Info Edge’s Q2 Net Profit More Than Doubles YoY To INR 239.7 Cr

Online classifieds major Info Edge reported a consolidated net profit of INR 239.7 Cr in the September quarter (Q2) of the financial year 2023-24 (FY24), a jump of 155.3% from INR 93.9 Cr in the year-ago quarter helped by cost control measures and growth in two verticals – Naukri.com and 99acres.com.

Sequentially, net profit rose almost 63% from INR 147.4 Cr. 

It must be noted that Info Edge made an exceptional gain of INR 46.01 Cr during the quarter under review. While it incurred a loss of INR 15 Cr from the provision for diminution in the carrying value of its investments during the reported quarter, Info Edge said it gained INR 61.10 Cr from disposal of a joint venture.

Info Edge’s operating revenue jumped to INR 625.8 Cr in the reported quarter from INR 604.1 Cr in Q2 FY23. 

However, on a quarter-on-quarter (QoQ) basis, the company’s operating revenue remained almost flat compared to INR 625.9 Cr posted in the June quarter of the current fiscal.

Meanwhile, Info Edge’s other income jumped over 161% QoQ to INR 166.2 Cr in Q2 FY24.

Info Edge’s online recruitment platform Naukri.com posted revenue of INR 468 Cr, a 7.4% rise YoY, while its real estate portal 99acres.com’s revenue jumped 27% YoY to INR 87.3 Cr.

Meanwhile, its other segments, which comprise matrimony portal Jeevansathi.com and education platform Shiksha, witnessed a decline in income to INR 70.6 Cr in Q2 FY24 from INR 98.6 Cr in the corresponding period of last year.

Info Edge also announced an interim dividend of INR 10 per share for FY24, which would be paid on or after November 29, 2023.

Following the announcements, the company’s shares fell and were trading marginally lower at INR 4,306 on the BSE by 2.30 PM IST.

Info Edge’s Expenses In Q2

The company’s total expenditure increased 7.7% YoY and 1% QoQ to INR 455.3 Cr in Q2 FY24, with employee benefits expenses continuing to comprise the largest portion of it.

However, Info Edge managed to bring down its employee cost on YoY and QoQ basis to INR 276.4 Cr in the quarter under review. The company spent INR 299.6 Cr in Q2 FY23 and INR 281.7 Cr in Q1 FY24 towards employee benefits.

Info Edge’s advertising and promotion cost also declined almost 18% YoY to INR 86.5 Cr in the September quarter this year. However, this was a slight increase from INR 85.6 Cr in Q1 FY24.

Other expenses more than halved YoY to INR 40 Cr in Q2 FY24, while network, internet and other direct charges increased almost 11% YoY to INR 18.3 Cr during the quarter.

We must note that Info Edge had returned to black in the previous quarter after reporting a net loss of INR 503.2 Cr in the March quarter of FY23 due to the writing-off of its investment in Rahul Yadav’s 4B Networks and Bijnis.