BYJU’S-Owned Aakash: FY22 Profits Hit INR 80 Cr, Sales Exceed INR 1,400 Cr Milestone

BYJU’S-Owned Aakash: FY22 Profits Hit INR 80 Cr, Sales Exceed INR 1,400 Cr Milestone

Aakash Educational Services Ltd., the shining star in BYJU'S turbulent edtech galaxy, has defied industry woes to report a remarkable 82% surge in earnings for FY22. This stellar performance stands in stark contrast to the parent company's ongoing financial struggles, highlighting the stark realities of India's edtech landscape.

Aakash, known for its extensive network of offline coaching centers, raked in a hefty INR 79.5 Cr profit, leaving its FY21 earnings of INR 43.6 Cr in the dust. This impressive feat wasn't just a one-off; it marks the institute's first financial year under BYJU'S ownership and showcases the resilience of its offline model amidst pandemic recovery and a shift back to in-person learning.

Despite its stellar showing, Aakash remains caught in the maelstrom engulfing BYJU'S. The edtech behemoth, still awaiting regulatory approval for its FY22 financials, faces mounting challenges, including potential layoffs, legal disputes, and investigations.

Here's a closer look at Aakash's performance and BYJU'S struggles:

Aakash shines:

  • 82% leap in earnings to INR 79.5 Cr in FY22

  • 45% hike in revenue to INR 1,421.2 Cr

  • 39% increase in overall income to INR 1,464.3 Cr

  • Increased investments in advertising and employee benefits

BYJU'S stumbles:

  • Rumors of selling Aakash to raise funds

  • Wave of layoffs to cut costs and bolster cash reserves

  • Delay in FY22 financial reporting

  • Investigation by Enforcement Directorate for alleged FEMA violation

  • Legal dispute with BCCI over Indian cricket team's jersey sponsorship

While Aakash seems to be weathering the storm, BYJU'S future remains uncertain. With investors losing confidence and legal entanglements mounting, the edtech giant needs to chart a clear course towards stabilization and financial transparency to reclaim its once-glittering image.

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January 15, 2024

Kalpana Maurya