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Blackstone-backed edtech firm Simplilearn saw its revenue from operations double in FY23 while its losses widened due to rising expenses.

According to its recent consolidated financial statements, the California- and Bengaluru-based company clocked Rs 683.9 crore in revenue from operations in FY23—up 50.2% from the Rs 455.2 crore earned in FY22.

Its consolidated loss widened 36.5% to Rs 244.2 crore in FY23 from Rs 178.8 crore incurred in the previous financial year. The losses ballooned as the firm spent Rs 301.5 crore on advertising promotional expenses in FY23—its largest expenditure category—recording a 29% rise from Rs 233.7 crore in the previous year.

The upskilling platform’s total revenue—including interest income from fixed deposits and current investments amounting to Rs 16.6 crore—reached Rs 700.6 crore in FY23.

Meanwhile, its expenses surged 46.8%, touching Rs 944.3 crore in FY23 compared to Rs 643.2 crore reported in FY22. Simplilearn also witnessed a 41.8% surge in employee benefits expense in FY23—making it the company’s second significant cost at Rs 288.6 crore compared to Rs 203.4 crore in the previous year.

The FY23 results come amid media reports indicating that the edtech firm has implemented a workforce reduction, a move akin to other edtech companies in the industry.

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The company, in a statement, expressed its aim to achieve operational profitability and positive cash flow in FY24. “As we progress, our strategic focus includes enhancing our footprint in the US and intensifying our growth efforts in the APAC markets. Strengthening our B2B initiatives, we also remain receptive to acquisitions that align seamlessly with our business values…,” said Krishna Kumar, Founder and CEO of Simplilearn.

In the current fiscal year, Simplilearn acquired Fullstack Academy, a US-based bootcamp education company, in an all-cash transaction. A few days before the announcement, Simplilearn had raised $45 million in funding from a consortium led by GSV Ventures. 

In July, NYSE-listed Blackstone had acquired a majority stake in Simplilearn for $250 million. The deal provided the edtech startup’s investors with an almost 7X return on their investments following their exit.

Founded in 2010, Simplilearn offers access to work-ready training to individuals and businesses globally.