PC: Stark Times
Physics Wallah has received a new round of funding of $ 210 million in its latest Series B funding led by Hornbill Capital, and along with it Lightspeed Venture Partners, GSV and WestBridge. This investment milestone not only denotes the growing stature of the company but also elevates the post-money valuation to an impressive $2.8 billion, over 2.5X its previously achieved valuation at $1.1 billion in the Series A funding round when it had raised $100 million.
Infusion of fresh capital will fuel Physics Wallah’s aggressive growth agenda with strategic focus on scaling up the operations and further consolidation into the dynamic education market. The company would look to utilize the funds deployed for inorganic expansion initiatives by venturing into the K-12 segment, enrichment of content offerings, and it also considers mergers with synergistic potential through the consolidation with community-centric education platforms. All these are indicative of its thrust towards innovation and holistic educational empowerment.
This investment not only vindicates our relentless pursuit for democratizing education but also underlines the transformative impact we have had on students all over India over the years, said Alakh Pandey, the visionary founder and CEO of Physics Wallah. The company’s commitment to making quality education accessible to every learner underscores its inclusive learning and empowerment ethos.
Founded in 2020 by Alakh Pandey and Prateek Maheshwari, Physics Wallah is unique in that it offers fully integrated online and offline courses to aspirants who are preparing for JEE, NEET, engineering entrance exams, and state board exams. The organization further has specialized divisions dealing in skill development, pathways for higher education, and study abroad. Interestingly, its Institute of Innovation (IOI) offers unique 4-year residential programs that focus on industry-relevant skills and job readiness-an accomplishment in itself as a benchmark for holistic structures of education.
Originated as a basic YouTube channel in 2014, Physics Wallah now operates as a top edtech firm, offering free study material to an astonishing 46 million students via its 112+ vernacular languages on the channel. More than 30 million downloads of the application by students and 5.5 million students opting for the premium paid versions are findings that indicate the immense demand and success of educational resources being met by the company.
Led by weak economic conditions, Physics Wallah saw an excellent 3.3X revenue growth of Rs 779 crore in FY 2023 with a nearly 90% decline in profit of Rs 8.87 crore. The firm is expecting to touch an incredible benchmark of Rs 2,000 crore for FY 2024, which would signify visible signs of sustaining the firm’s high growth trajectory and market buoyancy.
The Series B funding announcement comes at the right time when edtech investments have slowed down. Data would indeed reveal a sharp drop in funding comparison to earlier years. In this context, it is important to note that Physics Wallah’s successful funding round leads the investors to believe in the vision, innovation, and the magnitude of change the company has brought to this very landscape of education and its positioning as a forerunner in this evolving edtech ecosystem.
