Think & Learn Pvt Ltd, the world’s most highly valued edtech company, which operates the education platform Byju’s, is also the most expensive edtech company for global investors after its revenue multiple soared due to lower revenue in FY2021 (2020-2021).

Byju’s FY21 revenue released last week showed the company was valued at about $13 billion as of March 2021, and the company has a revenue multiple of more than 40 this year.

Revenue multiples are a financial metric used by investors to value startups, and typically loss-making businesses are calculated by dividing the company’s valuation by revenue.

Looking at this number, Byju’s closest edtech competitors to consumers, upGrad, PhysicsWallah, Eruditus, Unacademy, and Vedantu, have revenue multiples between 13-33 in FY21.

Some of the world’s largest edtech companies, including 2U Inc, Udemy, Instructure, Coursera, and Chegg, have revenue multiples between 2 and 9. India’s largest listed education companies, such as Shanti Education, Zee Learn, CL Educate, Career Point and Veranda Learn, have revenue multiples between 1 and 10. However, these companies are much smaller than Byju’s in both valuation and revenue.

To be sure, as revenue and valuation have grown, Byju’s revenue multiple has also declined. In fiscal 2020, the company traded at a revenue multiple of 25, down from 30 in fiscal 2019. Suppose Byju needs to raise capital this year. In that case, the company will have to do so on a flat or down basis, industry sources said, adding that otherwise, the company will have to meet its expectations or show more revenue in the coming years.

Byju’s has been very aggressive in raising capital over the years. The company has raised more than $5 billion in equity and debt to date. Byju’s valuation has also been high. The company did not become a unicorn until 2018, and its valuation soared to more than $22 billion in less than four years.

Byju’s has also expanded rapidly by acquiring multiple companies. To date, the company has invested in or outright acquired as many as 22 companies and spent more than $3 billion on acquisitions, according to data provided by Tracxn.