IndiaMART Q2 FY27: PAT +10% YoY to ₹91 Cr, OPM Expands; Treasury Swing Hits Headline

IndiaMART's consolidated revenue came in at ₹428.6 Cr, up 9.6% YoY and 3.4% QoQ, landing within our pre-result expected range of ₹425-435 Cr. Consolidated PAT of ₹90.8 Cr was up 9.8% YoY — roughly tracking revenue growth — but down 47.3% QoQ from ₹172.2 Cr in Q1 FY27, and well short of the ₹185-195 Cr PAT our pre-result preview flagged as on-plan (below even the <₹175 Cr miss threshold). EPS (basic) was ₹15.09 versus ₹13.77 a year ago and ₹28.66 last quarter. The shortfall is not operational. Segment operating result rose to ₹159.2 Cr on ₹428.6 Cr of revenue, an operating margin of 37.15% — up from 33.17% a year ago and 35.35% last quarter, and ahead of management's own FY27 guidance of 10-12% revenue growth with margins 'stable' around 33%. The entire swing sits in other income, which flipped to -₹7.6 Cr this quarter from +₹106.7 Cr in Q1 FY27 and +₹10.2 Cr a year ago — a roughly ₹114 Cr QoQ move from fair-value gains/losses on the company's mutual fund, bond and AIF holdings (confirmed by the cash-flow statement's fair-value adjustment line). Share of loss in associates was broadly stable at -₹15.3 Cr. Net profit margin accordingly fell to 21.2% from 33.1% QoQ even as the core operating line improved — a treasury-driven, not demand-driven, decline, and YoY NPM was essentially flat (20.6% to 21.2%). Within the topline, core Web & Related Services (marketplace) revenue grew 7.9% YoY to ₹388.8 Cr — short of management's own 'double-digit growth' aim and consistent with the cautious tone and the LLM-migration/paying-supplier-churn headwinds flagged on the Q1 FY27 call. The Accounting Software (BUSY) segment grew 29.6% YoY to ₹39.8 Cr, sitting within the 27-30% CAGR management has guided for that business. The quarter also marks the first full period with newly incorporated IndiaMART Finance Limited (Aug 4, 2026) in the subsidiary list and the ₹65 Cr Fleetx Technologies investment (Jul 27, 2026) carried as an associate; neither shows a distinct financial contribution in this filing. Going into Q3 FY27, the read-through is that the other-income line needs to normalize for PAT to recover to its Q1 run-rate, core marketplace growth needs to reaccelerate toward management's double-digit aim as the flagged headwinds are managed, and BUSY needs to hold its ~30% pace — the three watch items from our pre-result note remain open with this print.