Sequoia-backed Cuemath is the latest edtech company to conduct layoffs. Employees across all departments including marketing, tech, product and operations have been affected.
The company has fired 100 employees, according to two sources aware of the development. Cuemath has also confirmed the development to Entrackr.
Manan Khurma has also taken over the role of chief executive at the company while Vivek Sundar is transitioning from his full-time role to an advisory capacity. Sundar left Swiggy in October 2021 to join Cuemath as CEO.
“…we are making some changes at Cuemath. Given the need to deeply focus on building a great learning and consumer experience (LCX), I will get back into the role of running the company day-to-day as CEO,” said Manan Khurma, co-founder and newly appointed CEO of the company in a Linkedin post.
“Our current CEO, Vivek Sunder – a phenomenal hyper-scale business operator – will transition from his full-time role to continue to work with me and the team, in an advisory capacity, on his many areas of expertise – like acquisition funnels and GTM strategies,” added Khurma.
In June 2022, the Bengaluru-headquartered edtech firm raised $57 million in a Series C round led by Alpha Wave. The company was valued at around $400 million during the last round.
Cuemath offers one-on-one Math classes for the K-12 segment and helps students prepare for school and competitive tests. For the fiscal year ending March 2022, the firm’s operating revenue grew 63.1% to Rs 148.05 crore from Rs 90.77 crore in FY21. Its losses spiked 66% to Rs 216.6 crore in FY22 from Rs 130.7 crore in the previous fiscal year.
Edtech companies continue to reduce workforce in the ongoing funding winter. Last week, Teachmint fired 70 employees while Reliance-backed ExtraMarks had let go of 300 employees. SoftBank-backed Unacademy and Byju’s also reduced headcount in a bid to cut costs and extend the runway.