Unacademy elevates Sumit Jain as CEO of Test Prep business

Edtech unicorn Unacademy has named Sumit Jain, co-founder and CEO of its subsidiary Graphy, as the new CEO of its flagship Test Prep business, co-founder Gaurav Munjal announced on X on Tuesday.

“Happy to announce that @sumjain is now the CEO of our Test Prep Business,” Munjal wrote. “I have known Sumit since 12 years when he was the CEO of CommonFloor and he acquired my first company Flatchat. Sumit joined us as CoFounder in 2020 and has been instrumental in significantly improving the Unit Economics of our Test Prep Business and more importantly the Learner Experience.”

Jain who earlier co-founded real estate platform CommonFloor and later Graphy, a Unacademy subsidiary, had joined the company in 2020 after Unacademy acquired his startup Opentalk. He has since been leading initiatives to improve financial discipline and product experience within the test preparation vertical which remains Unacademy’s core business.

The leadership shuffle comes at a time when reports suggest Unacademy’s original co-founders Gaurav Munjal and Roman Saini are preparing to step away from day to day operations to focus on their new venture AirLearn. Hemesh Singh, the third cofounder, had already exited in mid 2023. According to TheKredible, the three founders together held about 15% stake in the company as of its last reported cap table.

Despite a flat revenue trajectory in FY24, Unacademy managed to cut its annual losses by around 62% to Rs 631 crore while also trimming annual cash burn in its core business from over Rs 1,000 crore three years ago to under Rs 200 crore this year.

In April, Munjal had said that the company has around Rs 1,200 crore in reserves, is financially stable, and that units like Graphy and PrepLadder are already generating positive cash flows every month.