PhysicsWallah Q2 profit doubles to Rs 143.6 crore as revenue crosses Rs 1,242 crore

Edtech major PhysicsWallah reported a 106% year-on-year jump in consolidated net profit to Rs 143.6 crore for the second quarter of FY27, backed by sustained growth in online learning and solid domestic consumer demand.

Operating revenue rose 18.2% to Rs 1,242.3 crore in the quarter ended September 2026, compared with Rs 1,051.3 crore in the corresponding period of the previous fiscal year. Including other income of Rs 92.4 crore, total income reached Rs 1,334.6 crore.

The results underscore the strength of India's digital ecosystem, where expanding internet access and affordable technology continue to broaden educational access across smaller towns and cities.

Online and offline performance

The company's online vertical remained its largest revenue driver, posting a 26.4% year-on-year increase. Unique online enrolments grew 12.9% to reach 15 lakh during the quarter.

PhysicsWallah operated 370 offline centres at the end of September 2026. Management noted during the earnings call that delayed examination schedules for NEET temporarily moderated collections, particularly in offline centres, but added that the impact was largely offset by growth in non-NEET courses and new product offerings.

Costs and operating margins

Total expenses increased 10.6% to Rs 1,105.4 crore in Q2 FY27, up from Rs 999.6 crore in the year-ago period. Employee benefits remained the largest cost item, rising 10.4% to Rs 522.4 crore.

Earnings before interest, tax, depreciation, and amortisation (EBITDA) rose 52.6% to Rs 348 crore, pushing EBITDA margin up to 28% from 21.7% in Q2 FY26.

Separately, PhysicsWallah recorded a profit of Rs 1.3 crore from discontinued operations after its subsidiary Finz Finance transferred its loan portfolio to Auxilo Finserve for Rs 95.8 crore in October.

Expansion plans in South India

Chief executive Alakh Pandey said the firm plans to expand its presence across five southern states, targeting a market of 1.5 crore students. The expansion will rely on an online-first strategy using AI-powered translation tools to deliver content in 12 Indic languages.

PhysicsWallah's board also approved acquiring an additional 12.25% stake in Utkarsh Classes for Rs 2.6 lakh, taking its total holding to 87.75%. The company maintained its target of 30% consolidated revenue growth for the full fiscal year.