Joining the long list of Indian startups that have been trimming their headcount to cut costs, Bengaluru-based edtech startup Scaler has laid off around 150 employees, or around 10% of its workforce, citing its further goal to achieve “long-term growth” and “sustainability”.
Confirming the development to Inc42, Scaler founder Abhimanyu Saxena said,“….As part of this restructuring, we identified some functions/roles, primarily in marketing and sales, in the company that we had to part ways with. I want to reiterate that this was not a performance-driven decision and assure all those affected are provided with the necessary support to ensure a smooth transition.”
The fresh development comes almost a year after the startup acquired Delhi-based Pepcoding for an undisclosed amount to strengthen its business ecosystem.
In the last two years, it is the fourth acquisition by Scaler following the buyouts of AppliedRoots, Coding Minutes and Coding Elements.
It is pertinent to mention here that the startup acquired AppliedRoots for a whopping $50 Mn in 2022.
Founded in 2014 by Anshuman Singh and Saxena, Scaler aims to offer high-quality technical education by tech leaders and subject matter experts from various tech giants, including Google, Facebook, Intuit, Microsoft, Amazon, Hotstar and Snapdeal.
The startup had last raised $55 Mn in a Series B funding round led by Lightrock India, along with Peak XV Partners and Tiger Global, among others. The round valued the startup at over $700 Mn.
Since then, the startup has been in the market to raise capital, however, it seems it has failed to materialise any funding deals.
To date, the startup has raised over $76 Mn in funding.
If we talk about financials, the startup’s loss surged by 90% year-on-year to INR 330 Cr, while the revenue increased by 380% to INR 318 Cr. In FY23, the startup’s advertising expenditure increased by 129% to INR 143.3 Cr.
