Physicswallah 4Q print beats; online is the North Star with K-12 ambitions scaled back

Research evidence excerpt

Physicswallah 4Q print beats; online is the North Star with K-12 ambitions scaled back

J P M O R G A N Asia Pacific Equity Research

29 May 2026

Physicswallah Overweight

PHYS.NS, PWL IN

4Q print beats; online is the North Star with K-12 Price (27 May 26):Rs111.99

ambitions scaled back ▲Price Target (Mar-27):Rs127.00 Prior (Mar-27):Rs125.00

4Q print posted a beat on revenues (6%/1% ahead of Consensus/JPMe) and Pre-Ind

AS Ebitda margins (ahead of JPMe by 50bps). Revenue grew 51% YY primarily Head of APAC Telecoms and India

TMT Researchdriven by faster offline channel growth at 54% YoY, while the online channel grew

at 44% YY. Management has re-iterated its focus on the online channel as the North Ankur Rudra, CFA AC

Star for the business. Pre-Ind AS Ebitda margin came in at 1.1% (vs. -23% in (65) 6801-3237

ankur.rudra@jpmorgan.com

4Q25). PW has guided for 30% revenue growth in FY27 with faster growth in J.P. Morgan Securities Singapore Private Limited

online but healthy growth in offline as well. PW has guided for Ebitda breakeven

Bhavik Mehta, CFA

in the offline business in FY27 as newer Vidyapeeth centers move closer towards (91-22) 6157-3871

breakeven while older ones (FY22-24) are already profitable. There will be no bhavik.mehta@jpmchase.com

incremental capital allocation for K-12 and it will be taking a calibrated approach J.P. Morgan India Private Limited, J.P. Morgan

over here. PW announced a Rs1.2bn investment in NBFC arm FinZ for short Tower,Registration:Santacruz(E),INH000001873,Mumbai (91-22)- 400098,6157-3000.SEBI

duration education loans on its balance sheet vs. the earlier distribution model. We Harshit Sharma

have made minor tweaks to estimates and remain OW with a new PT of Rs127 (91-22) 6157-5879

(from Rs125). harshit.sharma@jpmchase.com

J.P.