Edtech startup Teachmint has laid off nearly 70 employees in what appears to be a second leg of layoffs at the Bengaluru-based company, according to two sources aware of the details. In December 2022, the startup had let go of 45 employees or nearly 5% of its workforce.
“The layoffs include almost all departments including marketing, tech, product and operations,” said one of the sources requesting anonymity as this person isn’t allowed to speak to the media.
Teachmint confirmed the development to Entrackr.
“Some roles have been unfortunately impacted as we work on increasing structural efficiencies in our operations. We have proactively communicated to the impacted colleagues and are working on providing them comprehensive support,” a company spokesperson said in a statement.
Affected employees are given some severance benefits, including three months of payroll support, six months of continued health insurance and access to mental health counselor, added the spokesperson.
Founded in May 2020, Teachmint used to be known for its software infrastructure to help teachers and educators digitize their classrooms. The company, however, pivoted to a new model wherein it offers software solely focused on schools.
While Teachmint remained a pre-revenue stage company until FY22 and only started monetising in FY23, its losses widened 25X to Rs 131 crore in the fiscal year ending March 2022. It made only Rs 77 lakh from ops during the same period.
Co-founder and chief executive Mihir Gupta had told Entrackr that the company’s revenue wheel had picked up pace and will post sizable revenue in FY23 as well as FY24.
Teachmint has raised a little over $100 million in total funding, including a $78 million worth Series B round in October 2021. According to Fintrackr, it was last valued at around $500 million.
This morning, SoftBank-backed Meesho said it had laid off over 250 employees, which is approximately 15% of its workforce, as part of efforts to achieve profitability. This is also Meesho’s second round of layoff – in August 2022, shut down its grocery business Farmiso and integrated it into the core Meesho app. This move led to lay off of nearly 300 employees.