PhysicsWallah Ltd is gearing up for a major initial public offering (IPO) of around ₹3,480 crore, comprising a fresh issue of ₹3,100 crore and an offer-for-sale of ₹380 crore. Its price band is set between ₹103 and ₹109 per share, valuing the company at roughly ₹30,000–₹31,000 crore at the upper end.
On the strength side, PhysicsWallah has demonstrated robust revenue growth, climbing from around ₹744 crore in FY23 to nearly ₹2,887 crore in FY25. The company has also built a large paid-user base and expanded its offline/online hybrid presence, giving it a differentiated model in India’s edtech segment.
However, several risks persist. Despite strong topline growth, the company remains loss-making, with a net loss of about ₹243 crore in FY25. Given the high valuation, profitability visibility is limited and investors may need to wait several years before a material turnaround. The business also faces execution risks, competitive pressures, regulatory uncertainties and infrastructure challenges.
In conclusion, while PhysicsWallah’s brand and growth trajectory are compelling, the IPO presents a mix of potential and risk. For investors, the decision will depend on whether one is comfortable betting on future earnings delivery in a highly competitive space and accepting the valuation premium today.
