SUMMARY
- Cuemath’s operating revenue rose by 5% to Rs 126.42 crore in FY24.
- The edtech posted a significant reduction in its losses, dropping by 42.7% to Rs 134.47 crore.
- Cuemath’s total expenses fell by 29.9% to Rs 252.6 crore in FY24.
Google-backed Cuemath‘s operating revenue rose by 5% to Rs 126.42 crore in FY24 from Rs 120.45 crore in FY23, as reported in its annual financial statements submitted to the Registrar of Companies (RoC).
The income from its teaching services saw a 5.5% YoY increase to Rs 125.63 crore in FY24. Its franchise fees dropped by 38.3% to Rs 79 lakhs in FY24, while the income from teacher recruitment fees and book sales remained consistent.
The company’s non-operating income, which includes investment returns and other sources, saw a slight decrease of -2.68% to Rs 5.45 crore in FY24.
The firm offers math classes for students from kindergarten to 12th grade, assisting them in preparing for academic and competitive exams.
The cost of employee benefits was the biggest expense for Cuemath, which saw a 34.2% reduction to Rs 114.2 crore in FY24. The company also managed to cut down on expenses in areas like business support services, foreign exchange, and office costs. As a result, Cuemath’s total expenses fell by 29.9% to Rs 252.6 crore in FY24 from Rs 360.38 crore in FY23.
The edtech posted a significant reduction in its losses, dropping by 42.7% to Rs 134.47 crore. Its ROCE and EBITDA margins remained negative at – 178.79% and -100.12%, respectively. On a per-unit basis, the company spent Rs 2 to generate every rupee of operating income in FY24.
Cuemath has secured $126 million in funding through various rounds and was valued at around $400 million in its most recent funding round. In August 2023, the company announced the layoff of 200 employees in two stages, attributing it to a restructuring initiative. During this period, Cuemath brought back former CEO Manan Khurma to lead the company, while Vivek Sundar, the former CEO, continued in his role as a co-founder.
