Byju’s, which is valued at $22 billion, said last week it had earned Rs 2,428 crore in revenues in FY21 and incurred a loss of Rs 4,588 crore
After reporting a loss of Rs 4,588 crore in the 2021 fiscal, Byju Raveendran, the founder and CEO of the world’s most valuable edtech firm Byju’s has told employees that the firm has already started shifting its focus toward profitable growth. He said revenue of $2 billion was within sight of the firm.
“The April-June 2022 (period) was our best ever quarter by far,” said Raveendran in a letter addressed to the employees and reviewed by Business Standard. “In fact, we have clocked more than Rs 1,000 crore in sales in each of the last five months.”
Byju’s, which is valued at $22 billion, said last week it had earned Rs 2,428 crore in revenues in FY21 and incurred a loss of Rs 4,588 crore. The adjusted revenue of Byju’s in FY20 was Rs 2,511 crore and the adjusted loss was Rs 300 crore.
However, Raveendran said in the letter that the firm has received a clean and unqualified audit report for FY21.
“Around 40 per cent of our pre-audit revenue for FY21 has been ‘deferred’ to subsequent years but the incurred costs have all been subsumed in the same year. It means this entire deferred revenue will be directly contributing to our profits in FY22 and FY23. The change in our accounting methodology and the high cost of multiple acquisitions is reflected in the Rs 4,500 crore loss figure for FY21,” said Raveendran in the letter.
He said the firm’s FY22 revenue is nearly Rs 10,000 crore, or $1.3 billion. “This means we are now a billion-dollar-plus revenue company,” said Raveendran.
He said in the K12 (kindergarten to class 12) segment, Byju’s revenue is nearly 20 times that of the next two competitors combined. The revenue of Aakash Education has nearly doubled since it joined hands with Byju’s. Raveendran said the company’s learning app, Byju’s Tuition Center (BTC), Live Classes and Aakash Byju’s are now working in sync to bring the hybrid model to life.
