Byju’s on Wednesday posted a 13-fold widening in losses in the year to March 2021. The Indian online education platform’s losses have reportedly increased to Rs. 45.7 billion for the financial year 2021, while the Bengaluru-based firm reported revenue of Rs. 24.3 billion. Byju’s released the financial statements after a delay of 18 months, and reportedly cited changes in accounting practices that caused it to defer revenue to subsequent years as the reason for performance in FY21. It has also released unaudited numbers for the year through March. The four months to 2022 and beyond are indicating an increase in sales.
according to a report good By Bloomberg, Byju’s reported a loss of Rs. 45.7 billion for the fiscal year ended March 2021. According to the company, a change in accounting practices by deferring revenue to later years is the reason for the reported loss.
Founder Byju Raveendran reportedly said that the delay was due to multiple acquisitions as well as changes to the revenue recognition model, which required resale of the model for revenue. “Ultimately, Deloitte went deep into the numbers because of the attention we paid to our audits over the past three months. The numbers have been passed unconditionally,” the report quoted Raveendran as saying in an interview.
Meanwhile, sales during the year ended March 2022 grew four times to nearly Rs. 100 billion after recording a revenue of Rs. 24.3 billion in the previous year, according to the report.
Revenue in the first four months of the current financial year stood at Rs. 45 billion, Raveendran said, with sales set to grow at over 50 per cent this year.
Byju’s, backed by Bond Capital, Silver Lake Management, Naspers and Tiger Global Management, was being investigated by the central government over delays in submitting audited financial reports. In recent years, the company bought startups that offer coding lessons, professional learning courses, and more. According to Bloomberg, the startup was recently valued at $22 billion (about Rs 1,74,800 crore).