Veranda Learning Solutions Ltd Q1FY26 – From Chalk Dust to Chaos: The Great Indian EdTech Experiment Nobody Asked For
1. At a Glance
Veranda Learning Solutions Ltd (NSE: VERANDA, BSE: 543514) is that EdTech cousin at the family reunion who says, “I’m building an education ecosystem,” but nobody can quite tell if he’s rich or broke. Founded in 2018 and backed by the Kalpathi AGS Group, Veranda has sprinted across India with 200+ centers, 1.5 lakh+ active learners, and a ₹2,259 crore market cap — impressive, until you notice the ₹660 crore debt and -₹220 crore FY25 loss.
At ₹241/share, the company trades at 6.99x book value, EV/EBITDA 25.8x, and a ROE of -78% (yes, negative seventy-eight, not a typo). Revenues touched ₹491 crore, up 19% YoY, but losses kept pace like a gym bro who refuses to skip leg day.
Question: How does a company that “educates India” still flunk basic accounting profitability?
2. Introduction
Welcome to the wild world of Indian EdTech — where “valuation” means “vibes,” and every founder dreams of being the next Byju Raveendran (minus the ED raids).
Veranda was born in 2018, right as India’s online learning scene exploded. Instead of burning venture capital like others, Veranda actually went public in 2022 — a gutsy move. They started acquiring everything in sight: IAS coaching, test prep schools, CA institutes, even a coding bootcamp. Think of them as the “Adani of Education,” but with more PowerPoint decks than power plants.
They now run brands like Veranda RACE, J.K. Shah Classes, Edureka, Talent Academy, Sreedhar’s CCE, and more. They teach everyone — from Class 6 kids to CA aspirants to unemployed engineers learning JavaScript.
And yet, behind this academic empire lies an uneasy balance sheet and a confused investor base trying to decide if this is “India’s Coursera” or just another tuition chain with an app.
3. Business Model – WTF Do They Even Do?
If you’ve ever wondered what happens when an offline coaching company and an online startup have a baby — meet Veranda.
Here’s the math they teach investors:
a) Online (31%) – Through Edureka, Veranda IAS, and Veranda K12. b) Offline (69%) – Through J.K. Shah Classes, Talent Academy, and 200+ brick-and-mortar centers.
They’ve divided their empire into these verticals:
Academic (K–12 + Higher Ed): School & college partnerships, “hybrid learning,” and co-branded diplomas (because partnerships with colleges sound fancier than just coaching).
Commerce Test Prep: CA, CMA, ACCA — dominated by their star asset J.K. Shah Classes, a 40-year-old CA exam brand.
Government Test Prep: SSC, TNPSC, Banking, UPSC — via Veranda RACE and Sreedhar’s CCE.
Vocational & Upskilling: BFSI skill training, internships, and tech courses through Edureka.
The model is O2O (online-to-offline) — not a buzzword, an actual hybrid approach. They don’t want to be a “tech platform” or a “classroom chain” — they want to be both. Which, as history suggests, is a great way to double your expenses and confuse investors.
Question: Can you really “digitally transform” an industry that still depends on photocopies and mock tests?
4. Financials Overview
Source table
Metric
Latest Qtr (Jun’25)
YoY Qtr (Jun’24)
Prev Qtr (Mar’25)
YoY %
QoQ %
Revenue
₹139 Cr
₹119 Cr
₹114 Cr
+17.0%
+22.0%
EBITDA
₹37.2 Cr
₹20.2 Cr
₹19.8 Cr
+84%
+88%
PAT
₹5.96 Cr
-₹25 Cr
₹8.36 Cr
+97%
-28.7%
EPS (₹)
-0.09
-3.75
0.65
NA
NA
Commentary: The company somehow managed a positive quarter after years of red ink. Whether that’s operational efficiency or accounting gymnastics — time will tell.
5. Valuation Discussion – Fair Value Range Only
a) EV/EBITDA Method EV = ₹2,843 Cr; EBITDA (TTM) = ₹110 Cr → EV/EBITDA =
