Shares of this Mid-cap stock gained up to 10 percent after the announcement of financial results for Q1FY23-24. The company has a market capitalization of Rs 19,450 crores.
The stocks of Indiamart Intermesh Limited started their trading session today at Rs 3,050 and currently trade at Rs 3,168.20. The scrip witnessed an intra-day high price of Rs 3,179.85, also marked as the new 52-week high price, representing a gain of 10 percent as compared to the previous closing levels of Rs 2,900.50.
One of the prime causes for the stock price to surge today is pertaining to the release of financial results for the quarter ending June 2023.
Comparing Q1FY22-23 with Q1FY23-24, the parameters conforming smooth flow of operations such as the operating revenues as well as net profits were on the rise with the former increasing from Rs 225 crores to Rs 282 crores, a jump of 25 percent, and, the latter taking a shift from Rs 46 crores to Rs 83 crores indicating an increase of 80 percent.
On a sequential basis, the operating revenues rose from Rs 268 crores during Q4FY22-23 to Rs 282 crores in Q1FY23-24, and, the net profits increased from Rs 66 crores to Rs 83 crores during the same time horizon.
In addition to the above, the company’s Board approved a share buyback of 12,50,000 equity shares at Rs 4,000 per equity share. The same represents a premium of around 26 percent over the current share price.
The latest shareholding pattern, as per the March 2023 quarter, exhibits the Promoters holding a 49.22 percent stake, and the Foreign Institutional Investors (FIIs) holding a 26.6 percent stake in the company.
Indiamart Intermesh Limited operates as an online Business to Business (B2B) marketplace for various products and services. The company platform serves individuals, Small and Medium Enterprises (SMEs), and Large Enterprises. The group primarily derives a majority of its revenue from Indian operations.
Written by Amit Madnani
