Just Dial (JUSTDIAL) Q4 21/22 earnings summary

Executive summary

• FY22 revenue fell 4.2% and net profit declined 66.9% YoY as the COVID-19 second wave disrupted MSMEs, particularly B2C service businesses; quarterly unique visitors nevertheless rose 14% to 140.3M.

• Reliance Retail Ventures Limited (RRVL) became the majority shareholder, providing ₹2,164.9 crore through preferential allotment; investment in new platforms is planned to support the next growth phase.

Financial highlights

• Revenue from operations was ₹647.0 crore vs ₹675.2 crore in FY21; total income was ₹769.1 crore vs ₹824.7 crore.

• Profit after tax was ₹70.9 crore vs ₹214.2 crore, down 66.9% YoY; PBT declined 67.2% to ₹83.4 crore.

• Adjusted operating EBITDA, after ESOP and one-time expense adjustments, was ₹19.6 crore vs ₹190.6 crore; adjusted margin was 3.0% vs 28.2%.

• Other income decreased 18.3% to ₹122.1 crore; operating cash flow was ₹39.2 crore vs ₹138.9 crore.

• Basic EPS was ₹9.51 vs ₹33.92; employee benefit expense increased to ₹504.0 crore from ₹443.2 crore.

Outlook and guidance

• Plans target increased platform traffic and revenue through JD Xperts and JD Shopping; JD Real Estate and online self-sign-up are also in development.

• Management expects business to recover to pre-COVID levels soon, citing improved cost structure and pandemic-accelerated digital adoption among SMEs.

• FY23 plans include accelerated hiring across sales, technology, product, content and customer service to support existing operations and new verticals.