Just Dial Q4 Results: Net Profit Surges 278% YoY To INR 83.8 Cr

Mumbai-based hyperlocal search engine Just Dial reported a 278.4% year-on-year (YoY) jump in its net profit to INR 83.8 Cr in the fourth quarter of the financial year 2022-23 (FY23) on the back of a strong recovery from the pandemic-led slump. 

Sequentially, Just Dial’s profit rose 11.3% from INR 75.3 Cr in Q3 FY23.

The company also posted a 39.5% rise in its operating revenue to INR 232.5 Cr in Q4 FY23 from INR 166.7 Cr in the corresponding quarter of the last fiscal year. Operating revenue rose 5% from INR 221.4 Cr reported in Q3 FY23.

Just Dial said in its filing that its total active listings stood at 36.5 Mn as on March 31, 2023, registering a 14.4% YoY growth. The company said that 14.8 Lakh listings were added to the database during the quarter under review. Meanwhile, the number of unique visitors rose 10% YoY to 159.3 Mn in Q4. 

Just Dial’s adjusted EBITDA, excluding ESOP expenses, stood at INR 35.6 Cr in the reported quarter, while adjusted EBITDA margin stood at 15.3%.

On the expenses front, total expenditure surged to INR 210.9 Cr in Q4 FY23 from INR 181.4 Cr in the corresponding quarter of the previous year, with employee benefit expenses alone accounting for 82% of the expenses. 

The company spent INR 172.3 Cr towards employee benefits in Q4 FY23 as against INR 143.5 Cr in the year-ago quarter. 

In its filing, Just Dial reiterated that it ramped up hiring in the previous few quarters, which resulted in higher employee expenses.  “However, operating expenses growth remained controlled in 4Q FY23 and operating leverage benefits are playing out,” it said.

Meanwhile, Just Dial’s other expenses declined to INR 27.1 Cr in Q4 FY23 from INR 29.2 Cr in the corresponding quarter last year. The company spent more towards advertising and sales promotion, a total of INR 50.5 Cr, in the year ended March 31, 2022, in order to promote its B2B marketplace JD Mart in IPL 2021.

Just Dial’s overall profit in FY23 jumped almost 130% YoY to INR 162.7 Cr while its operating revenue grew over 30% to INR 844.7 Cr in the fiscal year.

Just Dial was acquired by Reliance Retail in September 2021. In December last year, Reliance Retail sold 16,86,119 shares or a 2% stake in Justdial in the open market.

Just Dial provides local search-related services to users in India through multiple platforms such as via website, mobile app, over the telephone, and text message services. 

Shares of Just Dial ended 2.5% higher at INR 665.80 on the BSE on Tuesday, a day after it reported its results.