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Whitehat Jr and OSMO were the most-underperforming assets of Byju’s, once counted among the world’s most valuable start-ups.
These two assets accounted for nearly 45 per cent of the total losses of the embattled firm. Of the total ₹8,245 crore loss reported by Byju’s for the financial year FY22, ₹3,800 crore came from the two subsidiaries.
Online coding classes for kids, Whitehat Jr, reported a loss (before tax) of ₹2,877 crore compared with ₹1,549 crore in the previous fiscal.
EBITDA loss for the year was ₹2,358 crore, while total income dropped 0.9X times to ₹295.11 crore in FY22 (₹326.67 crore).
Byju’s had acquired WhiteHat Jr in an all-cash deal worth $300 million in 2020, marking its entry into the computer code learning segment, with a focus on high school and college students. However, since 2022, Byju’s has been winding down the coding platform.
The other subsidiary — Tangible Play (OSMO) – followed a similar trajectory and reported a 58 per cent jump in losses (before tax) at ₹946 crore. The total income generated was down 7.8 per cent at ₹553 crore in FY22.
Acquired in 2019 in a deal worth $120 million, the US-based start-up develops apps for kids that use offline input. EBITDA loss stood at ₹852 crore.
Aakash’s revenue
While Whitehat Jr and OSMO dragged, Aakash Education Services and Great Learning clocked in growth for the company.
Byju’s earned ₹1,491 crore total income from Aakash, while upskilling platform Great Learning contributed ₹628 crore in FY22.
The test-prep business, Aakash Institute, reported 82 per cent rise in total profit to ₹79.5 crore for the financial year ended March 2022, while operating revenue during the period grew 45 per cent to ₹1,421 crore.
businessline had reported earlier that the edtech major had put Great Learning up for sale and has held preliminary talks with potential buyers, expecting to fetch about $400 million from the sale of the upskilling platform. Byju’s had paid about $350 million to acquire Great Learning in 2021.
The edtech major’s consolidated revenue surged 118 per cent to ₹5,298 crore in FY22 from ₹2,428 crore in FY21.
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