PhysicsWallah Q2 FY27 Profit More Than Doubles to Rs 143.6 Crore

PhysicsWallah reported consolidated profit of Rs 143.6 crore in Q2 FY27, more than double the Rs 69.7 crore reported a year earlier, while revenue from operations rose 18.2% to a record Rs 1,242.3 crore. The performance marked a recovery from a Rs 88.3 crore loss in the preceding June quarter.

What did PhysicsWallah report for Q2 FY27?

PhysicsWallah reported its highest quarterly revenue to date for the quarter ended September 30, 2026. Revenue from operations rose from Rs 1,051.2 crore in Q2 FY26 to Rs 1,242.3 crore, an increase of 18.2% year-on-year. Consolidated profit for the period stood at Rs 143.6 crore, compared with Rs 69.7 crore in the corresponding quarter of the previous financial year.

The quarter also represented a sequential improvement in profitability. PhysicsWallah had posted a loss of about Rs 88.3 crore in Q1 FY27, while revenue from operations in that quarter was Rs 1,050.3 crore. Total expenses in Q2 FY27 were Rs 1,105.4 crore, up 11% from Rs 999.6 crore a year earlier but lower than Rs 1,242.2 crore in the preceding quarter.

Why did PhysicsWallah's September-quarter performance improve?

PhysicsWallah attributed the stronger quarter to growth in online coaching and improved cost efficiency. Its online revenue rose 26.4% year-on-year to Rs 694 crore, while offline revenue increased 9% to Rs 541 crore. The pre-IndAS EBITDA margin improved to 18.8% from 15.3% a year earlier, alongside a 45% increase in pre-IndAS EBITDA to Rs 233 crore.

The timing of the NEET UG admission cycle also influenced the quarter. The NEET UG results were delayed until July 16, which disrupted the normal admission calendar and deferred some demand. PhysicsWallah said NEET enrolments rose more than 30% during the September quarter as that delayed demand came through. However, it also said admissions and collections over the full admission cycle remained below the prior year.

Founder and chief executive officer Alakh Pandey said the company delivered record revenue and improved profitability while expanding its learner base across K-12, vernacular and newer categories. The statement links the quarter's financial performance to growth beyond the core JEE and NEET preparation business.

Which learner categories supported PhysicsWallah's growth?

PhysicsWallah said categories outside JEE and NEET accounted for 73.8% of online enrolments, up from 64.8% a year earlier. This indicates that boards, CUET, foundation courses and vernacular offerings made up a larger portion of online learner additions during the period.

Boards and CUET enrolments rose 130% to 4.55 lakh. Foundation enrolments increased 15% to 5.7 lakh, while vernacular enrolments climbed 77% to 1.23 lakh. These figures provide context for management's focus on broadening the product mix, particularly after an admission-cycle disruption in the medical entrance examination segment.

The company also highlighted South India as an expansion market. It estimates an addressable market of around 15 million students across Andhra Pradesh, Telangana, Tamil Nadu, Karnataka and Kerala. During the first half of the calendar year, learners from the region using the PhysicsWallah app rose 32% year-on-year to 4.1 lakh, while paid learners increased 14% to 1.17 lakh.

How does the Q2 result affect PhysicsWallah's business outlook?

The September-quarter result shows that revenue growth exceeded the increase in total expenses. Revenue rose 18.2% year-on-year, while expenses increased 11%, contributing to the improvement in profit and the expansion in pre-IndAS EBITDA margin. For investors assessing the business, the gap between revenue and expense growth is a relevant measure of operating leverage in the quarter.

Online revenue growth was faster than offline revenue growth, at 26.4% versus 9%. PhysicsWallah nevertheless continues to operate 63 centres across South India, where the region contributed 9% of company revenue in the first half of FY27. The business is therefore pursuing both app-based learning and physical-centre expansion, with their relative contributions visible in the quarterly segment figures.

The Q2 recovery does not remove the impact of the delayed NEET UG cycle. Management said full-cycle admissions and collections remained below last year despite the September-quarter rise in NEET enrolments. That disclosure remains important because coaching-company revenue and collections can be affected by examination schedules and changes in the timing of enrolments.

Conclusion

PhysicsWallah's Q2 FY27 results combined record revenue of Rs 1,242.3 crore with profit of Rs 143.6 crore, following a loss in the previous quarter. Faster online revenue growth, a lower rate of expense growth and improved pre-IndAS EBITDA margin supported the year-on-year improvement. Growth in boards, CUET, foundation and vernacular courses also reduced the concentration of online enrolments in JEE and NEET.

The next points to watch are admissions and collections through the complete NEET cycle, the pace of online versus offline revenue growth, and progress in South India. PhysicsWallah has identified roughly 15 million addressable students across five southern states and already operates 63 centres in the region, making expansion execution a disclosed business focus.