Think & Learn Pvt Ltd-owned edtech unicorn BYJU’S has posted a revenue of $69.4 Mn (INR 490 Cr) for the FY 2017-18, a 97% jump since FY 2016-17, according to financial data reviewed by business intelligence platform, Tofler.
According to Tofler, BYJU’S reported a net loss of $4.1 Mn (INR 29 Cr) during the same financial year, a 53% decrease from the previous year. The company’s total expenses were $73.6 Mn (INR 519 Cr) during the FY 2017-18. Further, the startup is mulling to score $198.4 Mn (INR 1,400 Cr) revenues in FY19.
A month back, BYJU’S had given a fillip to India’s edtech industry by achieving a whopping $4 Bn valuation after it raised $540 Mn Series F funding led by South African venture capital firm Naspers, with a significant contribution from Canada’s Pension Plan Investment Board (CPPIB).
At the time, Inc42 had quoted startup’s founder Byju Raveendran saying that the collaboration with Naspers and CPPIB was sealed for a long-term business.
BYJU’S had announced to utilise the raised funds in introducing more innovative technology solutions to its platform, foray into international edtech markets, personalise its learning experience for the users, including a roll-out of vernacular contents in regional languages such as Gujarati, Marathi and Tamil.
The startup earlier claimed to have crossed the $14.1 Mn (INR 100 Cr) monthly revenue mark in May 2018. At the time, BYJU’S published a statement stating that it has been growing at a 100% CAGR for the last three years since its inception in 2015. The startup further projects its revenue to increase at a 32.6% CAGR, reaching $242 Mn (INR 1,743 Cr) by 2022.
Divya Gokulnath and Byju Raveendran founded BYJU’S in 2008, but it was in 2015 the founders had launched the online learning app. BYJU’S, which follows a freemium business model, reportedly had 20 Mn registered users, with 2 Mn paid subscribers, until last month. The startup provides learning materials to students from Classes IV-XII along with study materials for competitive exams. Plans are afoot for BYJU’s to add courses from Class I-III as well.
The startup has also acquired Tutorvista and Edurite from Pearson. It has also acquired Bengaluru-based math learning startup Math Adventures, and student assessment platform Vidyartha as part of its expansion plans across Indian cities. The startup is also said to be in amalgamation with Mumbai-based edtech company ZEUS Learning.
Edtech: Improving Learning Experiences
The popularity of edtech has increased so much that the online education of India is poised to touch $1.96 Bn by 2021 in terms of revenue generation from where it stands now at $247 Mn.
According to a June 2018 report by CARE, ‘Overview of the Indian education industry’, of the total student population, 36% senior secondary students (classes IX-XII) opt for online coaching, followed by upper primary students (classes VI-VII) at 26% and primary at 22%.
In terms of funding, as per Inc42 DataLabs, India’s edtech startups raked $642 Mn across 49 deals as on December 12, with Naspers, India-focussed equity firm Gaja Capital Partners, VC firm Sequoia India, global equity firm Saif Partners emerge as top investors.
It is worth noting that even as India moves rapidly towards digitalisation, traditional education remains significantly backward in terms of equipping students with required skills. On the other hand, the lack of awareness of edtech products and devices remains a challenge resulting in a slow adoption rate. India could do with more edtech startups such as BYJU’s to help transform its education sector.