Info Edge (NAUKRI) Q2 24/25 earnings summary

Executive summary

• Standalone Q2 FY25 billings reached INR 650.3 crores, up 14.3% YoY; revenue was INR 656.1 crores, up 10.6% YoY; operating profit grew 14.8% YoY to INR 251.2 crores with margin at 38.3%.

• Cash from operations before taxes was INR 262 crores, up 4.7% YoY; cash balance at end of September 2024 was INR 4,268 crores.

• Net profit after tax dropped to INR 86 crores due to a one-time deferred tax charge of INR 260 crores from changes in long-term capital gains tax rates.

• EPS before exceptional items and deferred taxes for Q2 FY25 was INR 20, up 21% YoY; after exceptionals, EPS was INR 6.65.

• Interim dividend of INR 12 per share declared for FY 2024-25.

Financial highlights

• H1 FY25 standalone billings were INR 1,230 crores (up 13% YoY), revenue INR 1,295 crores (up 10% YoY), and operating profit INR 478 crores (up 12% YoY).

• Consolidated Q2 FY25 net sales were INR 701 crores (up from INR 626 crores YoY); total comprehensive income INR 8,170 crores (up from INR 3,399 crores YoY).

• Standalone net profit for Q2 FY25: INR 86 crores, compared to INR 209 crores in Q2 FY24 (prior year included higher exceptional gains).

• Deferred sales revenue: INR 1,069 crores in Q2 FY25.

• Employee count: 5,820 as of September 30, 2024.

Outlook and guidance

• Management expects margin improvement if revenue growth sustains above 15% and continued investment in AI and new product development.

• Recruitment business momentum expected to continue, with higher internal targets for Q3 following 14% billing growth in Q2.

• 99acres targeting break-even if H2 growth sustains at 18-20%; matrimony business expected to reach break-even this year.

• Cautious on external environment for education segment, especially for study abroad demand.