Edtech major PhysicsWallah operating revenue for the June quarte crossed the ₹1,000 Cr mark, jumping 24% YoY and 15% QOQ to ₹1,054 Cr.
Its net loss for the quarter reduced by 31% YoY to ₹88.3 Cr but increased 28% QoQ.
While the company’s total income for the quarter stood at ₹1,162.8 Cr, its expenses rose 18% YoY to ₹1,247 Cr.
Edtech major PhysicsWallah’s (PW) operating revenue crossed the ₹1,000 Cr mark in the June quarter of the financial year 2026-27 (Q1 FY27), rising 24.4% to ₹1,054 Cr from ₹847.1 Cr in the year-ago period.
On a sequential basis, the company’s top line increased 15% to ₹918.8 Cr.
The company remained in the red during the quarter but managed to narrow its net loss by 30.5% to ₹88.3 Cr from ₹127 Cr in Q1 FY26. However, the loss widened 27.8% sequentially from ₹69.1 Cr.
The company reported other income of ₹108.9 Cr in the quarter, taking its total income for the period to ₹1,162.8 Cr. Meanwhile, expenses rose 18% YoY to ₹1,247 Cr.
PW turned EBITDA positive during the quarter, posting an EBITDA of ₹52 Cr and a margin of 4.9%. It had recorded an EBITDA loss of ₹21 Cr, with a negative margin of 2.5%, in the corresponding quarter last year.
However, EBITDA declined sequentially from ₹65 Cr in the March quarter.
The company’s adjusted EBITDA jumped more than fivefold to ₹135 Cr from ₹26 Cr in Q1 FY26, while the adjusted EBITDA margin expanded to 12.9% from 3.1%.
Adjusted EBITDA excludes share-based payments and exceptional items, among other adjustments. PW incurred employee share-based payment expenses of ₹39 Cr and exceptional charges of ₹44 Cr during the quarter.
PW said its Q1 earnings included an exceptional impact of about ₹42 Cr related to the fair-value remeasurement of financial instruments associated with Sarrthi IAS.
The company attributed the adjustment to Sarrthi IAS performing better than projected. Excluding this impact, PW said its adjusted loss before tax stood at ₹42 Cr.
In July, PW acquired an additional 11% stake in UPSC coaching institute Sarrthi IAS for ₹71.81 Cr, increasing its holding from 40% to 51%. The transaction was the second tranche of an agreement signed in September 2025 to acquire up to an 85% stake in Sarrthi IAS in six tranches through FY31.
PW’s online business remained its biggest contributor to operating profitability during the quarter.
Revenue from the online segment jumped 33% YoY to ₹549 Cr from ₹412 Cr.
The number of unique online transacting users rose 2.4% to 21.5 Lakh from 21 Lakh, while average collection per user increased 9.7% to ₹4,311 from ₹3,931.
The company’s online K-12 and early-learning categories reported an 88% YoY jump in revenue to ₹105 Cr from ₹56 Cr. Enrolments across these categories rose 41% to 7.8 Lakh from 5.5 Lakh.
PW said its offerings across school boards, foundation courses, Olympiad preparation, and its Curious Jr programme helped drive growth in the segment.
Revenue from PW’s offline business grew 14.5% to ₹490 Cr from ₹428 Cr in the year-ago quarter.
Offline student enrolments increased 5% to 3.5 Lakh from 3.3 Lakh, while average revenue per user rose 6.9% to ₹12,633 from ₹11,822.
The company expanded its offline network to 366 centres as of June 2026 from 303 centres a year earlier. This included 165 PW Vidyapeeth centres, 70 Pathshala centres, and 131 other and subsidiary-operated centres.
Despite the revenue growth, the offline business posted a pre-Ind AS EBITDA loss of ₹106 Cr during the quarter. The loss narrowed marginally from ₹113 Cr in Q1 FY26, with its negative margin improving to 22% from 26%.
PW said newer offline centres typically incur upfront expenditure on faculty, rent, and infrastructure before enrolments scale over successive academic cycles.
The company’s other businesses, which generated ₹15 Cr in revenue, posted a pre-Ind AS EBITDA loss of ₹5 Cr.
PW’s total paid users increased 2.4% YoY to 24.9 Lakh during the quarter. Daily active users grew 26% to more than 40.3 Lakh.
However, the company said the postponement and subsequent re-examination of NEET UG delayed the usual enrolment cycle. Online NEET collections declined 28% during Q1 as the post-exam admissions cycle moved beyond the reporting quarter.
PW claimed that online collections between July 1 and August 13 subsequently increased 51% YoY following the declaration of the examination results.
As of June 30, 2026, PW had 19,567 employees and 7,268 faculty members. Its treasury stood at ₹5,601 Cr, including the proceeds from its IPO in November last year.