PhysicsWallah Q1 loss stands at Rs 77.6 crore
Mumbai, Aug 14
PhysicsWallah on Friday reported a consolidated net loss of Rs 77.6 crore in the June quarter of FY27, improving from a loss of Rs 120.5 crore a year ago, even as revenue rose 24.4 per cent year-on-year to Rs 1,054 crore.
The edtech firm's losses narrowed amid stronger operating performance, though it remained short of profitability.
At the operating level, PhysicsWallah showed signs of improvement, with EBITDA loss reducing to Rs 56.9 crore from Rs 76.3 crore in Q1FY26.
Despite the improvement, the company is yet to achieve EBITDA breakeven, indicating that profitability remains a work in progress.
The online learning business continued to be the largest contributor to revenue and earnings during the quarter.
Online revenue stood at Rs 548.79 crore, surpassing the Rs 489.90 crore generated from offline operations.
The segment also delivered a profit of Rs 75.90 crore, highlighting the stronger economics of the digital business.
In contrast, the offline segment reported a loss of Rs 27.17 crore, while other business segments posted a loss of Rs 4.50 crore.
The company continued to scale its footprint during the quarter. As of May 2026, PhysicsWallah operated 353 centres across the country.
Its online unique transacting user base reached 4.87 million, while offline enrolments stood at 0.47 million.
Higher expenses continued to weigh on the bottom line despite strong revenue growth. Depreciation, depletion and amortisation expenses rose to Rs 110.67 crore during the quarter, while finance costs amounted to Rs 25.50 crore.
PhysicsWallah also reported other income of Rs 108.86 crore. However, this was partly offset by a Rs 44.35 crore loss arising from the remeasurement of financial instruments at fair value.
As a result, the company posted a pre-tax loss of Rs 84.32 crore for the quarter. On the stock market, shares of PhysicsWallah settled at Rs 117.60 on August 14, down 0.52 per cent or Rs 0.62 from the previous close.
During the trading session, the stock touched an intraday high of Rs 119.62 and a low of Rs 115.60.
— IANS
Reader Comments
Rs 1,054 crore revenue with 4.87 million online users shows the scale they've achieved. But EBITDA loss of Rs 56.9 crore means every student is still costing them money. The irony is that their affordable pricing, which is great for Indian students, also means thinner margins. It's a fine line between accessibility and profitability.
The offline centres are the problem. Opening 353 centres is ambitious but the real estate and staff costs are massive. Online profit of Rs 75.9 crore shows the digital model works. Maybe they should slow down on physical expansion until they crack offline profitability. Alakh Sir's vision is noble but business needs to be sustainable.
The improvement from Rs 120.5 crore to Rs 77.6 crore loss is encouraging. Edtech in India is tough, especially after the Byju's collapse. PW's transparency about their numbers is refreshing. That Rs 108 crore other income is interesting though - probably from investments. Hope the core business turns profitable soon.
As a teacher who uses PW resources, I appreciate what they're doing. But Rs 110 crore depreciation is huge - shows they've invested heavily in infrastructure. The fair value loss of Rs 44 crore is also a concern. Still, they're moving in the right direction. The stock at Rs 117 seems fairly valued for now.
The offline loss of Rs 27 crore is a real drag. They're betting big on the hybrid model, but the returns aren't there yet. Online revenue of Rs 548 crore vs offline Rs 490 crore - the
We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.