Edtech major Think and Learn, operating under the Byju’s brand, on Tuesday said its operational loss widened to Rs 6,679 crore in FY2022, mainly due to losses incurred by subsidiaries White Hat Jr and Osmo.

Think and Learn posted an operational loss (EBITDA) of Rs 4,143 crore in FY 2021. Revenues more than doubled to Rs 5,298.43 crore in FY22 from Rs 2,428.39 crore in FY21.

“Underperforming assets were primarily White Hat Jr (WHJ) and Osmo (Tangible Play), which amounts to 45 per cent of the losses at around Rs 3,800 crore,” Byju’s said.

Excluding WHJ and Palo Alto-based edtech start-up Osmo, Byju’s recorded a three-fold growth year-on-year in its total income in FY22.

Byju’s subsidiaries Aakash and Great Learning grew 40 per cent and 77 per cent, respectively, immediately after the acquisition.

Aakash’s revenue increased by 40 per cent to Rs 1,491 crore in FY22 from Rs 1,065 crore in FY21. Great Learning posted an 80 per cent rise in revenue to Rs 628 crore in FY22 against Rs 354 crore in the preceding fiscal.

The auditor has observed that a material uncertainty exists that may cast significant doubt on the company’s ability to continue as a going concern due to continuing net losses from operations and accumulated losses.

Funds at lower valuation

Byju’s plans to raise funds at a lower valuation of $7-8 billion, a senior company executive said on Tuesday.

Byju’s India chief financial officer Nitin Golani said the company is in need of funds and plans to raise it at a lower valuation to make the offer lucrative for investors as well as ensure adequate liquidity support for the edtech firm.

PTI