Infibeam Incorporation Ltd, the publicly-listed ecommerce firm which runs a clutch of businesses including online retail as well as builds and manages online stores for scores of merchants, reported a 72% rise in consolidated revenue at Rs 204.75 crore for the quarter ended 30 September against Rs 119.22 crore a year ago. Its profit more than doubled to Rs 28.9 crore in the latest quarter from Rs 13.63 crore.
The impressive growth in revenue is mainly on the back of a four-fold increase in income from enterprise business—that is, the sale of software and ecommerce related ancillary services. Revenues from Infibeam’s ecommerce enabled services business grew to Rs 122.28 crore year on year from Rs 33.62 crore while revenue from its own online retail business declined to Rs 7.93 crore from Rs 8.1 crore.
Its revenue and profit grew 8% and 19%, respectively, quarter on quarter.
Notably, the online retail business continues to make losses for Infibeam though the firm managed to bring the losses from the unit to just under Rs 1 crore in the quarter from Rs 2.71 crore for the same period last year. Meanwhile, profit from the sale of software and ecommerce related ancillaries nearly doubled to Rs 40.27 crore.
Infibeam, which went public in March 2016, recently saw its share price touching a 52-week-high of Rs 195.75. The share price currently hovers around Rs 177 while its market cap is Rs 9,602 crore ($1.47 billion).
Infibeam, which looks to expand its own ecommerce business, is believed to have briefly flirted with the idea of aligning with Snapdeal. However, talks did not progress beyond preliminary discussions.