Just Dial on Wednesday posted 7.98 per cent rise in net profit at Rs 38.93 crore for the first quarter ended June 30, 2016 against Rs 36.05 crore in the corresponding quarter a year ago. Total income of the local search engine provider increased by 6.18 per cent year-on-year to Rs 176.29 crore for the quarter under review against Rs 166.03 crore in the same period last year. Total expenditure of the company jumped by 22.29 per cent year-on-year to Rs 155.99 crore during April-June period against Rs 127.56 crore in the same period last fiscal.
In a separate filing on BSE , the company also approved the allotment of 28,877 equity shares of face value of Rs 10 to some employees of Just Dial under employee stock option schemes. The board of the company has also approved a draft scheme of arrangement between Just Dial and Just Dial Global Private Ltd (JDGPL) for demerger of data and information undertaking of JDGPL into the company.
In a BSE filing, Just Dial said, “The proposed demerger would be value accretive to the equity shareholders of Just Dial as the value of the demerged company transferred is greater than the value of consideration issued to the existing shareholders of JDGPL.” The appointed date for the scheme is October 1, 2016.
As consideration for transfer and vesting of the demerged undertaking, Just Dial will issue 6 per cent redeemable preference share of Rs 1 each to equity shareholders of JDGPL, credited as fully paid up, for every 1 equity share of Rs 10 each held in JDGPL and such redeemable preference share shall be redeemable at par.
Shares of Just Dial closed 2.25 per cent up at Rs 486.10 on Tuesday.