Following the departure of Deloitte as its auditor and delays in filing its financial statements, has reportedly offered investors reassurance and confirmed its intention to submit audited financial statements for FY 2022 by September, and FY 2023 results by December this year.
According to Reuters, to address concerns surrounding the edtech firm’s financial affairs, BYJU’S leadership, including founder Byju Raveendran and Chief Financial Officer Ajay Goel, conducted a briefing with approximately 75 shareholders on Saturday.
During the briefing, Goel reiterated the company’s intention of submitting audited results for FY22 to Indian regulators by September, while also assuring investors that earnings for FY23 will be submitted by December, the report added.
YourStory could not independently verify the report and has reached out to BYJU’S for a comment.
The development comes after auditing firm Deloitte Haskins & Sells resigned as BYJU’S and Aakash’s statutory auditor. Deloitte attributed its resignation to the delay in the company filing its FY22 financial statements.
On Thursday, BYJU’S appointed BDO (MSKA & Associates) as its statutory auditor for five years, commencing from FY22.
In April, BYJU’S appointed Ajay Goel as Chief Financial Officer amid a delay in filing the FY22 financials with the Registrar of Companies. On Thursday, BYJU’S said that the selection of BDO as its auditors was finalised after a “rigorous selection process” by Goel.
In FY21, the edtech company’s losses rose to Rs 4,564.38 crore—significantly greater than its loss of Rs 305.5 crore in FY20.
Meanwhile, the edtech firm is dealing with the repercussions of its board members stepping down and facing legal battles concerning a $1.2-billion term loan B (TLB).
Late Friday evening, Peak XV Partners’ GV Ravishankar, Prosus’s Russell Dreisenstock, and Chan Zuckerberg Initiative’s Vivian Wu—three key board members of BYJU’S—officially resigned from the board of the edtech firm.
BYJU’S initially refuted reports about the resignation of the three board members. However, on Friday, the company acknowledged that “a few investors had to vacate the board seat.”
With the firm juggling increasing losses, layoffs, and pending loans after the end of the pandemic-led boom, another Reuters report revealed that employees at BYJU’S are experiencing low morale, leading many to actively seek alternative job opportunities out of fear of unexpected job losses.
BYJU’S recently initiated another round of job cuts, people familiar with the development told YourStory. According to a source close to the company, the workforce reduction move will impact more than 1,000 people.
