Edtech startup Newton School recorded 14% growth in its top scale to Rs 24.4 crore in the fiscal year ending March 2023. Over 69% of this was contributed by operations the same year.
Previously in FY22, it generated a revenue of Rs 21 crore with more than 95% of it coming in from operations.
Based out of Bengaluru, Newton School is an income-sharing based online coding trainer platform that provides courses that are skill-oriented to help them land jobs in leading organizations and startups.
The school’s business model is inspired from Lambda’s approach where they only start taking a fee once the student gets a job after the course, through the income-sharing agreement.
Its expenses for the fiscal ballooned 2.6X to touch Rs 107 crore from the preceding fiscal’s Rs 41 crore.
While employee benefits cost over Rs 42 crore, advertisement and promotional costs added more than Rs 21 crore to the company’s total expenditure. Legal charges cost close to Rs 9 crore the same year.
The five-year-old firm last raked in over Rs 190 crore in its Series B round. Held in the early months of 2022, the round was led by Steadview Capital.
While Nexus Ventures held over 25% of the firm’s shares post infusion, founders held equal shares of about 18% each.
Its losses for FY23 spiked over four fold to Rs 82.6 crore as compared to FY22’s Rs 19 crore. Its currently EBITDA and ROCE are at -335.14% and -63.92% respectively.