Physics Wallah enjoys a rosy IPO day, bucking the broader slowdown in Indian edtech

Indian edtech startup Physics Wallah ended its archetypal time arsenic a nationalist institution connected a high, with its shares closing 44% higher than they were listed for, indicating that the country’s edtech assemblage whitethorn inactive retrieve aft years of gloom.

Priced astatine ₹109, the company’s shares climbed arsenic precocious arsenic ₹161.99 earlier closing astatine ₹156.49, valuing the seven-year-old institution astatine ₹448 cardinal (around $5 billion). That’s good supra its listing valuation of ₹315 cardinal (approximately $3.6 billion), and astir 79% higher than its past private valuation of $2.8 billion successful September 2024.

The beardown IPO highlights the singular maturation arc of Physics Wallah, which started disconnected arsenic a YouTube transmission tally by laminitis Alakh Pandey successful 2016. It present stands retired successful an manufacture different reeling from layoffs, a backing drought, and the unraveling of once-high-flying rival Byju’s. Today, the institution offers test-preparation and upskilling courses via its website, apps and offline centers.

In the fiscal twelvemonth 2025, Physics Wallah said its gross accrued 49% to ₹28.9 cardinal (approximately $326 million) from a twelvemonth earlier, portion its nett nonaccomplishment narrowed to ₹2.4 cardinal (roughly $27.5 million) from ₹11.31 cardinal (about $127.7 million). Online channels accounted for 48.6% of operating revenue, portion offline centers contributed 46.8%. The institution besides reported a 4.5 cardinal paying subscribers, a 23% summation from past year.

The company’s emergence comes arsenic its larger rivals conflict to operate. Byju’s, erstwhile India’s astir invaluable startup astatine $22 billion, was engulfed successful a corporate-governance crisis, has been warring legal battles with lenders, and is dealing with a terrible currency crunch that has forced wide layoffs. The Bengaluru-based startup is presently undergoing insolvency proceedings successful some India and the U.S.

Unacademy, different high-profile edtech has besides sharply scaled backmost operations and cut staff, and is reported to beryllium successful talks to beryllium acquired by upskilling level UpGrad for $300 to $400 million — a steep diminution from its $3.44 cardinal valuation successful 2021.

“It’s a bully milestone to person the IPO coming our way,” said Pandey during the company’s IPO ceremonial successful Mumbai. “But the ngo and imaginativeness are a batch to beryllium near to beryllium completed.”

Physics Wallah plans to deploy astir of its IPO proceeds into expanding its offline centers, strengthening its exertion stack, and backing imaginable acquisitions. The institution has already aggressively expanded its offline footprint and presently operates 303 centers crossed 152 cities successful India and the Middle East arsenic of June 2025, up from 182 past year.