Info Edge, which owns and operates internet companies such as AmbitionBox, Naukri, Axilly Labs and Jeevanshathi, has reported a notable rise in its financial performance during the first quarter of FY25.
The company posted a profit after tax of Rs 232 crore, up 16.45 per cent from Rs 200 crore reported in Q1FY24. The company’s operating profit margins showed a slight improvement and stood at 35.6 per cent.
Revenue from operations also witnessed a growth of 9.3 per cent, reaching Rs 638.9 crore on a standalone basis for the quarter ended June 30, 2024, as compared to Rs 584.3 crore in the corresponding quarter of the previous fiscal year.
Strong performance across all business sectors
The company’s recruiting business continues to perform strongly and generate substantial revenue.
Naukri’s contribution remains significant at nearly Rs 1,000 crore in annual EBITDA.
Non-recruitment verticals such as real estate platform 99acres, matchmaking service Jeevansathi and education platform Shiksha also showed strong revenue growth. Notably, Jeevansathi is nearing breakeven, which is a positive development for the company.
Cash flow and financial health
Info Edge has demonstrated strong cash flow generation, with cash generated from operations increasing 20.2% year-on-year to Rs 173.9 crore.
The company’s cash reserves stand at Rs 4,255 crore as of June 30, 2024.
The company maintained its operating profit margins at 35.6% of revenue and posted an 8.8% growth in operating profit, which stood at Rs 227.3 crore on a standalone basis in Q1FY25 as compared to Rs 208.9 crore in Q1FY24.
Hitesh Oberoi, MD & CEO, Info Edge, said, “Cash losses from our non-recruitment businesses declined by 73% to Rs 16.5 crore in Q1FY25, driven by an 18% YoY increase in top line and controlled cost increases. Our partner search business, Jeevansathi, is close to break even in Q1. The core recruitment business, which saw several weak quarters last fiscal, continued to demonstrate growth in Q1 as well.”
Aayush Rathi appointed as Senior Vice President
In addition to its financial performance, Info Edge announced a key appointment to its management team. Aayush Rathi has been appointed as Senior Vice President, Revenue Growth Strategy for Naukri and Senior Management of the company, effective August 12, 2024.
Chintan Thakkar, Director & CFO, said, “Despite the challenging environment, we generated approximately Rs 174 crore cash from operations in Q1FY25, representing a year-on-year growth of over 20%. As on June 30, 2024, our cash balance stood at Rs 4,255 crore, underlining the strength of our balance sheet. This consistent cash flow generation underlines the strong financial health of our company and lays a solid foundation for future investments and shareholder returns.”
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