The company's top-line performance has deteriorated to a -100% revenue growth rate, while operating margins have plummeted to -116.37% due to an inability to control overhead costs.
Skillful Craftsman Education Technology Limited (EDTK) annual income statement — 8-year revenue, gross profit & net income history
| Metric | TTM | Mar'25 | Mar'24 | Mar'23 | Mar'22 | Mar'21 | Mar'20 | Mar'19 | Mar'18 |
|---|
| Sales/Revenue | 907.82K | 893.69K | 2M | 11.32M | 23.05M | 29.17M | 28.6M | 24.67M | 14.91M |
| Revenue Growth % | -93.19% | -55.29% | -82.35% | -50.87% | -20.97% | 1.98% | 15.94% | 65.45% | - |
| Cost of Goods Sold | 322.12K | 194.58K | 1.83M | 27.42M | 17.71M | 14.71M | 11.8M | 9.48M | 4.72M |
| COGS % of Revenue | - | 21.77% | 91.53% | 242.18% | 76.82% | 50.44% | 41.25% | 38.43% | 31.62% |
| Gross Profit | 585.71K | 699.11K | 169.39K | -16.1M | 5.34M | 14.46M | 16.8M | 15.19M | 10.2M |
| Gross Margin % | 64.52% | 78.23% | 8.47% | -142.18% | 23.18% | 49.56% | 58.75% | 61.57% | 68.38% |
| Gross Profit Growth % | - | 312.73% | 101.05% | -401.27% | -63.03% | -13.97% | 10.63% | 48.97% | - |
| Operating Expenses | 3.83M | 1.74M | 2.19M | 4M | 5.91M | 5.46M | 3.56M | 3.71M | 2.26M |
| OpEx % of Revenue | - | 194.6% | 109.36% | 35.33% | 25.62% | 18.72% | 12.46% | 15.04% | 15.13% |
| Selling, General & Admin | 3.73M | 1.72M | 1.97M | 4M | 5.91M | 5.46M | 3.54M | 3.71M | 2.23M |
| SG&A % of Revenue | - | 192.62% | 98.61% | 35.33% | 25.62% | 18.72% | 12.37% | 15.04% | 14.98% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1.3M | 800K |
| R&D % of Revenue | - | - | - | - | - | - | - | 5.27% | 5.37% |
| Other Operating Expenses | 106.25K | 17.64K | 0 | -11.93K | -10.22K | -8.55K | 3.5K | 0 | -114 |
| Operating Income | -3.79M | -1.04M | -2.02M | -20.1M | -561.39K | 8.99M | 13.24M | 11.48M | 7.94M |
| Operating Margin % | -417.17% | -116.37% | -100.89% | -177.51% | -2.44% | 30.84% | 46.31% | 46.53% | 53.24% |
| Operating Income Growth % | - | 48.43% | 89.97% | -3480.56% | -106.24% | -32.09% | 15.37% | 44.6% | - |
| EBITDA | -3.55M | -923.88K | -1.76M | -10.1M | 11.4M | 19.34M | 22.24M | 18.73M | 12.32M |
| EBITDA Margin % | -391.1% | -103.38% | -87.98% | -89.15% | 49.44% | 66.29% | 77.75% | 75.91% | 82.64% |
| EBITDA Growth % | 64.99% | 47.47% | 82.58% | -188.59% | -41.06% | -13.05% | 18.75% | 51.97% | - |
| D&A (Non-Cash Add-back) | 236.65K | 116.11K | 258K | 10.01M | 11.96M | 10.34M | 8.99M | 7.25M | 4.38M |
| EBIT | -4.42M | -2.91M | -3.96M | -19.66M | -574.63K | 6.98M | 13.31M | 11.48M | 8.01M |
| Net Interest Income | -30.59K | -8.69K | -721.8K | -748.31K | -150.79K | 58.95K | 73.74K | 88.59K | 76.32K |
| Interest Income | 30.89K | 3.31K | 72.56K | 70.91K | 66.25K | 58.95K | 73.74K | 88.59K | 76.32K |
| Interest Expense | 61.48K | 12K | 794.35K | 819.22K | 217.04K | 0 | 0 | 0 | 0 |
| Other Income/Expense | -7.64M | -1.89M | -2.73M | -383.19K | -230.28K | -2.02M | 70.28K | 88.39K | 76.21K |
| Pretax Income | -11.43M | -2.93M | -4.75M | -20.48M | -791.67K | 6.98M | 13.31M | 11.57M | 8.01M |
| Pretax Margin % | -1258.51% | -327.41% | -237.58% | -180.89% | -3.43% | 23.92% | 46.55% | 46.89% | 53.75% |
| Income Tax | 53.05K | 53.05K | -27.27K | 422.91K | 608.62K | 3.48M | 3.34M | 2.89M | 2M |
| Effective Tax Rate % | -0.46% | -1.81% | 0.57% | -2.06% | -76.88% | 49.87% | 25.08% | 25.01% | 25.01% |
| Net Income | -12.93M | -2.98M | -4.72M | -20.91M | -1.4M | 3.5M | 9.98M | 8.68M | 6.01M |
| Net Margin % | -1424.22% | -333.34% | -236.22% | -184.63% | -6.07% | 11.99% | 34.88% | 35.17% | 40.31% |
| Net Income Growth % | 49.55% | 36.91% | 77.41% | -1393.04% | -140.03% | -64.93% | 14.99% | 44.34% | - |
| Net Income (Continuing) | -11.48M | -2.98M | -4.72M | -20.91M | -1.4M | 3.5M | 9.98M | 8.68M | 6.01M |
| Discontinued Operations | -1000K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -0.80 | -0.19 | -0.31 | -1.40 | -0.10 | 0.32 | 1.11 | 0.70 | 0.48 |
| EPS Growth % | 52.66% | 38.71% | 77.86% | -1300% | -131.25% | -71.17% | 58.57% | 45.83% | - |
| EPS (Basic) | - | -0.19 | -0.31 | -1.40 | -0.10 | 0.32 | 1.11 | 0.70 | 0.48 |
| Diluted Shares Outstanding | 16.2M | 15.82M | 15.44M | 14.9M | 13.69M | 11.03M | 9M | 12.45M | 12.45M |
| Basic Shares Outstanding | 16.2M | 15.82M | 15.44M | 14.9M | 13.69M | 11.03M | 9M | 12.45M | 12.45M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - |
Quick answers to the most common questions about buying EDTK stock.
For fiscal year 2025, Skillful Craftsman Education Technology Limited (EDTK) reported total revenue of $0.9M. This represents a 94.0% decline compared to $14.9M in 2018.
Skillful Craftsman Education Technology Limited (EDTK) reported a net loss of $3.0M for the fiscal year ending 2025.
Skillful Craftsman Education Technology Limited (EDTK) reported an operating income of $-1.0M, resulting in an operating profit margin of -116.4%. This margin reflects the operational efficiency of the business before interest and taxes.
Skillful Craftsman Education Technology Limited (EDTK) generated $0.7M in gross profit for the year, representing a gross profit margin of 78.2%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Existential revenue collapse
Persistent Revenue Contraction Trends
As evidenced by the most recent financial disclosures, EDTK has experienced a severe -100% revenue decline, marking the culmination of a multi-quarter downward trajectory that saw top-line figures drop from $13.9 million in 2021Q4 to effectively zero in the most recent reporting period.
The consistent erosion of revenue suggests a fundamental breakdown in the company's institutional sales pipeline and vocational platform adoption. This rapid decay indicates that the firm's core offerings may no longer align with current market demand or regulatory environments in the Chinese vocational sector.
Structural Margin Volatility and Erosion
According to historical income statements, the company's gross margin has exhibited extreme instability, swinging from a peak of 169.5% in 2025Q4 to negative territory, which highlights the difficulty in maintaining a consistent cost-to-revenue relationship amidst a shrinking operational footprint.
The erratic nature of these margins suggests that the company's cost structure is not effectively variable, leading to significant inefficiencies when revenue volumes fluctuate. Investors should interpret these wild swings as a sign of poor pricing power and an inability to manage production costs effectively.
Operating Leverage Decoupled from Scale
Based on reported figures, the company's operating margin has plummeted to -116.37%, demonstrating a complete failure to achieve operating leverage as administrative and selling expenses continue to outpace the rapidly diminishing revenue base, leaving the firm in a precarious financial position.
The inability to scale down SG&A expenses in proportion to the revenue collapse suggests a rigid cost structure that is currently unsustainable. This lack of operational discipline implies that the company may be struggling to right-size its organization to match its current, significantly reduced market presence.
Earnings Quality Impaired by Losses
As reported in recent financial filings, the net margin of -333.34% indicates that the company's bottom line is severely burdened by non-operating costs and overhead, which significantly undermines the quality of any reported earnings and raises concerns regarding the firm's long-term viability.
The massive disparity between gross and net margins suggests that significant expenses are being funneled through the income statement, potentially masking deeper operational issues. This trend warrants further investigation into whether these losses are driven by recurring operational inefficiencies or one-time impairment charges.
Insolvency Risks and Market Skepticism
Data from recent quarterly reports suggests that the company's cash position is insufficient to sustain its current burn rate, as the firm faces a total revenue collapse that leaves it vulnerable to insolvency without immediate and significant external capital injections.
Short-sellers would likely focus on the disconnect between the company's stated vocational mission and its inability to generate positive cash flow. The current financial profile suggests that the market's pessimistic valuation is a rational response to the high probability of a total business model failure.