Edtech giant PhysicsWallah dramatically narrowed its consolidated net loss for the March quarter (Q4 FY26) by 76% year-on-year to ₹69.1 crore from ₹289.3 crore in the same period last year, though it missed the profit momentum it had built in Q3 FY26 when it posted ₹102.3 crore net profit.
Operating revenue grew 51% YoY to ₹918.8 crore during the quarter from ₹609.6 crore in Q4 FY25. However, sequentially, revenue declined 15% from ₹1,082.4 crore in Q3 FY26, reflecting typical seasonality in the edtech sector post-exam cycles. Including other income of ₹64.8 crore, total income for the quarter stood at ₹983.6 crore. Total expenses rose just 7% YoY to ₹1,035.2 crore, demonstrating improved cost discipline.
EBITDA for the quarter surged 184% YoY to ₹549 crore, marking significant operational leverage as the company scales.
Full-Year Performance Shows Transformation
For full FY26, PhysicsWallah cut its net loss by an impressive 90% to ₹24.2 crore from ₹243.3 crore in FY25. Operating revenue surged 35% YoY to ₹3,899.5 crore, signaling the company’s path toward sustained profitability.
Founders Alakh Pandey and Prateek Boob stated: “FY27 has begun on solid footing. Our Vishwas Diwas sales are up 36% year-on-year. We will keep investing where students benefit, and we will stay disciplined where shareholders expect us to be.”
Earlier today, the company announced a ₹120 crore investment in its NBFC arm FinZ Finance to augment working capital and facilitate business expansion.
Offline Business Becomes Key Growth Driver
Offline business emerged as a meaningful contributor in FY26, with revenue rising 31% YoY to ₹1,774 crore, accounting for 45% of operating revenue. The company expanded its offline network from 198 centres to 353 centres across India and the UAE during the year.
Despite offline growth, PhysicsWallah remains online-first, with 91% of paid learners studying through online channels. The company positions offline centres as extensions of its digital ecosystem.
Diversification Beyond JEE/NEET
The enrollment mix is diversifying beyond traditional JEE and NEET. These two categories accounted for just 29% of online enrollments in FY26, down from 54% in FY23, as civil services, commerce, boards, CA, and foundation courses gained traction.
AI Becomes Core Infrastructure
PhysicsWallah now has 91% of its codebase AI-assisted, with AI voice agents handling over 6,000 calls daily. AI-led lead prioritization reduced counseling manpower dependency by about 35%. The company is building proprietary AI models — Aryabhata, ConceptGuru, and Awaaz — trained on Indian STEM datasets, Hinglish interactions, and multilingual teacher voice data.
Regional and vernacular education is emerging as a major expansion area. The state board and vernacular vertical reached 393K enrollments in its first year and turned EBITDA positive.
Shares ended 0.09% lower at ₹111.95 on BSE.
