Indiamart Intermesh Limited (INDIAMART) share price
₹1605.30 on NSE as of 2026-10-07. +0.78% on the day. market cap ₹9,655 Cr. P/E 19.5. 52-week range ₹1591.50 to ₹2504.50. Consumer Services.
IndiaMART Q1 FY27: ₹414 Cr Revenue, ₹172 Cr Profit, and 1,852 Suppliers Who Quietly Left
At a glance
IndiaMART InterMESH sells subscriptions to suppliers on India's largest online business-to-business marketplace. In the three months to June 2026, consolidated revenue came to ₹414 crore. That is 11% higher than the ₹372 crore booked a year earlier. Against the ₹404 crore of the March quarter, the increase was about 2%. Operating profit was ₹132 crore, against ₹119 crore in the same quarter last year. Net profit reached ₹172 crore, up from ₹154 crore. Earnings per share for the quarter were ₹28.63.
The largest move sits on the quarter-on-quarter profit line. Net profit went from ₹50 crore in March to ₹172 crore in June. Other income sat at negative ₹34 crore in the March quarter. In the June quarter it swung back to ₹107 crore. The operating business travelled a much shorter distance over the same three months. Operating profit went from ₹120 crore in March to ₹132 crore in June.
The paying supplier count moved the other way. Paying suppliers stood at 218,000 at the end of the quarter, a net reduction of about 1,852. Management attributes the decline to elevated churn in Silver, the entry-level plan of the three. Churn is the rate at which paying customers stop paying. Management says the Silver rate has held steady at roughly 7% a month. Average revenue per paying supplier rose to ₹69,000 on an annualised run-rate basis.
The board also approved a new subsidiary, IndiaMART Finance Limited. It is aimed at short-term credit for micro, small and medium enterprises.
Introduction
IndiaMART InterMESH runs India's largest online business-to-business marketplace, where firms buy from other firms rather than consumers. It works as an industrial bazaar with a search box laid across it. A buyer hunting hydraulic press brakes or ceramic fibre insulation can find suppliers without leaving the desk. The company was incorporated in 1999, and its shares are listed on BSE and NSE. The catalogue now runs to roughly 98,000 product categories spread across 57 industries.
The model is freemium, meaning the listing itself is free and only some suppliers pay for more. Any supplier can put up a storefront on the platform at no cost. Revenue comes from the suppliers who buy a Silver, Gold or Platinum subscription. Those plans buy priority listings, wider visibility and access to buyer enquiries. The company calls those enquiries BuyLeads. The three tiers form a ladder, and the more a supplier pays, the higher its listing sits. Gold and Platinum accounts together are about half the paying base. Between them they contribute more than 75% of revenue.
Two limbs have been built beside the core marketplace. The first is accounting software, anchored by the wholly-owned Busy Infotech and Livekeeping. Minority stakes in Vyapar and other software firms sit alongside those two. The second limb is a portfolio of minority investments in other companies. It spans logistics, fintech, human-resources technology and procurement. Fleetx, IDfy, Mobisy (BIZOM) and Truckhall are among the holdings. As of March 2026, the aggregate investment at cost stood at over ₹1,300 crore.
Recent moves have run in two directions, further into software and now into lending. IndiaMART acquired Livekeeping outright in May 2025 and consolidates it fully into its accounts. It also raised its stake in Fleetx. This quarter the board approved IndiaMART Finance Limited, to facilitate transaction financing for micro, small and medium enterprises.
Business model
Picture an introduction service built for industry rather than for lonely hearts. It pairs a buyer who needs 500 kg of extruder screw barrels with a supplier who sells them. What happens after the introduction is a matter between the two of them.
The mechanics are straightforward. A buyer posts an enquiry, and IndiaMART's software enriches it and routes it on to relevant suppliers. Paying suppliers then spend BuyLead credits to respond to the enquiries they want. A supplier on a costlier subscription is shown more often and receives more leads. Free suppliers get to exist on the platform, and paying suppliers get to be seen on it. Roughly 8.8 million supplier storefronts sit on the marketplace. Of those, 218,000 pay for a subscription.
The cash arrives before the work does. Subscriptions are collected upfront and recognised as revenue across the contract period that follows. Customers therefore fund the business ahead of the service being delivered to them. Deferred revenue, meaning cash banked but not yet booked as revenue, stood at ₹2,014 crore in June. Working capital days, a measure of how long cash is tied up, run at about minus 300. The landlord here collects the rent while the flat is still being built.
Web services are about 92% of revenue, and accounting software makes up the remaining 8%. Suppliers cluster in the metros, which account for 52% of the supplier base. Buyers lean the other way, with 48% of them in the rest of India. The paying base is spread thin across categories rather than concentrated in a few. Construction and building raw material is the single largest at 9% of paying suppliers.
What the platform costs to run and to fill with buyers sits between those two lines. Operating profit was ₹132 crore against revenue of ₹414 crore in the June quarter.
Quarterly results, balance sheet, cash flow, ratios, shareholding and the filings themselves are on the full page for Indiamart Intermesh Limited.
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