Listed edtech company PhysicsWallah (PW) posted a more than two-fold increase in consolidated net profit to Rs 143.6 crore in the quarter ended September 2026, compared to Rs 69.7 crore in the same period a year ago. In Q1 FY27, the startup had reported a loss of Rs 88.3 crore.
Revenue from operations rose 18% to Rs 1242.3 crore from Rs 1,051.2 crore in Q2 FY26, according to its financial statements sourced from the NSE.
The edtech firm also earned other income of Rs 92.4 crore, taking its total revenue to Rs 1,334.6 crore.
“This quarter shows the strength of our model. We delivered record revenue and a sharp improvement in profitability, while our learner base kept widening across K-12, vernacular and new categories. Our focus remains on scaling affordable, tech-led education with disciplined capital allocation,” said Alakh Pandey, founder and CEO of PhysicsWallah.
PhysicsWallah’s omnichannel playbook
PhysicsWallah is an omnichannel education platform, catering to students online through PW, CuriousJr and YouTube as well as offline via Vidyapeeth, Pathshala and other PW centers.
The online business remains a key growth driver for the company, with revenue from this vertical rising to Rs 693.5 crore, up 26% from Rs 548.7 crore in the same quarter last year.
In a shareholder letter, PhysicsWallah said NEET enrollments grew over 30% in Q2 FY27, as the demand that had been deferred following the postponement of NEET UG came through during the quarter.
Meanwhile, offline business generated a revenue of Rs 540.9 crore, marking a 9% increase from Rs 496.1 crore in Q2 FY26.
South India contributes 9% of H1 revenue
South India is emerging as the next growth leg for PhysicsWallah, with an addressable market of 15 million students across Andhra Pradesh, Telangana, Tamil Nadu, Karnataka and Kerala.
The company is expanding its online-first playbook in the region through more than 70 regional-language faculty members, free education content across over 24 YouTube channels with roughly 24 lakh subscribers, and paid regional batches.
During H1, learners on the PW app from the south rose 32% year-on-year to 4.1 lakh, while paid learners rose 14% YoY to 1.17 lakh. The edtech currently operates 63 centers in the region.
PhysicsWallah to increase stake in Utkarsh Classes
Aside from the earnings, PhysicsWallah’s board approved the company’s proposal to acquire an additional 12.25% stake in Utkarsh Classes for Rs 2.6 lakh.
The transaction, expected to be completed in three months, will increase PhysicsWallah’s shareholding in the coaching institute to 87.75% from 75.5% currently.
The edtech company had first disclosed its intention to acquire a 100% stake in Utkarsh Classes by FY28 in its November 2025 IPO filing. The move was aimed at strengthening its core education business. In FY26, Utkarsh Classes reported a turnover of Rs 169.7 crore versus Rs 169 crore and Rs 147 crore in FY25 and FY24, respectively.
Where did PhysicsWallah spend in Q2?
Total expenses increased nearly 11% to Rs 1,105.4 crore from Rs 999.6 crore in the same period a year ago. Sequentially, it declined 11% from Rs 1,242.2 crore in the previous quarter.
- Employee benefit expenses: Rose 10% year-on-year to Rs 522.4 crore in Q2 FY27 but dipped 1% QoQ from Rs 526.5 crore.
- Direct expenses: Stood at Rs 164.3 crore, up 6% from Rs 155.1 crore in the year-ago quarter.
- Other expenses: Increased 12% to Rs 237.6 crore, compared to Rs 213.1 crore a year earlier. However, it reduced sequentially by 21% from Rs 299.3 crore.
Key operational metrics
- Total paid users: 3.86 million in Q2 FY27 versus 3.62 million in Q2 FY26
- No. of unique transacting users: 3.44 million in Q2 FY27 versus 3.22 million in the same quarter a year ago.
- Average collection/revenue per user: Rs 4,280 from online and Rs 23,162 from offline business.
- No. of offline student enrolments: 0.41 million in Q2 FY27, up from 0.39 million a year earlier.
- Total offline centers: 370 versus 314 in Q2 FY26.
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