Net sales rose 3.94% year on year (y-o-y) to Rs 153.10 crore in Q1 June 2020. Revenue was primarily driven by marginal improvement in realization of existing customers. Number of paying subscription suppliers were same as last year due to the challenging economic and market conditions amidst the Covid-19 pandemic. Consolidated deferred revenue grew by 3% to Rs 628 crore in Q1FY21 from Rs 610 crore in Q1FY20.

Consolidated EBITDA was Rs 73 crore as compared to Rs 37 crore in Q1FY20, representing a growth of 100 % y-o-y. EBITDA margins increased to 48% in Q1FY21 from 25% in Q1FY20 primarily driven by various cost optimization measures leading to sustained and temporary rationalization of expenses. Consolidated EBIT was Rs 69 crore as compared to Rs 32 crore in Q1FY20, representing a growth of 113% y-o-y. EBIT margin increased to 45% in Q1FY21 from 22% in Q1FY20.

On the operational front, traffic grew to 191 million in Q1FY21 from 184 million in Q1FY20, an increase of 4% YoY and total business enquiries delivered increased to 131 million from 113 million, a growth of 16%. Supplier store fronts grew to 6.1 million in Q1FY21 an increase of 8% YoY and paying subscription suppliers were 133 thousand, same as Q1FY20.

Commenting on the performance, Dinesh Agarwal, chief executive officer said, "I am pleased to report a modest financial performance this quarter as the ongoing adverse market conditions had an anticipated impact on our customers, revenue, deferred revenue and cashflow from operations. While we managed to improve profitability due to cost optimization measures, our focus remained to stand by our employees and customers during these testing times. Given the overall uncertainty of how long this continues, our strong balance sheet and a resilient business model will help us to navigate through the ongoing crisis."

Consolidated cash flow from operations for the quarter was at Rs 3 crore. Cash and investments balance stood at Rs 954 crore as on 30 June 2020 as compared to Rs 746 crore on 30 June 2019, an increase of 28% YoY.

IndiaMART is India's largest online B2B marketplace for business products and services. It is a platform that connects buyers and sellers across borders and time-zones through business solutions.