Info Edge stock rallies 5% on steady Q1 show; matrimony biz grows 38% YoY

Info Edge stock surged up to 4.84 per cent at Rs 7,249.95 per share on the BSE in Friday’s intraday deals. The stock price surged after the company reported its April-June quarter of financial year 2024-25 (Q1FY25). 

The company reported 9.3 per cent growth in its revenue from operations at Rs 638.9 crore on a standalone basis for June quarter of FY24, compared to Rs 584.3 crore in the corresponding quarter of the previous fiscal.  The company’s profit after tax (PAT) surged by 13.79 per cent year on year (Y-o-Y) at Rs 232 crore versus Rs 200 crore in Q1FY24. 

The recruitment business continued the uptick in Q1, whereas non-recruitment businesses also continued to grow with reduced operating losses. 

Revenues growth in the recruitment business was 5.6 per cent year on year and for non-recruitment business verticals namely 99acres, Jeevansathi, and Shiksha was 19.5 per cent, 34.7 per cent, and 18.4 per cent respectively, the company said in an exchange filing. 

Billings for the company for the quarter grew by 10.8 per cent year-on-year and stood at Rs 579.3 crore. The company maintained its operating profit margins at 35.6 per cent of revenue and registered a growth of 8.8 per in its operating profit which stood at Rs 227.3 in Q1FY25 as compared to Rs 208.9 crore in Q1FY24.

“Cash losses from our non-recruitment businesses have decreased by 73 per cent to Rs. 16.5 crore in Q1FY25, driven by an 18 per cent YoY increase in billings and controlled cost increases. Our matchmaking business, Jeevansathi, is nearing breakeven in Q1. The core recruitment business, which experienced several weak quarters last fiscal year, continued to demonstrate growth in Q1 as well,” said Hitesh Oberoi, Managing Director and Chief Executive Officer.

The share price of the company has zoomed 30.2 per cent in the last six months, while rallying 52.55 per cent in the last one year. Info Edge is presently trading at a price to earnings multiple of 107.40 times, while trading at an earning per share (EPS) of Rs 64.39.

At 02:52 PM; the stock price of the company was trading 3.94 per cent higher at Rs 7,187.40 per share on the BSE. By comparison the BSE Sensex surged by 1.05 per cent at 79,715 levels.

The company operates multiple internet-based services through its portals and mobile applications. 

It is involved in four main service verticals: recruitment solutions with brands such as Naukri.com, iimjobs.com, hirist.com, ambitionbox.com, bigshyft.com, and jobhai.com; real estate services through 99acres.com; matrimonial services via jeevansaathi.com; and education services through shiksha.com.