Mumbai headquartered education loan startup Eduvanz posted a 78% rise in its scale to Rs 53.4 crore in FY23. This was a considerable growth as compared to the approximate Rs 30 crore that was generated the preceding fiscal year.
While close to Rs 50 crore came in from operations in FY23, its saw a majority of the revenue coming in from discounts earned and the interest generated from the loans sold.
Commissions contributed over Rs 11 crore the same year while processing fees received was close to Rs 6 crore.
The eight year old firm last raked in about Rs 105 crore in its Series B round held in late 2022. While the round was led by Rethink Education Ventures, it saw significant support from the likes of Sequoia Capital, Juvo Ventures, and Unitus Ventures.
Sequoia Capital became the fintech’s largest shareholder post the round and close to 18% shares were set aside as ESOP and MSOP.
Unitus Ventures and Juvo Ventures were also notable stakeholders holding over 16% and close to 8% shares of Eduvanz respectively.
The same year, it had secured a debt round of Rs 50 crore from the likes of Vivriti Capital and Mas Financial Services.
As for the company’s major expenses, employee benefits took up a major chuck of over 45% of the overall expenditure. Finance costs and commissions paid followed contributing about 30% and close to 3% respectively.
As for the total expenses of the fiscal year, the gap widened about 82% to Rs 95.5 crore as compared to FY22’s Rs 52 crore.
Founded by Varun Chopra and Raheel Shah, Eduvanz provides loans to students to finance their school, coaching, and test prep fees. It also offers loans to salaried and self-employed individuals looking for funds to upskill.
It works with training partners, corporates and certification providers across more than 15 sectors to provide innovative financial solutions to students and skill-seekers.
The company’s losses amounted to Rs 43 crore, an 86% jump from FY22’s Rs 23 crore. Both its EBITDA and ROCE improved to -26.85% and -5.76% respectively.