Recently listed stock jumps after its net profit grows by 70% YoY in Q2 FY26

Synopsis:- A leading edtech player reported a strong Q2FY26 performance with revenue rising 26% and profit surging 70%, driven by 3.62 million paid users. Expanded centres, improved margins, and a successful ₹3,480-crore IPO underscore its growing scale, profitability, and investor confidence.

The shares of a prominent ed company rose up to 5 percent in today’s trading session after the company’s net profits and revenues jumped 70 percent and 26 percent in Q2FY26, respectively, driven by an increase in paid users.

With a market capitalisation of Rs 40,021.40 crore, the shares of Physicswallah Ltd were trading at Rs 139.95 per share, increasing around 1.01 percent as compared to the previous closing price of Rs 138.55 apiece.

Q2FY26 Highlights

The shares of Physicswallah Ltd have seen significant movement after announcing its financial performance in Q2FY26, in which revenue increased by 26 percent on a year-on-year basis from Rs 832 crore in Q2FY25 to Rs 1,051 crore in Q2FY26. However, on a Quarter-on-Quarter basis, revenue zoomed by 24 percent from Rs 847 crore in Q1FY26 to Rs 1,051 crore in Q2FY26.

Moreover, net profit increased by 70 percent on a yearly basis from Rs 41 crore in Q2FY25 to Rs 70 crore in Q2FY26, meanwhile, on a quarter-on-quarter basis, net loss turned into profit from a loss of Rs 127 crore in Q1FY26 to a profit of Rs 70 crore in Q2FY26.

The company’s revenue jump is fuelled by strong growth in paid users, rising from 2.99 million to 3.62 million. Online paid users reached 3.22 million versus 2.68 million last year, reflecting solid digital traction. Offline enrolments also improved to 0.40 million from 0.31 million, highlighting balanced growth across both channels and strengthening overall business momentum.

Adjusted EBITDA margins improved to 26% in Q2 FY26, up from 23% in Q2 FY25 due to improved operating leverage. This uplift is reflected in PAT as well, which increased to Rs 697 Mn in Q2 FY26 (7%margin) from Rs 411 Mn in Q2 FY25 (5% margin), 70% YoY growth.

PW delivered strong operational momentum in H1 FY26, expanding its centre network to 314 from 186 a year earlier. Online transacting users rose 20% to 3.22 million, while offline enrolments grew 26% to 0.40 million. With 6,643 faculty members, daily active users of 3.5 million, 103 minutes of engagement, and a 125-million social community, PW’s scale and reach continue to deepen.

Recently, PhysicsWallah’s IPO delivered a strong market debut, listing at  Rs 145 against an issue price of  Rs 109, a 33% gain. The  Rs 3,480-crore issue, priced in the  Rs 103– Rs 109 band, required a minimum investment of  Rs 14,111 for 137 shares. With bidding held from November 11–13 and listing on November 18, the offering saw healthy demand and positive investor sentiment.

PhysicsWallah is one of India’s fastest-growing edtech and hybrid learning companies, known for offering affordable, high-quality education to millions of students. Founded by Alakh Pandey, the platform has expanded from online classes to a vast network of offline centres, delivering competitive exam coaching with strong engagement, scalable operations, and a rapidly growing learner community.

Written by Abhishek Singh

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