Amid disappointing third-quarter results, the shares of Just Dial, a local search engine company, tumbled almost 6 per cent to touch the day’s low of Rs 791 per share on the BSE intraday trade on Wednesday. 

COMMERCIAL BREAK
SCROLL TO CONTINUE READING

The stock at around 02:14 pm, is trading almost 4 per cent lower to Rs 809.05 per share on the BSE, as compared to an over 1 per cent fall in the S&P BSE Sensex. 

On Tuesday, the company’s consolidated net profit slipped by over 61 per cent to Rs 19.4 crore in the October-December quarter of the financial year 2021-22 and revenue declined marginally by over 6 per cent to almost Rs 159 crore year-on-year in the third quarter of the current fiscal. 

In comparison, the company had reported almost Rs 50 crore and Rs 169.54 crore profit ad revenue in the year-ago quarter. 

The company in its filing has said it has ramped up hiring across critical functions like technology, content, sales, and marketing teams which has resulted in higher employee expenses. As a result, the topline and bottom line of the company came mute during the quarter.  

According to Just Dial, "These investments made during Q3 should result in superior product offerings and higher monetisation going forward.” 

The total traffic (unique visitors) for the quarter came at 142.7 million, up 7.7 per cent YoY, while dipped 4.6 per cent quarter-on-quarter, the company said, adding further that about 84.2 per cent traffic came from mobile, 11.4 per cent on Desktop/ PC and 4.4 per cent on voice platform. 

The stock in the last one year has reported a marginal growth of around 22 per cent as same as that of BSE Sensex, up nearly 23 per cent. While it has underperformed the benchmark, as in last six months the counter slipped over 20 per cent versus around 15 per cent rise in the Sensex.