Info Edge hits speed bumps in recruitment and real estate
Growth in recruitment billings cooled to 10% for the year, while a sales reorganisation dragged 99acres billings to a 2% crawl.
— 1 earlier story on Info Edge (India) Ltd. →What's new
- Recruitment billings growth slowed to 10% for the year as hiring demand remained soft.
- 99acres billings growth slumped to 2% after a sales team reorganisation.
- Jeevansathi narrowed its operating loss to ₹4 cr.
Why it matters
The company's core engines are stalling. While 99acres dominates web traffic, the sales pivot has clearly disrupted near-term billings. Whether management's three-year goal to double 99acres is ambitious or simply optimistic depends on how quickly the sales team recovers its rhythm.
What we're watching
- A rebound in 99acres billings during the current quarter.
- Client retention rates for the 1,000 users of the new AI-Rex hiring platform.
- Jeevansathi's path toward actual profitability.
The full read
Info Edge recorded a 17% rise in fourth-quarter revenue to ₹805 crore, but the underlying metrics reveal a cooling environment. Recruitment billings growth softened to 10% for the full year, hampered by a sluggish hiring market. The real estate segment, 99acres, tells a more jarring story. Despite capturing a 52% share of web traffic in April, quarterly billings growth hit a wall at 2% following a recent reorganisation of the sales force. Management projects a recovery in the current quarter and holds a three-year target to double the real estate business at 25-30% EBITDA margins. New product lines provide a partial offset, with 1,000 clients already signed onto the AI-Rex hiring platform. Meanwhile, Jeevansathi is showing progress, narrowing its quarterly operating loss to ₹4 crore. The business is shifting its focus toward higher-margin, AI-driven models like Naukri 360, but for now, the topline is feeling the friction of a weaker hiring cycle and internal sales changes.