IndiaMART Reported 57% Profit Growth In Q4 of FY20
Being a trendsetter among Indian MSMEs for Online commerce business, IndiaMART expects to maintain a steady growth even in the tough times of COVID-19. "With these Challenging times, more and more small businesses are taking their businesses online and we expect to get a boost with such outlook," says Dinesh Agarwal, CEO of IndiaMART.
Leading B2B marketplace IndiaMART reported 57 per cent jump in its net profit at Rs 44 crore during Q4 FY20 from the year-ago period.
The revenue from operations grew by 23 per cent to Rs 170 crore driven by an increase in the number of paying subscribers as well as a higher realisation from existing customers.
The earnings before interest, tax, depreciation and amortisation (EBITDA) stood at Rs 52 crore, representing a margin expansion from 15 per cent in Q4 FY19 to 31 per cent in Q4 FY20 partly due to an increase in revenues and adoption of IndAS 116.
Consolidated EBIT for Q4 FY20 was Rs 46 crore representing a margin expansion from 14 per cent in Q4 FY19 to 27 per cent in Q4 FY20.
The company generated consolidated cash flow from operations of Rs 94 crore leading to cash and investments of Rs 931 Crore as on March 31 as compared to Rs 685 crore, marking an increase of 36 per cent year-on-year.
“While we expect a short-term decline in demand and business activity due to the ongoing turbulence, we believe our value proposition will only become stronger as more and more businesses look for transforming themselves and adapt to online,” said Chief Executive Officer Dinesh Agarwal.
IndiaMART is India’s largest online B2B marketplace for business products and services. It provides ease and convenience to the buyers by offering a wide assortment of products and a responsive seller base while offering lead generation, lead management and payment solutions to its sellers.