Vedantu reduced its loss from Rs 696 crore to Rs 373 crore in one year

Edutech company Vedantu's losses narrowed to 46.4%. 696 crore loss in 2022 financial year has reduced to 373 crore loss in 2023 financial year.

The company has reported a 7.8% decline in operating income, down from Rs 166 crore a year ago to Rs 153 crore in the fiscal year ended in March 2023. According to the annual financial statements filed with the Registrar of Companies (ROC), the Bengaluru-based company's revenue declined from Rs 191 crore in FY2022 to Rs 175 crore in FY2023.

The company's employee benefits emerged as the largest cost center accounting for 56.7% of total expenditure, which declined by 35.8% to Rs 314 crore in FY23. The overall cost of the Tiger Global-backed firm has also come down, from Rs 888 crore in FY2022 to Rs 553 crore in FY2023. This was achieved through cost control on legal matters, advertising, promotions and information technology. The company's advertising and promotion expenses have come down from Rs 182 crore in FY2022 to Rs 76 crore in FY23, with information technology costs estimated at Rs 21 crore in FY23.

Founded in 2011 by Vamshi Krishna, Anand Prakash and Pulkit Jain, Vedantu was poised to become a unicorn startup in 2021 following a $100 million Series E round investment led by Singapore-based ABC World Asia.

According to Tracxn, the company has raised a total of $328 million in funding across 20 funding rounds. In 2022, it acquired Karnataka-based test prep platform Deeksha (Ace Creative Learning) for around $40 million to fuel Vedantu's offline operations.