Edtech major Eruditus reports Rs 3,733 crore revenue in FY24; EBITDA loss declines by 83%

Global edtech firm Eruditus ended the financial year 2023-24 with revenue of Rs 3,733 crore, marking a 12% increase from Rs 3,322 crore in the previous year.

The Mumbai-based firm, which follows a July-June fiscal calendar, has also substantially reduced its EBITDA losses by 83%, dropping from Rs 417 crore in FY23 to Rs 69 crore in FY24.

Eruditus' revenue places it at the top of India's edtech landscape, ahead of PhysicsWallah and upGrad. PhysicsWallah logged Rs 2,015 crore in FY24, while upGrad reported Rs 1,487 crore in the same period.

The firm focuses on executive and higher education programs and has partnerships with more than 80 universities across the United States, Europe, Latin America, Southeast Asia, India and China.

Reduced losses and expense optimization

Much of Eruditus' improved bottom line came from lower marketing and operating costs. Marketing expenses fell to Rs 1,007 crore in FY24 from Rs 1,241 crore in FY23, while other operating expenses declined to Rs 1,045 crore from Rs 1,541 crore.

As a share of revenue, marketing dropped from 29% to 27%, and operating expenses slid from 36% to 28%. These measures helped bring down losses, with adjusted EBITDA losses shrinking to Rs 69 crore from Rs 417 crore in the previous year.

Deferred revenue and future plans

While the company did not provide a detailed geographic breakdown, it noted that Rs 800 crore in collected revenue will be deferred to the next fiscal year. Eruditus aims to reach $520-$530 million (roughly Rs 4,330-Rs 4,420 crore) in revenue in the current financial year.

Its co-founder and CEO, Ashwin Damera, has previously said the company hopes to surpass $1 billion in revenue within five years.

Eruditus claims to have served more than a million learners in over 80 countries and has raised over $1 billion in equity and debt. The company's backers include TPG, the Chan Zuckerberg Initiative, SoftBank Vision Fund 2, Prosus Ventures, Accel and Peak XV.