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JustDial’s hiring woes in sales teams hits revenue growth in Q2FY16

Online directory services company JustDial's revenue growth was impacted in the quarter ended September 30, 2015 as the company did not make adequate hiring for its sales team, JustDial founder VSS Mani and chief financial officer Ramkumar K revealed in an analyst call. Answering a query, Mani said that hiring in JustDial had been flat over the last 18-24 months and that hit the company's ability to get new customers. "So if you go by our old data, we had a pretty much flat sales force for the last almost 18 to 24 months except barring the previous quarter. So that is where the hunting hiring happened. The new recruits are usually put in sales to get in new customers on board and that got neglected," Mani said. "Now it got neglected because we were also focusing a lot more on Search Plus and other stuff and there were somewhere the top most management focus kind of little bit strayed," he added. JustDial had reported operational income of Rs 171.27 crore during Q2FY16 growing  16.9% from Rs 147.4 crore in the same quarter last year. Total operating income increased 25% y-o-y to Rs 168.62 crore in the preceding quarter. Operating revenue increased by 26% y-o-y to Rs 156.28 crore in Q4Fy15. Headcount at JustDial stood at 10,611 at the end of Q2FY16 a drop from 10,789 employees reported in the preceding quarter. Ramkumar added that it would be a few quarters before the company would see revenue growth back +25% levels. JustDial…

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