Prolonged weakness in non-IT hiring
Non-IT sectors like BFSI, retail, and infrastructure have seen softness, with YTD growth of only ~7%. If this persists, overall recruitment growth could remain subdued.
INFOEDGE / bear-case history
Track the concerns that keep returning.
Info Edge · risk themes across the available quarters.
Research layer active
Bear-case history
Risks carried through the record.
high
AI-driven disintermediation may increase spam and reduce signal quality
Management acknowledged that horizontal AI platforms could generate auto-generated resumes and spam, potentially reducing the value of job listings but increasing the relevance of curated databases like Naukri.
Education business facing AI-related traffic decline
Shiksha domestic business has seen a sharp drop in traffic due to AI impact, which will affect billing growth over time. Management is pivoting to counseling services but outcome uncertain.
Zomato and DoSelect growth slower than core business
Analyst noted that Zomato and DoSelect billing growth is slower than core recruitment. Management attributed it to ongoing experimentation with go-to-market strategies, which may take a couple of quarters to stabilize.