Just Dial, a local search service provider, saw its shares surge by over 13 percent in early trading on April 18 following the company’s robust performance in Q4FY24.
In Q4FY24, Just Dial reported a significant increase in its consolidated net profit, which rose by 38 percent year-on-year to reach Rs 115.74 crore. Additionally, the company’s revenue from operations witnessed a growth of over 16 percent year-on-year, totaling Rs 270.30 crore.
Operating EBITDA for the company stood at Rs 70.60 crore, marking a remarkable increase of 111.4 percent year-on-year. The EBITDA margin also saw a notable improvement, standing at 26.1 percent compared to 14.4 percent in the same period last year. Abhishek Bansal, the CFO of Just Dial, highlighted the company’s focus on sustaining a margin of about 27-28 percent for FY25, reflecting the efficiency achieved in FY24.
Just Dial ended the financial year with a cash reserve of Rs 4,625 crore. The CFO indicated that the company aims to generate free cash flow and will decide on the deployment of this surplus at a later stage. Whether it’s for potential acquisitions or aggressive advertising, any decision will prioritize long-term unit economics. Moreover, Bansal emphasized that any acquisition would need to align with the company’s core business and provide synergies.
Just Dial’s EBITDA margin witnessed significant expansion, with a 1,176 bps year-on-year and 334 bps quarter-on-quarter increase, driven by both revenue growth and cost efficiencies, particularly in employee costs and other expenses, according to the company.
