WhiteHat Jr reports first full year earnings, FY20 losses widen

WhiteHat Jr reports first full year earnings, FY20 losses widen
Photo Credit: 123RF.com
5 Mar, 2021

Edtech startup WhiteHat Jr, which was acquired by Byju’s in a mega deal worth $300 million in August 2020, has posted its first full year earnings-- for the financial year 2019-2020 (FY20).

The company’s revenue from operations stood at Rs 16.2 crore, in FY20 against Rs 6.7 lakhs in FY19 – during a period where WhiteHat Jr was operational for only five months. It earned an additional of Rs 1.72 crore from interest on fixed deposits in FY20.

WhiteHat Jr saw its losses widen to Rs 53.3 crore during FY20 against Rs 2.6 crore in FY19.

The coding startup’s total assets grew to Rs 64.2 crore in FY20. Mumbai-based Whitehat Education Technology provides online coding language courses for children under the brand WhiteHat Jr. 

In FY20, the company spent the most in business promotion, commission and incentive payments at Rs 23.8 crore against Rs 32.3 lakhs spent in FY19.

Employee benefits expense was the second most expensive area for the company which stood at Rs 21.3 crore. Out of this, Rs 6.06 crore was spent on employee stock option plan (ESOP).

The total expenditure for WhiteHat Jr in FY20 was at Rs 71.24 crore including Rs 10.95 crore paid to the teachers as salaries and Rs 8.65 crore paid as legal and professional fees.

Karan Bajaj led WhiteHat Jr spent Rs 4.39 to earn a single rupee of operating revenue in FY20.

In December 2020, WhiteHat Jr hired four senior executives to strengthen its leadership team.

Read: Whitehat Jr’s 18-month valuation sprint from $6 mn to $300 

Founded in November 2018, WhiteHat Jr teaches coding fundamentals such as sequence, structure, logic, commands and algorithmic thinking to kids aged between six and 14.

Other edtech companies that recently reported their earnings include Vedantu and Unacademy.