Info Edge posted a profit in Q1 FY24 as compared to a loss of INR 503.2 Cr in the March quarter, but the net profit declined from INR 292.4 Cr in the year-ago quarter
Info Edge, which operates 99acres.com, Naukri.com, Jeevansathi.com, and Shiksha, saw its operating revenue rise 14% YoY to INR 625.9 Cr during the quarter under review
While Info Edge wrote-off its investments in Rahul Yadav’s 4B Network and Bijnis in Q3 and Q4 of FY23, respectively, there was no such exceptional loss in Q1 FY24
Online classifieds major Info Edge turned profitable again in the first quarter of the financial year 2023-23 (FY24) with a consolidated net profit of INR 147.4 Cr. The company reported a consolidated net loss of INR 503.2 Cr in the previous March quarter due to it writing-off its investment in 4B Networks and Bijnis.
However, on a year-on-year (YoY) basis, Info Edge’s net profit declined from INR 292.4 Cr reported in Q1 FY23.
The company’s profit declined YoY despite a 14% rise in operating revenue to INR 625.9 Cr from INR 547.3 Cr in the corresponding quarter of last year. However, operating revenue saw a mere 3.5% rise sequentially from INR 604.8 Cr.
Info Edge, which operates real estate portal 99acres.com, online recruitment platform Naukri.com, matrimony portal Jeevansathi.com, and education platform Shiksha, witnessed a rise in sales across segments both on a YoY and sequential basis.
While Naukri.com clocked revenue of INR 462.1 Cr in Q1 FY24, up from INR 400.5 Cr in the last year’s quarter, 99acres.com saw its revenue rise to INR 82.7 Cr in the quarter from INR 66.3 Cr in Q1 FY23.
On the other hand, Jeevansathi.com and Shiksha together contributed INR 81.2 Cr to Info Edge’s total revenue in Q1 FY24 as against INR 80.4 Cr last year. These two segments’ cumulative loss before tax also declined to INR 53.8 Cr during the quarter under review from INR 102.8 Cr in Q1 FY23.
Info Edge’s recruitment platform Naukri.com saw a 16.3% YoY rise in profit before tax to INR 264.6 Cr in the quarter under review.
It is pertinent to note that in Q3 FY23, Info Edge’s net profit nosedived 99% YoY on the back of an exceptional loss of INR 412 Cr on account of the impairment of its entire investment in Rahul Yadav’s 4B Networks.
In the preceding quarter, Q4 FY23, the company also saw an exceptional loss of INR 97.5 Cr as it wrote-off its entire investment of INR 76.6 Cr in BizCrum Infotech – Bijnis.
The company didn’t report any exceptional losses during the quarter under review.
On the expenses front, Info Edge saw a rise in total expenses to INR 450.8 Cr in Q1 FY24 from INR 441 Cr reported in the preceding quarter. However, total expenses declined over 4% on a YoY basis.
Meanwhile, employee benefit expenses increased 1% YoY and almost 7% sequentially to INR 281.7 Cr In Q1 FY24. Advertising and promotional costs declined over 20% YoY and 16% sequentially to INR 85.6 during the quarter under review.
Shares of Info Edge slumped after its Q1 results, ending Friday’s session over 4% lower at INR 4,457.05 on the BSE