upGrad Achieves EBITDA Profitability in FY25 Amidst Strong Revenue Growth

upGrad, a prominent integrated learning and skilling company, has announced it achieved EBITDA profitability for the fiscal year 2025 (FY25). This marks a significant financial turnaround, moving from an EBITDA loss of INR 285 crore in FY24 to a profit of INR 15 crore in FY25. The company reported a total income of INR 1,650 crore for FY25, with a gross revenue of INR 1,943 crore. The company's Profit After Tax (PAT) also saw a substantial reduction, decreasing by 51% from INR 560 crore in FY24 to INR 274 crore in FY25, with non-cash items accounting for INR 169 crore. This improved financial performance is driven by enhanced operational discipline, steady revenue growth, and a strategic focus on efficiency. upGrad's growth was bolstered by a 19% increase in learner enrolments in its consumer segment, largely driven by demand for AI- and tech-focused programs. The enterprise division experienced global expansion, with over 80% repeat business, and a doubling of demand for AI-focused enterprise training. The Study Abroad division also expanded to 10 key destinations. International markets contributed 20-25% of the total revenue. Ronnie Screwvala, Co-founder & Chairperson, highlighted the company's strategic expansion, AI-led portfolio, and founder-funded model as key to achieving profitability and building a category with structural strength. He expressed confidence in achieving a 30% CAGR over the next 2-3 years. Impact: This achievement demonstrates upGrad's ability to scale while focusing on profitability, positioning it as a strong player in the lifelong learning sector. It signals a maturing EdTech market where sustainability is paramount. The news is positive for investors interested in the EdTech and future of work sectors. Rating: 7/10. Difficult Terms: EBITDA: Stands for Earnings Before Interest, Taxes, Depreciation, and Amortization. It is a measure of a company's operating performance, excluding non-operating expenses and non-cash charges. Ind-AS: Indian Accounting Standards, which are converged with International Financial Reporting Standards (IFRS). PAT: Profit After Tax. This is the profit remaining after all expenses, including taxes, have been deducted from revenue. CAGR: Compound Annual Growth Rate. It is the mean annual growth rate of an investment over a specified period of time longer than one year. AI: Artificial Intelligence. The simulation of human intelligence processes by machines, especially computer systems. GCC: Gulf Cooperation Council. A regional intergovernmental political and economic treaty organization.