Edtech unicorn PhysicsWallah names Amit Sachdeva as CFO ahead of IPO
Amit Sachdeva’s appointment comes as the Noida-based edtech firm gears up for its initial public offering (IPO), where he will lead the company’s strategic and financial initiatives.
IPO-bound edtech unicorn (PW) has named former Blinkit CFO Amit Sachdeva as its new chief financial officer.
Sachdeva’s appointment comes as the Noida-based edtech firm gears up for its initial public offering (IPO), where he will lead the company’s strategic and financial initiatives.
Under his leadership, PhysicsWallah aims to strengthen its financial oversight and planning, drive sustainable growth, and further its mission of providing quality education, it said in a statement.
“Amit’s experience in financial leadership and his focus on robust corporate governance will be invaluable as we continue our efforts to grow and broaden our educational impact. His approach to finance as a transformative tool aligns with PW’s goals,” remarked Alakh Pandey, Founder and CEO of PhysicsWallah.
With a background in finance, Sachdeva has worked across various industries, including consumer tech and IT/ITeS, and has held leadership roles at organisations such as IGT Solutions, Blinkit, and Wipro prior to joining PW.
Since January 2023, Sachdeva has served as the CFO of IGT Solutions. Prior to that, he was the CFO and Head of Finance at Blinkit (formerly Grofers) for over three years, from July 2019 to August 2022.
“Joining PhysicsWallah is a great opportunity to support an organisation seeking to make education accessible to so many,” Sachdeva, a Chartered Accountant from the Institute of Chartered Accountants of India and a Certified Public Accountant in the US, said.
Financial health
This development follows the edtech firm’s financial results for FY 2023-24, which came out last week.
PW saw its losses widen significantly in FY24, fuelled by a sharp rise in employee benefit costs and other expenditures, casting a shadow over a 2.6-fold increase in operating revenue.
The heavy losses come on the back of the edtech company’s rapid expansion over the past couple of years. PW, which initially focused on the test-prep segment, has rapidly diversified its educational offerings over the past few years to encompass everything—from school education to skills training—casting its learning net over a wide base of learners.
The Alakh Pandey-led firm reported a consolidated loss of Rs 1,131.3 crore in FY24, up 13.5X from Rs 84.1 crore recorded in the earlier fiscal period.
The reported losses were impacted by non-cash adjustments, such as Compulsorily Convertible Preference Shares (CCPS) amounting to Rs 756 crore, according to the company.
After excluding the non-cash adjustment, the company’s actual cash losses come to approximately Rs 375 crore, up 4.4X.
The company had remained the only profitable edtech firm until FY22, while steadily growing its top line.
The startup’s total income reached Rs 2,015.1 crore, up 160.8% increase year-on-year (YoY). For context, BYJU’S surpassed the Rs 2,000 crore revenue mark in FY20 and Eruditus in FY23, while PW achieved this milestone in its fourth year of operations. BYJU’S was incorporated in 2011, Eruditus in 2010, and PW in 2020.
In September, PW raised $210 million in a Series B funding round led by investment firm Hornbill Capital, with a sizable participation from venture capital firm Lightspeed Venture Partners. This was a significant milestone given the scarcity of substantial deals in India’s edtech sector lately.
With the latest funding round, PW’s post-money valuation has soared to $2.8 billion, making it the third-most valued edtech firm, trailing only Unacademy ($3.4 billion) and Eruditus ($3.2 billion), based on their last valuations.
Edited by Megha Reddy