PhysicsWallah, one of India’s leading edtech unicorns, has officially confirmed plans to launch its ₹3,820 crore ($431 million) IPO next month, positioning itself as a major contender in the Indian online education sector. The Initial public offering will comprise a fresh issue of ₹3,100 crore to fund expansion and infrastructure growth, alongside an offer for sale (OFS) worth ₹720 crore by founders Alakh Pandey and Prateek Maheshwari, who will partially monetize their stakes.
Recent Financial Performance and Growth Trajectory
PhysicsWallah has charted a robust financial path even amid the edtech sector’s challenges. The company reported a surge in operating revenue to ₹772 crore in FY23, driven largely by growth in its offline education segment, which now contributes nearly 45% to total revenue. Profits dipped in FY23, affected by expenses tied to rapid expansion, but the firm anticipates FY25 to be its highest absolute EBITDA year, targeting over 50% revenue growth.
The startup has gained a solid foothold across digital and offline channels, boasting a user base exceeding 64 million app downloads and a presence in 109 cities nationwide and the Middle East. Its expansion strategy includes launching micro offline centers to reach tier-2 and tier-3 towns, acquiring complementary platforms like Xylem Learning and PrepOnline, and broadening course categories.
Funding Milestones and Investor Confidence
PhysicsWallah has raised over $310 million to date through rounds led by WestBridge Capital, Hornbill Capital, Lightspeed Venture Partners, GSV Ventures, and others. Its Series B round in September 2024, totaling $210 million, valued the company at $2.8 billion—a 2.5X increase over 2022. This large capital infusion renewed investor confidence amid broader sector headwinds and the fallout from Byju’s crisis.
The fresh funds will be deployed to enhance physical infrastructure, lease obligations for offline centers, technology upgrades, marketing outreach, and strategic mergers. The comprehensive growth plan reinforces PhysicsWallah’s position as one of the few profitable Indian edtech companies heading for a public listing.
Market Significance
PhysicsWallah’s upcoming IPO is widely seen as a landmark event for the Indian edtech space, signaling recovery and renewed optimism in a sector that faced steep funding declines post-pandemic. It reflects a pivot towards hybrid learning models combining offline coaching hubs with digital scalability—a differentiation that appears to resonate well with a broader learner base across socioeconomic segments.
With the IPO scheduled to open soon, the market will keenly watch how PhysicsWallah balances growth, profitability, and competitive pressures in a maturing landscape crowded by global and domestic players. As India’s edtech market is projected to reach $29 billion by 2030, PhysicsWallah aims to be a trailblazer among publicly listed education technology companies.
This development is first reported by The Economic Times.
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