PhysicWallah laid off 120 employees based on a cyclical performance review, reports said on Nov. 19, days after speculation was rife that the edtech unicorn had asked scores of its employees to leave the company.
The decision to lay off the 120 employees was taken after a mid-term assessment analysis in October, the Economic Times reported, citing a company CEO.
The official was responding to the newspaper’s question about social media posts that made unverified claims about about 500 employees being fired by PhysicsWallah.
Entrackrwhich was first to report the development, quoted Satish Khengre, PhysicsWallah’s chief human resources officer, as saying that “less than 0.8 percent of our workforce—ranging from 70 to 120 individuals with performance concerns—may be asked to transition” based on the performance- audit for the period ending in October.
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Also read: He declined ₹75-crore salary, now owns India’s newest unicorn PhysicsWallah
Khengre said the company plans to hire 1,000 more employees in the next six months. ET, adding that the plan reinforces its commitment to growth.
Notably, PhysicsWallah became a unicorn last year, after it raised $100 million from WestBridge Capital and GSV Ventures at a valuation of $1.1 billion. The company was founded in 2020 by Youtube teacher Alakh Pandey.
The company reported a net profit of ₹97.8 crore in FY22, 14 times higher compared to ₹6.93 crore in the previous financial year. The standalone operating income jumped ninefold to ₹232.48 crores.
Pandey, speaking to Cash control last year, said the company expects revenue to exceed ₹1,200 crore in FY23, the earnings before interest, taxes, depreciation and amortization (EBITDA) margin coming in at 40-45 percent.
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Updated: 19 Nov 2023, 21:46 IST
(tagsTo Translate)Physicswallah