25 Jan , 2022 By : Kanchan Joshi
Shares of B2B e-commerce firm Indiamart Intermesh plunged over 14% to Rs5,029 apiece on the BSE in Tuesday's deals after the company posted a 12.4 percent decline in consolidated net profit to Rs70 crore in the December 2021 quarter. The company had registered a net profit of Rs80.2 crore in the corresponding period of the last fiscal.
The company's revenue grew 8.3% to Rs188 crore during the third quarter of FY22 from Rs173.6 crore in the year-ago period.
The e-commerce platform registered a traffic of 259 million and unique business enquiries of 23 million during the third quarter of FY22. Supplier storefronts grew to 7 million, an increase of 10 per cent year-on-year and with a net addition of 5,833 subscribers during the said quarter, paying subscription suppliers grew to 1.56 lakh.
"We are pleased to report a good financial performance in this quarter with growth in customers and deferred revenue with healthy margins and cash flows. Growing internet adoption strengthens our value proposition of helping businesses transform themselves to do business online," Indiamart Intermesh Chief Executive Officer Dinesh Agarwal said.
He added that on the back of a strong balance sheet and cash flow from operations, the company will continue to invest in its employees and product offerings that create long term value for its shareholders.
Indiamart's stock has underperformed by falling over 35% in a year's period as compared to about 19% rise in the benchmark BSE Sensex. In the last six months, its shares are down over 21% in 2022 (year-to-date or YTD) so far.