upGrad trims losses sharply in FY25 even as revenue growth slows
While growth has cooled sharply compared to previous years, the company has managed to significantly improve its bottom line. upGrad's net loss shrank 51% to ₹273.7 crore, compared to ₹559.9 crore in FY24.
Temasek-backed edtech major upGrad narrowed its losses and recorded modest revenue growth in FY25, the company's statutory disclosures showed.
Consolidated revenue rose 5.5% to ₹1,569.3 crore in FY25, up from ₹1,487.6 crore in FY24, upGrad's filing with the Registrar of Companies (RoC) showed. The improvement was led by a sharp reduction in spending, as the company prioritizes profitability ahead of an earlier stated goal to list in the public markets around mid-2026.
Net loss shrank 51% to ₹273.7 crore, compared to ₹559.9 crore in FY24. upGrad is also inching towards operational profitability, as its consolidated operating loss (Ebitda) fell to ₹65.4 crore in FY25, down nearly 81% from ₹344 crore in the previous year.
However, in an email response to Mint, Screwvala said upGrad includes other income in Ebitda under Ind-AS norms and the company has already turned operationally profitable.
This comes at a time when the Ronnie Screwvala-led company is actively courting large acquisitions in the test preparation and K-12 space. The edtech has submitted an expression of interest to acquire Byju’s parent Think & Learn, Economic Times reported on 14 November. This came after Moneycontrol reported that upGrad is in discussions to buy Unacademy in a $300–$400 million share-swap deal.
In FY25, the company went through major leadership changes, with Mayank Kumar stepping down as the company's managing director to start his own venture. The company also raised a $60 million series C funding from Temasek. The round took its total funding to close to $329 million, including from other investors like EvolutionX, IFC and 360 One.
Total consolidated expenses dropped 8% to ₹1,942.6 crore in FY25 (from ₹2,112.3 crore in FY24), with the largest decline coming from “other expenses," which fell from ₹1,088.8 crore to ₹930.2 crore.
Employee costs—traditionally the sector's biggest cost centre—also dipped to ₹703.7 crore from ₹741.3 crore a year earlier.
On a standalone basis, the company reported 5.6% revenue growth, with standalone revenue rising to ₹1,074.5 crore, compared to ₹1,018 crore in FY24. Standalone net loss narrowed to ₹333.2 crore, from ₹473.5 crore last year.
Despite the progress, finance costs continued to weigh on profitability. Interest expenses rose to ₹127.2 crore on a consolidated basis (versus ₹86.2 crore in FY24).
The company, however, said that higher interest expenses were due to lease-related Ind-AS entries, and not increased borrowing. “Of the ₹127 crore interest cost in FY25, ₹69 crore relates to lease accounting, so the actual financial interest cost is ₹58 crore," said chief financial officer Venkatesh Tarakkad.
As schools reopened in 2022 after the covid pandemic receded, demand for online learning fell, prompting investors to pull back capital and triggering an extended funding winter. Once-dominant edtech companies have since battled plummeting valuations and executed mass layoffs, while numerous smaller startups have shut down. However, the sector has shown early signs of recovery in 2025, with investors turning to AI-driven personalization, hybrid learning models and profitable growth.
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