Blog

Edtech major Unacademy has claimed to have reduced its cash burn by 60% and has a runway of over four years with its current cash reserves, according to a post by CEO and co-founder Gaurav Munjal.

In a post on X (formerly Twitter), he highlighted that the company achieved positive cash flow during the April-June quarter of the current fiscal year.

However, the online business of the edtech company witnessed a 30% decline, while the EBITDA (earnings before interest, taxes, depreciation and amortisation), a metric indicating core operational efficiency, exhibited an 87% improvement, as per Munjal.

Unacademy-owned Graphy—a SaaS platform for creators and educators that helps in growing their online brand and business—grew by 30% and is very close to profitability, claimed Munjal.

In June, Graphy acquired Singapore-based community platform Scenes to enhance its offerings and expand its reach in the creator ecosystem. A few months later, Sumit Jain, the Co-founder and CEO of Graphy, was promoted to a partner role at Unacademy.

Unacademy’s chief also noted that the learner count at its centres increased to 32,000 in 2023 from 6,000 in 2022.

@media (max-width: 769px)
.thumbnailWrapper
width:6.62rem !important;

.alsoReadTitleImage
min-width: 81px !important;
min-height: 81px !important;

.alsoReadMainTitleText
font-size: 14px !important;
line-height: 20px !important;

.alsoReadHeadText
font-size: 24px !important;
line-height: 20px !important;

Also Read

BYJU’S plans to hold AGM to discuss audited FY22 financials, other matters

Back in April, Munjal had highlighted that Unacademy’s revenue from offline centres had surged to Rs 400 crore in CY23, a substantial 655% increase from Rs 53 crore in CY22. At that time, Unacademy asserted its progress toward achieving group-level profitability for the calendar year 2023, citing a registered revenue of Rs 1,250 crore compared to Rs 992 crore in the preceding year.

The Bengaluru-based firm has witnessed a jump in revenue through sharp growth in its offline business. However, the revenue from the online test preparation segment—its core business—has dropped.

Munjal has shared these recent figures on X against the backdrop of a wave of senior-level departures from the company, with the latest being the exit of CFO Subramanian Ramachandran.

Meanwhile, the edtech unicorn has implemented various cost-cutting measures, including multiple rounds of layoffs and senior leadership salary reductions, to enhance the profitability of its operations.

Unacademy clocked a loss of Rs 2,848 crore for FY22. The unicorn’s losses widened by 85% since the previous fiscal year when it reported a loss of Rs 1,537.4 crore. It is yet to disclose its financial results for the fiscal year 2022-23.