Indian edtech giant PhysicsWallah (PW) has raised $210 million in a highly successful Series B funding round led by Hornbill Capital and Lightspeed Venture Partners, with participation from existing investors WestBridge and GSV Ventures. This funding propels PW’s valuation to $2.8 billion, a 2.5x increase from its previous $1.1 billion valuation.
The investment arrives as the global edtech sector faces significant challenges, underscoring investor confidence in PW’s vision to democratise education across India, especially in underserved regions known as ‘Bharat.’ PW, co-founded by Alakh Pandey and Prateek Maheshwari, aims to leverage this capital to expand its footprint, particularly in the K-12 education space, enhance its technology infrastructure, and explore mergers and acquisitions.
PW is currently producing over 9,500 hours of content weekly and has reached students in 98% of India’s geography, covering 18,808 pin codes. The funds will help strengthen its offline education offerings, where it has seen remarkable growth despite profitability challenges.
In FY23, PW reported a threefold increase in revenue, totalling Rs 772 crore. The company remains optimistic about its profitability in FY25, expecting it to be the highest EBITDA year in its history. Maheshwari emphasised the importance of building offline centres, projecting that each centre will take approximately three years to become profitable.
PW is also focusing on AI-powered tools to enhance learning outcomes and improve the student experience, which has garnered industry-wide praise.
Despite facing short-term profit dips due to expansion costs, PhysicsWallah is poised for strong future growth. Its expansion into new regions, particularly in South India, and its aggressive plans for the future make it a key player to watch in the edtech market.
For FY25, PW aims for over 50% growth, positioning itself as a leading force in transforming India’s education landscape, particularly in bridging the gap for students in rural and underserved areas.
