IndiaMART InterMESH shares fell more than 6% on Wednesday, despite excellent profit expansion in the June quarter.
IndiaMART added only 1,519 paid subscribers between April and June, compared to 2,683 in March. IndiaMART revealed these details after the market closed on Tuesday, while the results were released during market hours. The company’s shares rose about 4% on Tuesday, boosted by the margin expansion.
IndiaMART’s EBITDA margin climbed to 36% from 28.1% in the March quarter, driven by the regular seasonal rise, headcount additions during the end of the quarter and a dramatic reduction in S&M spending.
The management expects a 300 basis point margin impact because the majority of the hiring was done in June and July.
IndiaMART shares were down 6.18% at Rs 2,957.55 on the NSE as of 11:25 AM.
Disclaimer: The information provided in this article is for informational purposes only and should not be considered as financial advice. The data and figures presented are based on publicly available information and may be subject to change. Before making any investment decisions, it is recommended to conduct thorough research, consult with financial advisors, and consider your individual investment goals and risk tolerance. The author and publisher of this article do not assume any responsibility for any investment decisions made based on the information provided.