Physicswallah shares jump over 5% after reducing Q4 net loss improves sentiment; here's what analysts expect next

Physicswallah shares surged 5% during the intraday trading session on Friday, May 29, after the online education firm recorded a reduction in net losses for the March quarter of the financial year ended 2025-26, on healthy revenue growth, as per an exchange filing.

NSE data showed that Physicswallah shares surged 5.3% to ₹117.95 during Friday’s trading session, compared to ₹111.99 at the previous market close. The company announced its financial results after market hours on Wednesday, and shares reacted to the earnings release on Friday after a market holiday.

As of 12:22 pm, Physicswallah shares were trading 2% higher at ₹114.25 on Friday, compared to the previous market close.

While attributing the healthy earnings to surging revenues and improving margins ahead of expectations, the experts predict that the edu-tech company’s performance is set to improve, backed by the execution in the offline and online businesses.

Q4 earnings snapshot

In its NSE filing, Physicswallah disclosed that the company’s consolidated net losses (attributable to the owners) contracted by 74% to ₹74.89 crore in the March quarter of the year ended 2025-26, compared year-on-year with ₹293 crore in the same period a year ago.

The edu-tech company’s revenue from core operations advanced by nearly 51% to ₹919 crore in the fourth quarter, compared with ₹609 crore in the same period a year ago, as per the consolidated financial statements.

The company’s earnings per share (EPS) also contracted to a loss of ₹0.26 apiece, from its earlier ₹1.17 per share loss levels.

Physicswallah also disclosed that the company’s paid users also increased to 5.34 million in the financial year ended 2025-26, from an earlier customer base of 4.46 million in the previous fiscal year.

“Expansion to 353 centres further strengthened PW’s hybrid distribution model and improved access across geographies,” the company said in its official statement.

On the operational level, Physicswallah’s earnings before interest, tax, depreciation and amortisation (EBITDA) rose 184% to ₹549 crore in the year ended 2025-26, while the EBITDA margin expanded to 14.1% YoY.

Revenue and margin beat estimates

Experts from Goldman Sachs said that Physicswallah’s March quarter revenue growth beat their quarterly estimates, with the EBITDA margin surpassing expectations on the operating leverage of the company.

The edu-tech company’s management clarified that their online business remains their primary focus area, while it also does not expect material investments into its primary to secondary school operations (K-12 segment).

“Limited visibility on NBFC arm strategy could weigh on valuation multiples. While the revenue and EBITDA estimates have been raised by up to 7% and 10%, respectively,” said the analysts.

While analysts from the Hong Kong-based leading investment firm, HSBC, attributed the healthy growth of Q4 results to the company’s expansion in its offline business and the rising premiumisation in its online business.

“Long-term value creation is dependent on the successful execution of offline business and K-12 online penetration,” said the experts while looking ahead and forecasting a compounded annual growth rate (CAGR) expansion of 60% between the fiscal year 2026 and 2030.

Physicswallah share price trend

Although Physicswallah shares have lost 13% year-to-date (YTD) so far in the calendar year 2026, the edu-tech company’s stock has delivered more than 3% returns to investors in the past one month, according to NSE data.

Shares of the company were listed on the Indian stock market in November 2025, and since then, the stock has lost around 19% since the listing levels.

Physicswallah's stock surged to its 52-week high of ₹161.99 on its listing date back on November 18, 2025, while the 52-week low was at ₹77.72 on March 4, 2026, according to the exchange data.

The company’s market capitalisation (m-cap) was at ₹33,244.90 crore as of Friday’s trading session.