Infibeam Avenues, the Ahmedabad-based e-commerce company that also runs online payment gateway CCAvenue, has reported a net profit of Rs 26.6 crore for the fourth quarter in 2018, which records a significant growth compared to Rs 1.9 crore in December 2017.
The numbers became public after the company filed its reports with the Bombay Stock Exchange (BSE). The company claims that its total revenue has more than doubled to reach Rs 150.3 crore for the quarter as compared to Rs 73.6 crore in the last year.
Vishal Mehta, Managing Director of Infibeam Avenues attributes this increased profit for the company to the factors like strong traction in the payments business, Government e-Marketplace (GeM) contribution, and the synergies with its cloud platforms. The company is now planning to process payments worth Rs 50,000 crore by the end of this year.
At the time of reporting, Infibeam’s shares were trading 11.25% higher.
The company’s strong performance comes a few months after it had experienced a 71 percent fall in its share price in October last year. That happened because of a fake message spread through WhatsApp which questioned the company’s accounting policies and corporate governance.
Infibeam was founded in 2007 by Sachin Dalal, Vishal Mehta and Neeru Sharma. It started off as an e-commerce firm but has pivoted its business model subsequently. It caters to B2E, B2B and B2C segment of business for its customers.
Integration of Payment platform with logistic & warehousing, advertising, and domain registry along with data center and data analytics, value-added services provided by Infibeam make a full circle in providing all services under one roof to the customers.
Last month, Infibeam Avenues divested its wholly-owned subsidiary Infinium (India) Ltd (IIL) to Ingenius E-commerce for ₹60 crore. Infinium, which provides e-commerce solutions to government and private institutions, contributed 10.51 percent of its consolidated turnover and 0.31 percent of the consolidated net worth of the company.
For those who are unaware, Infibeam is the first e-commerce company in the country to be listed with SEBI (Securities and Exchange Board of India) after it received an approval to raise $69 million (approximately Rs 450 crore) through an initial public offering (IPO).