag for Investors
India’s leading e-marketplace, IndiaMart InterMesh Ltd., has reported its quarterly results for the period ended June 30, 2025, showcasing a mixed performance. On the one hand, the company witnessed a significant surge in its consolidated net profit, while on the other hand, its net margin contracted due to rising competition and operational expenses.
The company’s net profit increased by 35% year-on-year to Rs 154 crore, outpacing the street’s expectations. This growth can be attributed to the company’s successful efforts to expand its product offerings and enhance its logistics capabilities.
However, IndiaMart InterMesh’s net margin contracted to 35.9% from 36.1% in the corresponding period last year. This decline can be attributed to the company’s increasing reliance on third-party logistics providers, which has resulted in higher operational expenses.
The company’s revenue rose 12% year-on-year to Rs 372 crore, driven by the growth in its e-commerce business and the expansion of its product offerings. Ebitda (earnings before interest, taxes, depreciation, and amortization) increased by 12% to Rs 134 crore, outpacing the revenue growth.
IndiaMart InterMesh’s stock closed 0.99% higher at Rs 2,652.6 apiece on the National Stock Exchange (NSE) on Friday, outperforming the benchmark Nifty50 index. The stock has fallen 9.14% in the last 12 months but has risen 18.94% on a year-to-date basis.
Analysts tracking the company remain divided on its future prospects, with seven out of 21 analysts recommending a ‘buy’ rating, five recommending a ‘hold’, and nine suggesting a ‘sell’. The average of 12-month analysts’ price targets implies a potential downside of 5.5% from the current levels.
Why Investors Should Keep an Eye on IndiaMart InterMesh
Despite the mixed quarterly results, IndiaMart InterMesh remains a key player in the Indian e-commerce landscape. The company’s focus on expanding its product offerings and enhancing its logistics capabilities is likely to drive its growth in the long run. Additionally, its efforts to improve its operational efficiency and reduce costs are likely to result in improved profitability in the future.
However, investors should also be cautious of the company’s declining net margin and increasing reliance on third-party logistics providers. The company’s ability to maintain its profitability in the face of rising competition and operational expenses will be critical to its long-term success.
Key Takeaways from IndiaMart InterMesh’s Quarterly Results
- Consolidated net profit rose 35% year-on-year to Rs 154 crore.
- Revenue increased 12% year-on-year to Rs 372 crore.
- Ebitda rose 12% year-on-year to Rs 134 crore.
- Net margin contracted to 35.9% from 36.1% in the corresponding period last year.
- Stock closed 0.99% higher at Rs 2,652.6 apiece on the NSE.
