Info Edge Ltd, the owners of job portal Naukri.com and matrimony portal Jeevansathi.com, has registered a close to 24 per cent growth in revenues in the second quarter of 2008-09 compared to the same period last year, however, the net profits have stagnated.
Info Edge has recorded net sales of Rs 65.41 crore in Q2 2008-09 compared to Rs 52.60 crore during same period last year, while the net profits stood at Rs 15.67 crore in Q2 2008-09 at the same level as Rs 15.14 crore of Q2 last year.
What have shot up this year for the company are the employee cost and advertising and promotions costs. The staff costs have gone up from Rs 17.46 to Rs 25.41 (quarter on quarter), while advertising and promotion costs have gone up from Rs 10.8 crore to Rs 13.67 crore quarter on quarter.
Sanjiv Bikhchandani, CEO of Naukri.com, told VCCircle that the company has made investments in its education portal Shiksha.com, which is one of the reasons the profitability has taken a hit.
Info Edge had raised Rs 170 crore via an IPO in end 2006. The company has disclosed that it has spent Rs 20 .24 crore on purchase of land, and close to Rs 7 crore on acquisitions and strategic alliances.