JUSTDIAL - Just Dial
📢 Recent Corporate Announcements
Just Dial reported 184.5 million unique visitors for Q3 FY26, representing a sequential decline from 197.7 million in Q2 FY26. The company's database has expanded to 52.8 million listings, supported by 629,180 active paid campaigns. Mobile remains the primary driver of traffic, accounting for 86.2% of total user engagement. The company maintains a robust sales infrastructure with over 10,000 employees across tele-sales and field operations to target SMEs nationwide.
- Quarterly unique visitors reached 184.5 million in Q3 FY26, down from 197.7 million in the previous quarter.
- Active paid campaigns stood at 629,180 as of December 31, 2025.
- Total database listings grew to 52.8 million with 155.7 million user ratings and reviews.
- Mobile platform dominates traffic share at 86.2%, while Desktop and Voice contribute 11.0% and 2.8% respectively.
- Salesforce consists of 4,883 tele-sales and 5,252 feet-on-street employees covering 250+ cities.
Just Dial reported a steady 6.4% YoY growth in operating revenue for Q3 FY26, reaching ₹305.7 Crores, while EBITDA grew 10% to ₹95.2 Crores. Net profit saw a 10.2% YoY decline to ₹118 Crores, primarily due to a one-time exceptional expense of ₹21.1 Crores related to the new labour code and a higher effective tax rate. Operationally, the company maintained a strong cash position of ₹5,703 Crores and saw an 11.1% YoY increase in active listings. While quarterly traffic dipped 3.5% YoY to 184.5 million, it showed a recovery of 6.6% on a sequential basis.
- Operating Revenue grew 6.4% YoY to ₹305.7 Crores, with EBITDA margins expanding by 101 bps to 31.2%.
- Net Profit decreased 10.2% YoY to ₹118.0 Crores, impacted by a ₹21.1 Crore one-time labor code expense.
- Total Active Listings reached 52.8 million (up 11.1% YoY), while paid campaigns grew 4.7% YoY to 629,180.
- Cash and Investments remain robust at ₹5,703 Crores as of December 31, 2025.
- Quarterly unique visitors stood at 184.5 million, reflecting a 6.6% QoQ recovery despite a 3.5% YoY decline.
Just Dial reported a modest 6.4% YoY growth in net revenue from operations to ₹3,056.9 million for Q3 FY26. While operating profit before exceptional items showed strength at ₹1,667 million, the final Net Profit declined 10.2% YoY to ₹1,179.3 million due to a one-time exceptional charge. This ₹210.8 million charge stems from the implementation of new labour codes affecting gratuity calculations. Other income, primarily from fair value gains on investments, remains a significant contributor to the company's total income profile.
- Net Revenue from operations increased 6.4% YoY to ₹3,056.9 million from ₹2,873.3 million.
- Profit before exceptional items and tax rose to ₹1,667 million compared to ₹1,491.7 million in Q3 FY25.
- Recognized a one-time exceptional expense of ₹210.8 million due to the new Social Security labour code.
- Net Profit for the quarter stood at ₹1,179.3 million, down from ₹1,313.1 million in the previous year's corresponding quarter.
- Other income contributed ₹846.3 million, including ₹747.3 million in fair value gains on financial instruments.
Just Dial Limited has informed the stock exchanges that its trading window for designated persons and their relatives will be closed effective January 1, 2026. This action is in compliance with SEBI (Prohibition of Insider Trading) Regulations, 2015, ahead of the declaration of financial results. The window will remain closed until 48 hours after the financial results for the third quarter and nine months ending December 31, 2025, are announced. This is a standard regulatory procedure for listed companies in India to prevent insider trading.
- Trading window closure commences on January 1, 2026
- Closure is related to financial results for the quarter and nine months ending December 31, 2025
- Window to reopen 48 hours after the official announcement of financial results
- Applicable to all designated persons, their immediate relatives, and other insiders as per SEBI norms
Just Dial Limited has received an order from the Assistant Commissioner of State Tax, Mumbai, imposing a penalty and tax demand for the financial year 2018-19. The order includes a penalty of Rs. 6.62 crore and an additional tax demand with interest amounting to Rs. 15.21 crore. The dispute relates to the alleged excess availment of input tax credit (ITC) on common services. The company has expressed its intention to file an appeal against this order and confirmed that it does not impact current business operations.
- Penalty of Rs. 6.62 crore imposed under Section 74 of CGST and MGST Acts
- Additional tax demand plus interest aggregates to Rs. 15.21 crore
- Total financial impact of the order stands at approximately Rs. 21.83 crore
- Dispute pertains to alleged excess input tax credit (ITC) claims during FY 2018-19
- Company intends to contest the order through an appeal process
Just Dial Limited has received an order from the Assistant Commissioner of State Tax, Mumbai, involving a total financial impact of Rs 21.83 crore. This amount comprises a penalty of Rs 6.62 crore and a tax demand with interest totaling Rs 15.21 crore for the financial year 2018-19. The order alleges that the company claimed excess input tax credit on common services. Just Dial has stated its intention to file an appeal against the order and confirmed that there is no impact on its business operations.
- Penalty of Rs 6.62 crore imposed under Section 74 of CGST and MGST Acts
- Additional tax demand and interest aggregate to Rs 15.21 crore
- Total financial implication of the order stands at Rs 21.83 crore
- Allegation involves excess availment of input tax credit (ITC) for FY 2018-19
- Company intends to contest the order through the formal appeal process
Financial Performance
Revenue Growth by Segment
The company operates in a single reporting segment, 'Search and Search-related Services', which grew 9.5% YoY to INR 11,419.3 million in FY25. For Q2 FY26, operating revenue was INR 3,031 million, representing a 6.4% YoY increase and 1.8% QoQ growth.
Geographic Revenue Split
Justdial services over 11,000 pin codes across 250+ cities in India. While specific percentage splits by region are not disclosed, the network provides nationwide coverage for SMEs.
Profitability Margins
Net profit margin (including other income) improved significantly from 26.9% in FY24 to 38.2% in FY25, an increase of 1131 bps. Profit After Tax (PAT) for FY25 was INR 5,842.0 million, up 61.0% YoY.
EBITDA Margin
Operating EBITDA margin for FY25 was 29.4%, up 861 bps from 20.8% in FY24. For Q2 FY26, the Operating EBITDA margin was 28.7%, a slight decrease of 9 bps YoY and 29 bps QoQ.
Capital Expenditure
In H1 FY26, the company spent INR 14.2 million on the purchase of property, plant, and equipment, compared to INR 18.3 million in H1 FY25. Total depreciation and amortisation for FY25 was INR 472.6 million.
Credit Rating & Borrowing
Justdial is a zero-debt company with no loans or borrowings. The interest coverage ratio improved by 25.2% YoY to 64.2 in FY25, primarily reflecting interest on lease liabilities.
Operational Drivers
Raw Materials
Not applicable as Justdial is a service-based local search platform.
Capacity Expansion
Active paid campaigns reached 623,970 at the end of Q2 FY26, growing from 598,430 in Q2 FY25 (a 4.3% increase). The sales force consists of 4,633 tele-sales and 5,470 field sales employees.
Raw Material Costs
Not applicable. Operating costs are primarily driven by employee benefit expenses, which were INR 6,953.9 million in FY25, down 3.4% YoY.
Manufacturing Efficiency
Not applicable. Operational efficiency is driven by AI tools for catalogue management and intelligent channel recommendations for merchants.
Logistics & Distribution
Distribution is digital; advertising and promotion spend was INR 256.4 million in FY25, up 21.3% YoY to drive traffic and brand awareness.
Strategic Growth
Expected Growth Rate
9.50%
Growth Strategy
Growth is targeted through strengthening technology and talent foundations to unlock the next phase of growth. Key initiatives include leveraging AI for operational efficiency, improving user experience via review summarisation and fraud detection, and nurturing new growth areas by leveraging existing SME strengths.
Products & Services
Local search services provided via Web, Mobile App, and Telephone; specialized advertising platforms and paid campaigns for SMEs.
Brand Portfolio
Justdial
New Products/Services
New AI-driven features include review summarisation, dynamic review prompts, and automated data extraction from signboards and visiting cards for merchant onboarding.
Market Expansion
The company services over 11,000 pin codes in India and is identifying new growth areas to leverage its existing SME network.
Market Share & Ranking
Leader in the Indian local search industry with strong brand recognition.
External Factors
Industry Trends
The local search industry is evolving through AI integration for better fraud detection and automated content curation. Justdial is positioning itself by investing in AI for catalogue management and user-facing review tools.
Competitive Landscape
Operates in a dynamic environment against other digital advertising platforms and specialized search services.
Competitive Moat
Sustainable moat built on strong brand recognition, a massive sales force of over 10,000 employees, and a deep network of 250+ cities, creating high barriers to entry for competitors.
Macro Economic Sensitivity
Highly sensitive to interest rates and market performance due to a large treasury portfolio; Other Income contributed INR 3,865.4 million to total income in FY25.
Consumer Behavior
Shift towards mobile-first search and demand for AI-summarised reviews and verified business listings.
Geopolitical Risks
Primarily domestic focus in India; risks are limited to local regulatory changes and data protection laws.
Regulatory & Governance
Industry Regulations
Compliance with the Companies Act 2013, SEBI Listing Regulations, and Secretarial Standards (SS-1 and SS-2).
Taxation Policy Impact
Effective tax rate was approximately 12% in FY25 (INR 799.5 million tax on INR 6,641.5 million PBT), aided by the reversal of deferred tax on treasury moving to long-term buckets.
Risk Analysis
Key Uncertainties
Volatility in treasury income (Other Income fell 35.5% YoY in Q2 FY26) and potential data security breaches impacting the core database.
Geographic Concentration Risk
100% of revenue is derived from the Indian market across 250+ cities.
Third Party Dependencies
Low dependency on specific suppliers; primary dependency is on the SME advertiser base.
Technology Obsolescence Risk
Risk is mitigated by ongoing R&D in AI and emerging technologies to maintain search relevance.
Credit & Counterparty Risk
Minimal credit risk as the company does not have significant debtors; services are typically pre-paid by advertisers.