Skillmatics Posts Rs 659 Crore Revenue in FY26, Growing 34.5%, But Profit Rises Just 4.2%
Mumbai-based D2C edutainment brand Skillmatics has reported FY26 operating revenue of Rs 659 crore, up 34.5% from Rs 490 crore in FY25, according to its consolidated financial statements filed with the Registrar of Companies. Including other income of Rs 7.52 crore, total revenue came in at around Rs 667 crore.
Here's the twist. Even with this strong top-line growth, net profit rose only 4.2% to Rs 17.57 crore from Rs 16.86 crore a year earlier. The reason is simple: expenses grew faster than revenue. Total expenditure rose 36.1% to Rs 652 crore, with marketing the biggest line item at about Rs 169 crore, or roughly 26% of spending. The cost of making toys and games added around Rs 130 crore. The company's EBITDA margin stood at about 1.75%.
What makes Skillmatics unusual is where its money comes from. Around 87% of its operating revenue comes from outside India, mainly through its US-based subsidiary Grasper Global Inc, with North America as the key market. The brand sells educational toys and learning games for children aged one to 12 across its own website, e-commerce marketplaces and retail stores, and it has a presence in more than 25 countries and works with over 3,000 retail stores internationally.
The bigger picture is worth watching. Skillmatics is reportedly exploring a fresh funding round, and market reports suggest the deal could be in the range of $60 million to $75 million at a valuation of around $420 million, with part of it a secondary sale for existing investors. These are reports, not confirmed announcements, so treat the numbers with caution until the company makes them official.
The reality check: growing 34% is impressive, but the real test now is whether Skillmatics can grow profits as fast as sales, especially with marketing costs, US tariffs and freight costs in play.
From a Mumbai edutainment startup to a global toy brand, Skillmatics' next chapter will be decided by margins, not just momentum.
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— Sandeep Raiza