BYJU’S Loss Widens 19.8X To INR 4,588 Cr In FY21, Sales Up Marginally To INR 2,280 Cr

Multiple Deadlines Missed, Yet No Sight Of BYJU'S FY22 Financials

SUMMARY

BYJU’S consolidated total income declined 3.3% to INR 2,428.3 Cr in FY21

BYJU’S cited the high cash burn of WhiteHatJr, which it acquired in 2020, as one of the reasons for the sharp increase in loss

The startup’s expenses rose to 2.4X to INR 7,027.4 Cr in FY21 from INR 2,873.3 Cr in FY20

India’s most valued edtech startup BYJU’S reported a loss of INR 4,588 Cr in the financial year 2020-21 (FY21), a massive 1,880% or 19.8X jump from a loss of INR 231.69 Cr in FY20.

The startup, which released the financial statements after a delay of nearly 12 months on Wednesday (September 14), cited the high cash burn of WhiteHat Jr as one of the reasons for the sharp increase in loss.

BYJU’S acquired code learning platform WhiteHat Jr in a record $300 Mn deal in August 2020. According to WhiteHat Jr’s standalone financials, it incurred a loss of INR 1,690.4 Cr in FY21.

According to BYJU’S consolidated financial statements, its total income declined 3.3% to INR 2,428.3 Cr in FY21 from INR 2,511.7 Cr in the previous year.

BYJU’S said that starting FY21, it has started recognising revenue from streaming services on a pro rata basis over the period of the contract. Earlier, it used to recognise the revenue from these streaming services upfront on the commencement of the contract.

The startup’s revenue from operations stood at INR 2,280 Cr during the year, a slight increase from INR 2,188.9 Cr in FY20.

Total expenses rose 144.5% to INR 7,027.4 Cr from INR 2,873 Cr in FY20 on the back of heavy marketing and acquisition costs.

At INR 2,250.9 Cr, the startup’s ‘business promotion expenses’ contributed 32% to the total expenses. It spent INR 899.3 Cr on business promotion in FY20.

BYJU’S also hired aggressively during the COVID-stricken year, which was reflected in its employee benefit expenses. The startup spent INR 1,943.3 Cr on employee expenses in FY21 as against INR 420 Cr in FY20. Employee benefit expenses usually comprise wages of employees, PF contribution, gratuity, and other employee welfare benefits.

BYJU’S spent INR 297.5 Cr on teachers’ fees during the year. The startup had not disclosed this number for FY20. Meanwhile, its other expenses, which include rent, power charges, subscription charges, royalty expenses, among others, jumped 76% to INR 1,503 Cr from INR 853.7 Cr in FY20.

It must be noted that the consolidated statement comprises financial details of WhiteHat Jr, Specadel Technologies, Tangible Play Inc (Osmo), Span Thoughtworks Private Limited (Vidyartha), BYJU’s Inc, and BYJU’s Pte Ltd.