New Delhi: Info Edge India, owner of leading job portal naukri.com reported 31.47% rise in its net profit at Rs17.21 crore for the third quarter this fiscal, but feels that growth is likely to remain a challenge in the short term.
The company had posted a net profit of Rs13.09 crore in the corresponding period last year.
Total income in Q3 of 2008-09 increased 16.77% to Rs70.17 crore, against Rs60.09 crore in the same quarter in the previous year, a company statement said.
“The downturn in the economy has impacted sales growth, which has slowed down, but the profitability has been defended. Growth has been mainly impacted by the slowdown in recruitment business and the realty portal 99 acres.com,” Info Edge Co-founder and CEO Sanjeev Bikhchandani said.
Verticals apart from Naukri.com, including realty portal 99acres.com and matrimonial portal Jeevansathi.com, incurred a loss of Rs4.94 crore, compared to Rs3.30 crore at the Earnings Before Interest, Tax, Depreciation, Amortisation (EBITDA ) level for the same quarter last year, it said.
Info Edge India CFO and Director Ambarish Raghuvanshi said that the business environment continues to be difficult, especially in the hiring space.
“Growth is slowing down and will continue to be a challenge in the short term. We are continuing to focus on growth areas while looking at costs more carefully. Our result should be seen in this perspective,” Raghuvanshi added.
Operating income is Rs58.92 crore, which is 7.53% higher compared to the same quarter last year, the statement said. For the nine month period ended 31 December, 2008 the loss at the EBITDA level is Rs21.19 crore compared with Rs10.55 crore last year.
Total expense of the company, including interest and depreciation, increased by Rs5.10 crore, compared with the corresponding quarter in in FY 07, the statement added.
Company’s other income at Rs11.25 crore, was comparatively high in this quarter, as a result of the firm’s exiting Fixed Maturity Plans and booking gains in this quarter instead of booking them at maturity.