Ruangguru Record Business Profits in 2021

edtech startups Ruangguru achieved its first profitability by making a profit of $3,7 million (approximately Rp.55 billion) in 2021, from a loss of $1,2 million (approximately Rp.18,6 billion) in 2020.

Based on the financial reports that we access through the Venture Cap platform, Ruangguru pocketed revenue of $ 102,6 million (about Rp. 1,52 trillion). While the previous year was around $ 63 million (around Rp. 940 billion).

As of December 2021, Ruangguru kept cash cash stashed in the bank of $129 million. It is known, the company secured a series C follow-on funding of $55 million led by Tiger Global Management in mid-2021.

In previous news, Ruangguru claims to have achieved the highest Net Promoter Score (NPS) in all its product categories by pocketing multiple revenue growth. Ruangguru marks 2021 as its first year in profitability.

As of 2020, Ruangguru recorded to have a total of million users from its three operational countries, namely Indonesia, Vietnam (KienGuru), and Thailand (StartDee). Meanwhile, the company's expansion has been carried out since 2019 through acquisitions.

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After pocketing the profit, Ruangguru then cutting hundreds of employees towards the end of 2022. It did not say how many employees were affected.

Founders Ruangguru, Adamas Belva Devara and Iman Usman, said at the time that the layoffs were the result of a large increase in demand at the start of the pandemic. The company experienced high growth in the last two years and resulted in massive recruitment.

Not only Ruangguru, startups in the same segment, Zenius, also downsizing employees through three waves. In 2020, Zenius announced two layoffs, the first in May by cutting 200 people, and the second in early August with 600 employees affected.

The third wave occurred in early February 2023. Zenius management said the economic situation forced the company to carry out organizational restructuring to ensure long-term growth.