About The Company: Info Ed

With years of experience in the Indian consumer internet domain, strong cash flow generation and
1 a diversified business portfolio, Info Edge is one of the very few profitable pure play internet
companies in the country.

In the ecosystem of internet-based businesses, Info Edge has stood out as ‘The Company with a
2 difference’ — as an enterprise that innovates to develop its brands and, through disciplined business
practices and financial strength, leverages these brands in an ever-changing market place.

Crossed the total Income fIgure of 10 Billion for the first time in financial year, 2018. This was
3 achieved by nurturing and developing the company’s brands, generatIng adequate returns and
strategically ploughing these Back into the brands for establishing futher Market leadership

Thanks to steady profitable growth over the years, the Company’s valuation in terms of market
4 capitalisation crossed the ` 150 billion mark during the year. Net Sales of the company was Rs.
9,154.91 million in FY 2018, or a growth of 14.1% over FY 2017.

5 Despite continuously investing in people, brands and technologies across businesses, Info Edge
maintained a strong cash reserve of ` 15.6 billion as on March 31, 2018.

The Company also did follow-on rounds of investments in some of the investee companies. Among
6 the investee companies, zomato.com, policybazaar.com, are market leaders with largest shares of
internet and mobile traffic, in line with Info Edge’s overall strategy of focusing on superior market
leadership.

Even in a difficult year with slowdown in recruitment activities in the IT sector, the Company
7 managed to deliver 17.1% growth in total revenues (including other income) and generated `
4,327.01
million in net cash from operations in FY2018 – a growth of 36.6%.

8 Info Edge’s core business is online recruitment under the flagship naukri.com, a long-standing and
profitable business that generates significant cash flow.

The Company judiciously utilises its resources to further strengthen naukri.com as well as build
9 other businesses that have potential but are still in their growth phase. These include 99acres.com
(real-estate classifieds), jeevansathi.com (matrimonial classifieds) and shiksha.com (education
classifieds).

Info Edge has widened the scope of its business by investing in brands that have been
10 conceptualised and developed by separate enterprises. Such investments are a judicious mix of
equity and loans and designed to incorporate multiple rounds of investments based on growth
potential.
ompany: Info Edge Pvt. Ltd.

rong cash flow generation and

rofitable pure play internet

out as ‘The Company with a

d, through disciplined business
er-changing market place.

nancial year, 2018. This was

ratIng adequate returns and
g futher Market leadership

valuation in terms of market

ales of the company was Rs.
ver FY 2017.

across businesses, Info Edge

March 31, 2018.

e investee companies. Among

leaders with largest shares of
f focusing on superior market

the IT sector, the Company

er income) and generated `

owth of 36.6%.

ukri.com, a long-standing and

ash flow.

n naukri.com as well as build

se. These include 99acres.com
and shiksha.com (education

n brands that have been

ments are a judicious mix of
nvestments based on growth
 Info Edge India Pvt. Ltd. ,
Page No. Financial

8 Operating EBIDTA increased by 30.7% to

Rs.2,973.15 million. The operating EBITDA
margin improved from 28.4% in FY 2017 to
32.5% in FY 2018.

8
Cash flow from operations before tax stands at
Rs.4,327.01 million in FY 2018, or a growth of
36.6% over FY 2017.

33

69
Info Edge India Pvt. Ltd. , 2017-18
Non- Financial

CEO's Message

Corporate Governance Report

CSR Activities
d. , 2017-18
Remarks

Crossed the total Income fIgure of 10 Billion for the first time in financial year, 2018. This was
achieved by nurturing and developing the company’s brands, generatIng adequate returns.

This company always strives to adopt best global practices in Corporate Governance and
remains abreast with the continuous developments in the industry’s Corporate Governance
systems.

Conservation of Energy, Technology Absorption, Foreign Exchange Earnings and Outgo; Green
Initiave.
 TRIAL BALANCE OF INFO EDG

PARTICULARS DEBIT

Property, plant and equipment 506.45

Other intangible assets 22.71
Investments 8,263.04
Other financial assets 1,509.99
Non-current tax assets (net) 895.43
Deferred tax assets (net) 358.6
Other non-current assets 52.02
Investments (current) 11,455.71
Trade receivables 44.03
Cash and cash equivalents 740.07
Bank balances 718.09
Other financial assets 1,580.20
Other current assets 131.55
Equity share capital
Other equity
Borrowings
Trade payables ( non-current)
Other non-current liabilities
Trade payables (current)
Other financial liabilities
Provisions
Other current liabilities
Revenue from operations
Other income
Employee benefits expense 3,930.57
Finance costs 0.84
Depreciation and amortisation expense 215.49
Advertising and promotion cost 1,163.69
Network, internet and other direct charges 143.19
Administration and other expenses 944.31
Total 32675.98
CE OF INFO EDGE PVT LTD., 2017 - 18

CREDIT

1,215.89
16,130.87
2.81
31.74
9.41
506.04
4.69
456.14
4,192.60
9,154.91
970.88

32,675.98
 STATEMENT OF PROFIT AND LOSS, INF

Income
Revenue from operations 9,154.91
Other income 970.88
I. Total Income 10125.79

Expenses
Employee benefits expense 3,930.57
Finance costs 0.84
Depreciation and amortisation expense 215.49
Advertising and promotion cost 1,163.69
Network, internet and other direct charges 143.19
Administration and other expenses 944.31
II. Total Expense 6398.09

III. Profit before exceptional items and tax (I-II) 3727.7

IV. Exceptional items 913.37

V. Profit before tax (III-IV) 2814.33

VI. Tax expense

(1) Current tax- (current year) 1,054.08
(2) Current tax- (previous years) -
(3) Deferred tax -63.42
Total tax expense 990.66

VII. Profit for the year (V-VI) 1,823.67

Other comprehensive income (OCI)

(A) Items that will be reclassified to profit or loss -
(B) Items that will not be reclassified to profit or loss
Remeasurement loss of post employment benefit obligation -2.42
Income tax relating to this 0.84
Other comprehensive income for the year, net of income tax -1.58

Total comprehensive income for the year 1,825.25

Earnings per share:

Basic earnings per share 15.04
Diluted earnings per share 14.92
FIT AND LOSS, INFO EDGE PVT LTD., 2017-18
 BALANCE SHEET OF INFO EDGE P
Particulars As At March 31, 2018 (in Mn)

ASSETS
Non-current assets
Property, plant and equipment 506.45
Other intangible assets 22.71
Financial assets
(i) Investments 8,263.04
(ii) Other financial assets 1,509.99
Non-current tax assets (net) 895.43
Deferred tax assets (net) 358.6
Other non-current assets 52.02
Total non-current assets 11608.24

Current Assets
Financial assets
(i) Investments 11,455.71
(ii) Trade receivables 44.03
(iii) Cash and cash equivalents 740.07
(iv) Bank balances other than (iii) above 718.09
(v) Other financial assets 1,580.20
Other current assets 131.55
Total current assets 14,669.65

Total assets 26,277.89

Equity & Liabilities

Equity
Equity share capital 1,215.89
Other equity 16,130.87
Previous year profit 3,727.70
Total equity 21,074.46

Liabilities
Non-current liabilities
Financial liabilities
(i) Borrowings 2.81
(ii) Trade payables 31.74
Other non-current liabilities 9.41
Total non-current liabilities 43.96

Current liabilities
Financial liabilities
(i) Trade payables 506.04
(ii) Other financial liabilities 4.69
Provisions 456.14
Other current liabilities 4,192.60
Total current liabilities 5159.47

Total liabilities 5203.43

Total equity and liabilities 26,277.89

INFO EDGE PVT. LTD. AS AT MARCH 31,2018
 Cash Flow Anal

INFO EDGE Cash Flow

Statement 2017-18

No. of months 12 12
Particulars
Year Ending Mar-17 Mar-18

Cash Flow from

Rs m 2,135 2,535
Operating Activities

Cash Flow from

Rs m -1,650 -1,494
Investing Activities

Cash Flow from

Rs m -420 -748
Financing Activities

Net Cash Flow Rs m 65 293

Cash Flow Analysis:

INFO EDGE's cash flow from operating activities (CFO) during FY18 stood at Rs 3 billion, an
1
improvement of 18.7% on a YoY basis.

2 Cash flow from investing activities (CFI) during FY18 stood at Rs -1 billion on a YoY basis.

3 Cash flow from financial activities (CFF) during FY18 stood at Rs -748 million on a YoY basis

Overall, net cash flows for the company during FY18 stood at Rs 293 million from the Rs 65 millio
4
cash flows seen during FY17.
 Cash Flow Analysis

% Change

18.70%

348.60%

FY18 stood at Rs 3 billion, an

is.

Rs -1 billion on a YoY basis.

s -748 million on a YoY basis.

3 million from the Rs 65 million net

 Ratio Analysis

Profitability Ratio
2018 2017 Interpretation
Profit Margin 19.92% 25.48% Profits have declined. Regular expenses increase
Return on Assets 6.93% 8.45% The fall in ROA indicates a significant deterioration in t
Return on Equity 8.65% 10.30% There is a decrease in efficiency in using the sharehol
Asset Turnover Ratio 34.83 33.19 The increase in Asset Turnover Rati
Earnings per share 15.04 16.91 The decrease in EPS i

Liquidity Ratio
Current Ratio 2.84 3.48 As the current ratio is more than
Quick Ratio 2.84 3.48 The ratio follows the thumb rule which states that quick ra
Recievable Turnover 153.43 82.93
Inventory Turnover - -

Solvency Ratios
Debt- equity Ratio - -
Liabilities- equity Ratio - -
Interest Cover 4,438.74 2,659.58 Since Info Edge does n

Market Test Ratio

Price Earning Ratio 34.195 32.093 A ratio of 34 implies that the investors are willing to pay ₹34
Dividend Yield Ratio 0.025 0.024 it indicates that the comp
Price to book Ratio 6.73 4.88

Note
2018 2017
Book Value Per Share 173.33 163.78
Dividend Per Share 5.5 4.5
Market value Per Share 220 187.5
o Analysis

Interpretation
ed. Regular expenses increased without proportionate increase in revenue.
a significant deterioration in the company's overall performance and additional investments were less profitable.
fficiency in using the shareholder's funds. Shareholders expect their ROE to bee greater than the cost of equity.
ncrease in Asset Turnover Ratio indicates a significant increase in the asset utilisation in 2018.
The decrease in EPS indicates that the company did not do well in 2018.

he current ratio is more than 1, there are more CA than CL; operations will not be disrupted.
ule which states that quick ratio should be around 1; this means it sufficient liquidity to payoff all its bills on time.
-
-

Since Info Edge does not have much interest bearing debt, the ratio is high.

nvestors are willing to pay ₹34 for an earning of ₹1 of earnings of the company. Since the ratio is increasing,
it indicates that the company has been doing well in stock markets
 Horizontal Analysis
Particulars As At March 31, 2018 (in Mn)

ASSETS
Non-current assets
Property, plant and equipment 506.45
Other intangible assets 22.71
Financial assets
(i) Investments 8,263.04
(ii) Other financial assets 1,509.99
Non-current tax assets (net) 895.43
Deferred tax assets (net) 358.6
Other non-current assets 52.02
Total non-current assets 11608.24

Current Assets
Financial assets
(i) Investments 11,455.71
(ii) Trade receivables 44.03
(iii) Cash and cash equivalents 740.07
(iv) Bank balances other than (iii) above 718.09
(v) Other financial assets 1,580.20
Other current assets 131.55
Total current assets 14,669.65

Total assets 26,277.89

Equity & Liabilities

Equity
Equity share capital 1,215.89
Other equity 16,130.87
Previous year profit 3,727.70
Total equity 21,074.46

Liabilities
Non-current liabilities
Financial liabilities
(i) Borrowings 2.81
(ii) Trade payables 31.74
Other non-current liabilities 9.41
Total non-current liabilities 43.96
Current liabilities
Financial liabilities
(i) Trade payables 506.04
(ii) Other financial liabilities 4.69
Provisions 456.14
Other current liabilities 4,192.60
Total current liabilities 5159.47

Total liabilities 5203.43

Total equity and liabilities 26,277.89

Horizontal Analysis
As At March 31, 2017 (in Mn) Difference as %

586.03 -15.71329845
12.88 43.2848965214

7,408.58 10.3407462629
212.67 85.9158007669
688.76 23.0805311415
295.18 17.685443391
61.31 -17.8585159554
9265.41 20.1824738289

2,162.12 81.1262680358
75.31 -71.0424710425
472.73 36.1236099288
2,435.33 -239.139940676
9,389.33 -494.1861789647
111.5 15.2413530977
14,646.32 0.1590358325

24,161.84 8.052587175

1,210.81 0.4178009524
18,620.30 -15.4327075973
-
19,831.11 5.8997952972

3.57 -27.0462633452
38.3 -20.6679269061
10.4 -10.5207226355
52.27 -18.9035486806
 417.78 17.4413089874
4.5 4.0511727079
416.1 8.7780067523
3,440.08 17.948766875
4,278.46 17.0755910975

4,330.73 16.7716294829

24,161.84 8.052587175
 Vertical Analysis Info Edg
Particulars As At March 31, 2018 (in Mn)
Info Edge Pvt. Ltd.
ASSETS
Non-current assets
Property, plant and equipment 506.45
Other intangible assets 22.71
Financial assets
(i) Investments 8,263.04
(ii) Other financial assets 1,509.99
Non-current tax assets (net) 895.43
Deferred tax assets (net) 358.6
Other non-current assets 52.02
Total non-current assets 11608.24

Current Assets
Financial assets
(i) Investments 11,455.71
(ii) Trade receivables 44.03
(iii) Cash and cash equivalents 740.07
(iv) Bank balances other than (iii) above 718.09
(v) Other financial assets 1,580.20
Other current assets 131.55
Total current assets 14,669.65

Total assets 26,277.89

Vertical Analysis Info Edge Pvt. Ltd.
As At March 31, 2018 (in Mn)
New India Assurance Company

413.13
98.83

5,553.82
-
-
215.34
-
6281.12

8,433.65
54.29
902.10
-
-
276.93
9,666.97

15,948.09
Annual-Report-2017-18 Info Edge.pdf
17-18 Info Edge.pdf
 Trend Analysis of Info Edge PVT.

Particulars 2017-18 2016-17 2015-16 2014-15 2013-14 10000

9000
Revenue From Operations 9,154.91 8,021.06 7,234.76 6,113.46 5,058.74
8000

Profit after Tax 1,823.67 2,044.03 1,415.80 1,938.59 1,284.94 7000

Borrowings 2.81 3.57 3.79 2.82 4.38 6000

Trade Receivables 44.03 75.31 118.13 97.69 50.34 5000

4000

3000

2000

1000

0
2017-18 2016

Row 5
Borrowi
nfo Edge PVT. LTD.

Chart Title
10000

9000

8000

7000

6000

5000

4000

3000

2000

1000

0
2017-18 2016-17 2015-16 2014-15 2013-14

Row 5 Revenue From Operations Profit after Tax

Borrowi ngs Tra de Recei vabl es