Vedantu eyes IPO as offline play drives path to profits

Edtech startup expects to see its first cash-flow positive quarter in January-March

- Samiksha Goel & Mansi Verma

Bengaluru-based edtech startup Vedantu is setting its sights on an initial public offering (IPO) as it edges closer to profitability, following a year of steady offline expansion.

The company is eyeing a $150-200 million public debut between late 2026 and 2027 to provide early investors with an exit and raise capital for growth, co-founder and chief executive Vamsi Krishna said. "The moment we become profitable, an IPO becomes relevant for us, but we would want to go for an initial offering with at least ₹500 crore revenue threshold," he said.

The company's consolidated operating revenue rose 21% year-on-year to ₹184 crore in FY24, while it reduced its losses by about 58% to ₹157 crore in this period. Vedantu is estimating a 30% revenue growth in FY25 and expects 25-35% revenue growth in the next 3-5 years, Vamsi said.

The company expects to see its first cash-flow positive quarter in January-March. Profitability has been a top priority for the company as it wants to avoid a scenario where it requires funding to grow, Vamsi said.