Edtech company Unacademy has Rs 1,800 crore in their bank and has a runway of four years, the company’s co-founder and CEO Gaurav Munjal said in a note to the internal team via Slack. Entrackr has reviewed the copy of the memo.
According to Munjal, the runway will increase to eight years by next year as the company will further reduce its burn. In the ongoing calendar year, it claims to have reduced its burn by 60%.
Unacademy saw a 30% decline in online classes but it has improved its EBITDA by 87%. Graphy, an all-in-one platform built for course creators, coaches and teachers, grew by 30% and is very close to profitability, according to Munjal.
Meanwhile, Unacademy Centres has recorded 32,000 learners in 2023, a more than five-fold jump from 6,000 learners in 2022.
Earlier, Unacademy-owned Graphy said that it turned operationally profitable for the month of December 2022.
In April, the company claimed that it is close to profitability at the group level. However, the SoftBank-backed company was among the top loss making unicorns list as of FY22. The firm is yet to file its annual report for FY23.
For FY22, Unacademy registered 80.7% jump in its revenue to Rs 719 crore in FY22. Losses of the company increased at the same pace and spiked over 85% to Rs 2,848 crore as compared to Rs 1,537 crore in FY21.
The company was also going through layoffs in the 2022-23 period and fired 1,500-2000 employees in the restructuring exercise.
Unacademy last raised $440 million in Series H round at a valuation of $3.44 billion. It is the second most valued edtech company in the Indian startup ecosystem. Byju’s, which was valued at $22 billion in October last year, recently saw a mark down in its valuation by more than 86% to less than $3 billion by its investor Prosus.