Mumbai:Â Indian edtech major PhysicsWallah has reported a strong financial performance for the fourth quarter of FY26, with revenue growing more than 50% year-on-year while losses narrowed significantly as the company continued scaling its online and offline education business.
The PhysicsWallah reported operating revenue of Rs 919 crore in Q4 FY26, compared to Rs 610 crore in the corresponding quarter last year, according to its consolidated financial statements sourced from the National Stock Exchange (NSE).
The strong growth reflects increasing demand across the company’s online and offline test preparation offerings, particularly for competitive exams such as JEE, NEET, UPSC, and various state board examinations.
In addition to its core operating revenue, the company generated approximately Rs 65 crore through interest income and gains on financial assets, taking total revenue for the quarter to Rs 984 crore.
For the full financial year ended March 2026, PhysicsWallah’s revenue increased 35% year-on-year to Rs 3,900 crore from Rs 2,887 crore in FY25, reinforcing its position as one of India’s fastest-growing education technology companies.
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Losses Narrow Dramatically
One of the biggest highlights of the quarter was the sharp reduction in losses.
PhysicsWallah reduced its quarterly losses by 76% to Rs 69 crore in Q4 FY26 from Rs 289 crore in the same period last year.
Notably, the quarterly loss included a non-cash goodwill impairment expense of Rs 29 crore. Excluding this adjustment, the company’s operational performance appeared even stronger.
For the full year FY26, the company narrowed its losses by nearly 90% to Rs 24 crore compared to Rs 243 crore in FY25.
The improvement indicates that the company is gradually moving toward operational efficiency after years of aggressive expansion and investment.
Expenses Continue to Rise, But at a Controlled Pace
Despite rapid revenue growth, PhysicsWallah managed to keep expense growth relatively controlled during the quarter.
Employee benefits remained the company’s largest expense category, accounting for nearly 47% of total expenditure. Employee-related costs stood at Rs 487 crore during Q4 FY26, increasing nearly 30% year-on-year.
Depreciation and amortisation expenses came in at Rs 122 crore, while direct expenses rose marginally by 6% to Rs 144 crore.
Overall expenditure increased around 7% year-on-year to Rs 1,035 crore in Q4 FY26, compared to Rs 964 crore in the same quarter last year.
The gap between revenue growth and expenditure growth played a major role in helping the company improve its profitability metrics.
PhysicsWallah’s Rise in Indian Edtech
Founded by Alakh Pandey and Prateek Maheshwari, PhysicsWallah began as a YouTube-based educational channel focused on affordable learning for engineering and medical entrance exams.
Over the years, the company evolved into one of India’s largest edtech platforms, competing with players such as BYJU’S, Unacademy, and Vedantu.
Unlike several heavily funded edtech startups that struggled with profitability and governance issues, PhysicsWallah built a reputation for affordable pricing, strong educator-led branding, and a large student community.
The company expanded rapidly through both digital learning and offline coaching centers across India.
Today, PhysicsWallah offers courses for:
- JEE and NEET preparation
- UPSC and government exams
- Commerce and finance education
- Skill development programs
- School-level learning
- Study materials and books
The company’s hybrid strategy combining online learning with offline centers has become a key growth driver in recent years.
PhysicsWallah has also started diversifying beyond its core test-preparation business.
The company recently infused additional capital into FinZFinance as part of efforts to strengthen its financial services vertical.
Earlier this year, PhysicsWallah also expanded into the yoga and wellness sector by increasing its stake in Kay Lifestyle and Wellness, also known as Kamya Yoga & Wellness.
These moves indicate the company’s intention to build a broader consumer-focused education and wellness ecosystem.
Public Market Performance
PhysicsWallah’s improved financial performance comes after its stock market debut, which marked one of the most closely watched listings in India’s edtech sector.
At the close of trading on Thursday, the Noida-based company’s shares ended at Rs 112.1, giving it a market capitalization of approximately Rs 32,381 crore, or around $3.4 billion.
Investors appear to be responding positively to the company’s ability to sustain growth while sharply reducing losses — a major concern across the global edtech industry over the past two years.
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Edtech Sector Showing Signs of Stabilization
PhysicsWallah’s latest results also reflect a broader shift in the Indian edtech ecosystem.
After a period marked by heavy cash burn, layoffs, funding slowdowns, and governance concerns across multiple startups, investors are increasingly rewarding companies that demonstrate sustainable growth and operational discipline.
PhysicsWallah’s performance suggests that demand for quality digital education in India remains strong, especially among students preparing for competitive examinations.
With improving financial metrics, expansion into adjacent sectors, and continued growth in its student base, PhysicsWallah appears to be positioning itself as one of the few profitable long-term contenders in India’s evolving edtech landscape.
