The San Francisco and Bengaluru-based overseas education startup Leap reported a net loss of INR 69.1 crore in the financial year 2021-22 (FY22), which is 18.2 times higher than the previous year’s loss of INR 3.8 crore. The company’s operating revenue grew 3.7 times to INR 23.5 crore from INR 6.4 crore in FY21, with a majority of revenue coming from overseas business. However, Leap’s expenses grew at a faster pace than revenue, with total expenses surging nine times to INR 92.7 crore in FY22 from INR 10.2 crore in the previous fiscal year.
The startup’s employee benefit expenses rose 6.8 times to INR 41.7 crore in FY22 from INR 6.1 crore in FY21. Leap offers counselling services, visa services, credit for overseas education, and other bespoke financial products as well as solutions through its LeapScholar and LeapFinance offerings. The company raised $75 million (INR 585 crore) in its Series D funding round led by Owl Ventures last year and has raised over $150 million to date.The statement mentions that among the big edtech startups, Vedantu’s net loss widened to INR 696.2 Cr in FY22 from INR 616.2 Cr in FY21. It also mentions that BYJU’S reported a 19.8X increase in its net loss to INR 4,588 Cr in FY21, but it is yet to file its financial statements for FY22. Additionally, Teachmint reported a 24X surge in its net loss to INR 131.70 Cr in FY22 from INR 5.52 Cr in FY21.Teachmint, an edtech startup, reported a significant increase in its net loss, which surged by 24 times to INR 131.70 Cr in FY22 from INR 5.52 Cr in FY21. Additionally, despite the struggles faced by edtech startups, the founders of the top eight platforms received an average salary hike of 46% in FY22 compared to FY21.