First quarter results (Q109) just in from Info Edge (Naukri.com): The company has reported a net profit of $3.108 million (Rs. 12.973 crores) for Q109. Profit is down from $3.73 million (Rs. 15.61 crores) last quarter, but up from $2.78 million (Rs. 11.64 crores) for the same quarter last year. Remember that historically, the last quarter of the year is the best for Info Edge.
Given that the fear that has persisted for the last few quarters, around a drop in IT spending on hiring, the company has issued a reassuring statement from CFO Ambarish Raghuvanshi who says that “The operating margins in the core recruiting business have expanded” and the company has added more clients (hinting at a reduced dependency on IT). We’ll have more on this from the Naukri Earnings call.
more on revenues and investments –
The company recorded revenues of $16.08 Million (Rs. 67.144 crores), of which $15.12 Million (Rs. 63.123 crores) was Sales Income. Sales income has increased by 35.60 percent over the same quarter last year. During the quarter, Info Edge spent $2.90 million (Rs. 12.144 crores) in advertising and promotions, up from $2.66 Million (Rs. 11.145 crores) for the same quarter last year. Employee cost is up significantly year-on-year from $3.90 Million (16.313 crores) in Q108 to $5.83 million (Rs. 24.349 crores) in Q109.
As per the financials, Info Edge has spent a total of $1.2 Million (Rs. 5.023 crores) in acquisitions and strategic alliances. That is up from $480,000 (Rs. 2 crores) at the end of the last financial year. The company had raised $7.18 million (Rs. 30 crores) for acquisitions, from the IPO, and so far, they have invested in Study Places Inc and Applect Learning Solutions.
Disclosure: I own an inconsequential number of shares of Info Edge