Unacademy has laid off 250 employees in a restructuring move aimed at streamlining operations and enhancing business efficiency. CEO and co-founder Gaurav Munjal reassured stakeholders via a post on X, emphasizing that the company is focusing on long-term growth and profitability despite the layoffs.
Munjal addressed circulating rumors, stating, “We are building Unacademy for the long run,” and assured that Unacademy is on track for its best year in terms of growth and profitability. He also mentioned that the company has many years of runway ahead, urging followers to ignore the rumors.
These remarks followed a report from The Morning Context, which claimed that Unacademy, last valued at $3.4 billion, had approached multiple education companies for potential mergers or acquisitions. Earlier in the year, Unacademy had laid off 10% of its workforce to cut costs, and its group firm PrepLadder also let go of 145 employees in May.
A company spokesperson stated, “As part of our ongoing efforts to streamline operations and enhance business efficiency, we have recently undergone a restructuring exercise. This was necessary keeping in mind the company’s goals and vision for the year, as we focus all our efforts on sustainable growth and profitability. Consequently, some roles have been impacted. While this transition won’t be easy, we will be supporting all impacted individuals during this transition.”
This restructuring comes shortly after the departure of Unacademy co-founder and Chief Technology Officer Hemesh Singh. According to Layoffs.fyi, this latest round of layoffs brings the total number of tech industry layoffs this year to 99,737 employees across 347 companies globally.
In the financial year 2022-23, Unacademy’s operating revenue increased by 26% to Rs 907 crore, while its losses narrowed by nearly 40% to Rs 1,004 crore. The company has not yet filed its audited annual report for FY24.
