Info Edge Ltd, the company which owns Naukri.com, Jeevansathi, 99Acres, Shiksha.com, among others has reported a net profit after tax of Rs 21.73 crore (USD 3.2 m) for the quarter ended December 31, 2015, down 43.75% from Rs 38.64 crore (USD 5.8 m) profit in the same quarter last year and down 35.91% from Rs 33.91 crore (USD 5.0 m) profit in the previous quarter.
Net profit was down due to an exceptional item of Rs 11.46 crore (USD 1.7 m) in the balance sheet. The exceptional items represent provisions for bonuses, investments in Canvera Digital Technologies and Makesense Technologies.
Total income, including other income, increased 14% y-o-y to Rs 195 crore (USD 28.7 m) for the quarter. The net sales for the company grew to Rs 173.4 crore (USD 25.6 m) for the quarter, up 19% from Rs 145.75 crore in the same quarter last year.
Employee costs increased 25.24% y-o-y to Rs 80.40 crore and increased 6.83% on a sequential basis from Rs 75.26 crore.
Advertising and promotion costs increased 17.45% y-o-y to Rs 27.1 crore and decreased 27.66% q-o-q. Ad expenses accounted for 19.30% of the total expenditure this quarter. In the Q1 FY16 ad related expenses shot up and ad related costs represented 30% of the total expenditure. For context, advertising expenditure has typically been around 20% of total expenditure for the company.
Info Edge has used Rs 68.6 crore of its Rs 750 crore QIP proceeds as working capital for 99Acres.The company had raised Rs 750 crore in the previous quarter, by selling 10.13 million shares of face value Rs 10 each, for an issue price of Rs 740 per share.
Other Segment results
– Recruitment Solution (including Naukri) reported Rs 129.37 crore (USD 19.1 m) in revenues up 0.88% q-o-q. Recruitment solutions posted a Rs 64.14 crore (USD 9.5 m) in profit.
– Real estate portal (99acres) reported revenues of Rs 25.92 crore (USD 3.8 m). Loss for the period stood at Rs 21.28 crore (USD 3.1 m).
– Others, including Shiksha and Jeevansathi, reported Rs 18.09 crore in revenues and Rs 4.83 crore in loss