The increase in revenue was primarily driven by 16% increase in number of paying subscription suppliers.

Standalone Revenue from Operations of IndiaMART and Busy Infotech stood at Rs 268 crore and Rs 13 crore in Q1 FY24 representing a YoY growth of 25% and 26%, respectively. Consolidated deferred revenue increased by 25% YoY to Rs 1,202 crore as on 30 June 2023.

Consolidated EBITDA stood at Rs 77 crore (up 20% YoY) for Q1 FY24 representing EBITDA margin of 27% (vs 29% in Q1 FY23).

The other income increased to Rs 57 crore primarily due to fair value gain on treasury investments.

Consolidated cash flow from operations for the quarter was at Rs 91 crore.

IndiaMART said that it had registered traffic of 254 million and Unique business enquiries of 22 million in Q1 FY24. Supplier storefronts grew to 7.6 million, an increase of 6% YoY and paying subscription suppliers grew to 207,683 a net addition of 4,993 subscribers during the quarter.

Dinesh Agarwal, chief executive officer, said: "We are pleased with the healthy growth in revenue, deferred revenue, cash flows along with steady operating margins as we start the new fiscal.

We are confident about the continued growth and will continue to invest in technology and people to strengthen our value proposition further to accelerate digital adoption amongst businesses.”

The board of IndiaMART InterMESH has approved a proposal for buyback of 12,50,000 equity shares from all the shareholders/ beneficial owners of the Equity Shares of the Company, including promoters and members of the promoter group, as on Record Date, which will be decided subsequently, through the “tender offer” route, on a proportionate basis, using mechanism for acquisition of shares through stock exchange.

The company will buyback share at a price of Rs 4,000 per share, payable in cash, for an aggregate amount not exceeding Rs 500 crore.

The equity shares proposed to be bought back at the buyback offer price are 12,50,000 equity shares, representing 2.04%, of the total number of equity shares in the total existing paid-up equity capital of the company as on 30 June 2023.

The buyback offer size represents 24.12% and 24.33% of the aggregate of the company's fully paid-up equity capital and free reserves based on last audited condensed interim standalone and consolidated financial statements of the company for the period ended 30 June 2023.

The board of directors also noted the intention of promoters and promoter group of the company of participating in the proposed buyback.

While the promoters & promoter group held 49.22% stake in the company, remaining 50.78% stake was held by the public shareholders as on 14 July 2023.

IndiaMART is India's largest online B2B marketplace for business products and services. The company connects buyers and sellers across product categories and geographies in India through business enablement solutions. 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.