Byju’s has been entangled in disputes involving financial reporting delays, sales tactics, layoffs, and funding issues. The founder and CEO of the edtech giant, Byju Raveendran, has acknowledged it in an recent interview.
The year has been rough for India’s most valued startup. Byju’s, once the poster child of the edtech sector, has come under fire on numerous fronts.
Questions about its aggressive sales techniques have reappeared, stakeholders have been alarmed by a year-long delay in releasing its FY21 annual report, a high number of layoffs have occurred, and its fundraising engine has been said to be failing.
The edtech giant’s Founder, Byju Raveendran, acknowledged Byju’s latest troubles, saying, “The previous 6 months have been incredibly trying and humiliating. It can’t get much more difficult than this. And if this doesn’t ruin us, I don’t know what will.”
While he was quick to dismiss concerns about the company’s accounting processes, finance issues, and sales equipment, the edupreneur (educator and entrepreneur) had a perpetual smile on his face. He was upset that the company’s activities were misconstrued.
Byju’s has announced a 14% decrease in revenue to $327 million in FY21.
It stated that a large portion of its sales was not recognized in the revenue figure owing to a change in accounting standards, and about 40% of revenue was delayed to later years.
During the interview, Raveendran stated, “Despite everything that has been published about the firm, no investor has sold our shares in the previous six months. This demonstrates that we have been doing things correctly.”