IndiaMART InterMESH falls most since listing as analysts flag weak collections growth

IndiaMART InterMESH

21/10/2024 08:08

** Shares of e-commerce co IndiaMART InterMESH  INMR.NS 
fall as much as 18.8% to 2,447.50 rupees, their biggest intraday
pct loss since listing in July 2019
    ** Co on Saturday reported 53.2% Y/Y jump in Q2 standalone
net profit while rev rose 18.2% Y/Y 
    ** Jefferies while calling the results in-line, said the
standalone collections growth at 5% YoY, the weakest since 2020,
 was the key negative from Q2, highlighting softness in
subscription addition
    ** Downgrades stock to "Underperform" from "Buy", cuts TP by
~35% to 2,540 rupees
    ** According to PhillipCapital analysts, weak collections
growth is precursor to weakening growth trajectory ahead as
collections precede revenue recognition
    ** Downgrades stock to "Neutral" from "Buy", cuts TP by 1.4%
to 3,400 rupees

 (Reporting by Ashish Chandra in Bengaluru)
 ((ashish.chandra@thomsonreuters.com (+91 7982114624))