PhysicsWallah reports staff decline and adopts AI amid offline loss
PhysicsWallah, the edtech company, has seen its total employee count and faculty strength decline sequentially in Q2 FY27, partly due to AI efficiencies across content creation, quality checks, test paper preparation and evaluation, to boost efficiency and is turning to AI for smoother operations and lower expenses.
Still, its offline business remained loss-making in the first half of fiscal year 2027, even as the company tries new strategies.
PhysicsWallah eyes 30% FY27 growth
Despite cutting employee costs by 2.3% in the second quarter of fiscal year 2027 and growing offline revenue by 9% (to ₹541 crore), PhysicsWallah's offline segment posted a pre-Ind AS EBITDA loss of ₹108 crore in H1 FY27, partly due to lower NEET enrolments and delays in government exam notifications.
On the bright side, total company revenue jumped 18%, net profit doubled to ₹142 crore, and they're eyeing FY27 revenue growth guidance of around 30% with less than $20 million set aside for online education acquisitions.