Physicswallah IPO

About Physicswallah IPO

The 100% book building issue of Physicswallah Ltd comprises a fresh issue of aggregating up to ₹3100 crores and an offer for sale aggregating up to ₹720 crores. The total offer size of the issue aggregates up to ₹3820 crores. The price band is [TBA] per share and the lot size is [TBA]. The IPO opens on [TBA] and closes on [TBA].

The listing date is on [TBA] and the allotment date is on [TBA]. The credit of shares to the Demat account will take place on [TBA], while the initiation of refund will take place on [TBA].

Physicswallah Ltd offers test preparation courses for competitive examinations, and other courses such as for upskilling. Its channels of delivery include – (i) online, which includes its social media channels, website and apps; (ii) tech-enabled offline centres (where its faculty conducts live classes in a physical centre); or (iii) hybrid centres (its two-teacher model where a student attends a live online classes at a physical centre and can benefit from another faculty that is present at the centre to resolve questions and participate in revision classes).

Objectives of Physicswallah IPO

The company proposes to utilise the IPO proceeds for:

• Capital expenditure for fit-outs of new offline and hybrid centres of the company
  
• Expenditure towards lease payments of existing identified offline and hybrid centres operated by the company
  
• Investment in its subsidiary, Xylem Learning Private Limited
  
• Investment in its subsidiary, Utkarsh Classes & Edutech Private Limited for expenditure towards lease payments for Utkarsh Classes’ existing identified offline centres
  
• Expenditure towards server and cloud related infrastructure costs
• Expenditure towards marketing initiatives
  
• Acquisition of additional shareholding in its subsidiary, Utkarsh Classes & Edutech Private Limited
  
• Funding inorganic growth through unidentified acquisitions and general corporate purposes
  

Industry Outlook

India's education sector ranks among the largest worldwide, driven by its scale and continued investment in infrastructure and quality. As per All India Survey of Higher Education (AISHE), the number of universities increased from 903 in Fiscal 2018 to 1,168 in Fiscal 2022, while colleges grew from 39,050 to 45,473 during the same period. The number of schools in India stood at 14,71,891 in Fiscal 2024 as compared to 15,58,903 in Fiscal 2018.

NEP 2020 is transforming India’s education landscape with a focus on expanding access, fostering global competitiveness, and promoting sustainability. India's Gross Enrolment Ratio (GER) in higher education stood at ~33% in CY2022, according to the World Bank.

The Indian education market is at ₹15-16 trillion (US$ 185-195 billion) in Fiscal 2025, accounting for ~5% of India's GDP at current prices. It is projected to grow at a CAGR of ~10% over the next 5 years to reach ₹24- 26 trillion (US$ 300-310 billion) in Fiscal 2030.

Company Information

Physicswallah Ltd offers test preparation courses for competitive examinations, and other courses such as for upskilling. Its channels of delivery include – (i) online, which includes its social media channels, website and apps; (ii) tech-enabled offline centres (where its faculty conducts live classes in a physical centre); or (iii) hybrid centres (its two-teacher model where a student attends a live online classes at a physical centre and can benefit from another faculty that is present at the centre to resolve questions and participate in revision classes).

Among the top 5 education companies in terms of revenue in India, Physicswallah is the largest in India in terms of student community, with its main YouTube channel, “Physics Wallah-Alakh Pandey" having ~13.7 million subscribers as of July 15, 2025, according to Redseer Report.

Strengths of Physicswallah IPO

• Physicswallah had 4.46 million total number of paid users in Fiscal 2025 which grew at a CAGR of 59.19% between Fiscals 2023 and 2025, driven by a student community-led approach
  
• Presence across a large number of education categories in India with courses offered through multiple channels
  
• Proprietary technology-stack enhances students’ learning experience
  
• Ecosystem generates network effects driven by community-based approach
  
• Specialised faculty members across categories, quality content and well-planned curriculum leading to successful results
  
• Experienced management team led by visionary founders
  

Risks of Physicswallah IPO

• Negative cash flows in the past are a major risk factor. Recurrence of negative cash flows can impact the business and revenues
  
• Inability to generate adequate revenues may negatively affect the company’s financial condition
  
• Failure to attract and retain students could impact financial conditions and cash flows
  
• Failure to attract and retain faculty members may adversely impact business and operations
  
• Discontinuation of founders' services could adversely impact business
  
• Failure to provide content across education categories may adversely impact student outcomes and enrolments
  
• Failure to expand network of offline and online centres could expose it to concentration risks
  
• Potential conflict of interest due to related party transactions
  
• Certain subsidiaries have incurred losses whose continuation may adversely affect cash flows
  

Peer Comparison

There are no listed peers of the company and potential investors may not have a peer to draw a comparison with the company.

Anchor Investor Bidding Date

TBA

IPO Registrar and Book Running Lead Managers

• Registrar: MUFG Intime India Pvt Ltd
• Book Running Lead Manager: Kotak Mahindra Capital Company Ltd, J.P. Morgan India Private
• Ltd, Goldman Sachs (India) Securities Private Ltd and Axis Capital Ltd

Business Model

Physicswallah started its operations by offering test preparation courses for JEE and NEET. It has since then expanded its course offerings across additional test preparation categories for other competitive examinations (such as civil service examinations, graduate aptitude test in engineering (“GATE”) and other government examinations). It’s also present in other categories, such as “Skills” which includes upskilling courses for students and professionals across areas such as data science and analytics, banking and finance and software development. As of March 31, 2025, the company offers multiple courses across 13 education categories.

Company Growth Trajectory

The revenue from operations of Physicswallah Ltd grew from ₹744.318 crores in FY 23 to ₹2886.643 crores in FY 25. Its EBITDA margin grew from 1.86% in FY 23 to 6.69% in FY 25, while the total number of paid users grew from 0.176 crores in FY 23 to 0.446 crores in FY 25.

Its education categories grew from 6 in FY 23 to 13 in FY 25. The company operated 198 total offline centers as at March 31, 2025, which grew at a CAGR of 165.92% between Fiscals 2023 to 2025. Specialised faculty members along with an experienced management team has helped the company grow over the years.

Market Position

Among the top 5 education companies in terms of revenue in India, Physicswallah Ltd is the largest in India in terms of student community, with its main YouTube channel, “Physics Wallah-Alakh Pandey" having ~13.7 million subscribers as of July 15, 2025, according to Redseer Report.

Its YouTube community had 98.80 million subscribers as at June 30, 2025 and grew at a CAGR of 41.80% between Fiscals 2023 and 2025. It also has a significant offline presence among education companies in India in terms of offline revenue, according to the Redseer Report. It’s also among the top-five education companies in terms of revenue in India and is one of the fastest-growing companies in terms of revenue growth during Fiscals 2022 to 2024.

How to Check Allotment Status of Physicswallah Ltd?

1. Visit the Registrar’s Website

• Visit the website of MUFG Intime India Pvt Ltd
  
• Choose ‘Public Issues’ from Investor Services dropdown
  
• Choose the name of the company from ‘Select Company’ dropdown
  
• Enter any of these - PAN Number, Application Number, DP/Client ID, Account Number / IFSC
  
• Click on Submit to check the status
  

2. Verify on the National Stock Exchange Website

The National Stock Exchange (NSE) has an IPO Bid Verification module. You can use it to check the status of Physicswallah Ltd IPO. Go to the NSE website and find the 'Invest' tab. Click on 'Verify IPO Bids' under 'Resources & Tools'.

On the NSE IPO Bid Verification page, enter:

• Company name from dropdown
  
• Application number
  
• PAN
  

Then click 'Submit' to know the allotment status.

3. Check on the Bombay Stock Exchange Website

• Go to the BSE website
  
• Click on ‘Status of Issue Application’ under ‘Investor Services’
  
• Click on ‘Application Status Check’
  
• Choose the ‘Issue Type’ and ‘Issue Name’
  
• Enter either your PAN or Application Number
  
• Tick the box ‘I’m not a robot’
  
• Click on ‘Search to view allotment status
  

How to Apply for Physicswallah IPO?

• Log in to your Kotak Securities Demat account - Log in to your Demat account to access IPO investments. Next, select the current IPO section.
  
• Specify IPO details - Enter the number of lots and the price you wish to apply for.
  
• Enter UPI ID - After entering your UPI ID, click submit. This will place your bid with the exchange.
  
• Mandate Notification - Your UPI app will receive a mandate notification to block funds.
  
• Approve Request - Your funds will be blocked once you approve the mandate request on your UPI.