Noida-based IndiaMART InterMESH Limited, India’s leading B2B digital marketplace, announced robust first quarter results for FY26, signaling accelerating growth momentum. The company reported a sharp 35% year-on-year jump in net profit to ₹154 crore, alongside a 12% increase in consolidated revenue to ₹372 crore for the quarter ended June 30, 2025.
Solid Financial Performance Reflecting Resilient B2B Demand
IndiaMART’s performance in Q1 FY26 illustrates strong traction in its core marketplace business servicing SMEs and larger enterprises nationwide. Key financial highlights include:
Consolidated revenue from operations climbed 12% to ₹372 crore, up from ₹331 crore in Q1 FY25.
Standalone IndiaMART revenue rose 10% year-on-year to ₹346 crore.
Collections from customers reached ₹430 crore, showing healthy 17% YoY growth, driven by sustained subscription renewals and new customer acquisitions.
Deferred revenue stood at ₹1,735 crore, reflecting an 18% increase, indicative of recurring business and strong forward bookings.
EBITDA increased by 31% to ₹226 crore, highlighting improved operational leverage.
Earnings per share (EPS) jumped significantly to ₹25.59 from ₹19.00 in the year-ago quarter.
This consistent revenue and profit growth underscore IndiaMART’s steady success in digitizing traditional B2B commerce by enhancing accessibility and trust between buyers and sellers across sectors.
Expanding Leadership in the Indian SME Digital Ecosystem
IndiaMART’s marketplace remains the country’s largest online B2B platform, connecting millions of suppliers and buyers, predominantly small and medium enterprises that form the backbone of India’s economy. The company continues to invest in technology and customer experience to deepen engagement, creating a virtuous cycle of adoption and monetization.
The platform’s growth is also underpinned by its business model focusing on subscription-based listings with value-added services, ensuring stable revenue streams and improved cash flows.
Managing Margins amid Growth and Investment
While IndiaMART reported a solid 35% jump in net profit, the operating margin contracted slightly to 33% due to investments in product development and customer acquisition activities. These strategic expenditures aim to sustain medium-to-long-term expansion in a competitive Indian digital marketplace landscape.
Executive leadership remains optimistic about maintaining profitable growth while scaling the platform into emerging markets, deeper Bharat regions, and newer verticals.
Market Context: IndiaMART’s Growth Amid Booming Digital Commerce
India’s SME sector is undergoing rapid digital transformation, necessitated by easier access to finance, government initiatives supporting startups, and growing internet penetration in semi-urban and rural India. IndiaMART’s continued strong financial progress reflects how B2B commerce is evolving beyond traditional offline channels.
Investors have responded positively, with IndiaMART’s share price showing gains over recent months, buoyed by clear quarterly results and a positive outlook on recurring revenues and cash flow generation.
What Lies Ahead: Future Growth Engines for IndiaMART
Looking forward, IndiaMART plans to accelerate growth by:
Broadening product categories and service offerings to increase wallet share from existing customers.
Leveraging advanced analytics and AI-driven matchmaking to enhance buyer-seller connections.
Expanding presence in Tier 2 and Tier 3 towns to tap into rising regional demand, especially as new businesses adopt digital channels.
Innovating in fintech solutions to offer credit and payment facilitation to MSMEs.
These initiatives combine to reinforce IndiaMART’s mission to be the digital backbone of India’s booming SME economy.
IndiaMART’s Q1 FY26 performance highlights the resilience and scalability of India’s premier B2B marketplace, affirming its pivotal role in catalyzing economic growth and digital inclusion for small businesses across Bharat. Investors and stakeholders will keenly watch its execution in expanding market leadership amid intensifying competition.