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Company Images(L-R) Alakh Pandey and Prateek Maheshwari, cofounders, Physicswallah Edtech unicorn PhysicsWallah (PW) is gearing up for a massive offline expansion, as Co-Founders Alakh Pandey and Prateek Maheshwari revealed how they plan to use the ₹3,100 crore being raised through a fresh issue in an interview with ET Now. The proceeds will fund the launch of 200 new tech-enabled offline centres, boost branding and marketing initiatives, and support infrastructure expansion over the next three years.Not a pivot, but an extension: PhysicsWallah bets big on offline hybrid learningDespite its strong online roots, PhysicsWallah is expanding into the offline space — but with a digital edge.“It’s not a pivot; it’s a natural progression,” said Maheshwari. “Students want hybrid experiences — our offline centres are tech-enabled, with smart boards, cameras, and post-class access to lectures.”The company currently operates over 300 centres and plans to open 200 more in the next three years. PhysicsWallah’s offline business, he said, currently delivers steady margins of 15–18% and has a “93% market headroom” for growth in India’s test-prep ecosystem.Edtech’s hybrid future: From YouTube to the classroomPhysicsWallah’s online reach remains formidable — with a 12-crore student community across 900+ digital channels on YouTube, Telegram, Instagram, and Snapchat.Live EventsYou Might Also Like:PhysicsWallah IPO: Alakh Pandey on edtech’s valuation, expanding offline network and more“Our online model has very high contribution margins and EBITDA because thousands of students learn together in AI-powered classrooms,” said Maheshwari.However, student demand post-COVID prompted the company to launch offline centres, blending technology with physical presence — creating what Pandey calls “a tech-driven learning ecosystem.”₹3,100 crore fundraise to power expansion, branding & cloud infraAccording to the co-founders, a major share of the upcoming ₹3,100 crore will go toward:Capex for new and existing centresLease and cloud paymentsBranding, events, and marketingYou Might Also Like:Alakh Pandey on PhysicsWallah’s IPO; Slice’s losses widen“A big part of the funds is split between setting up new centres and scaling brand visibility,” Pandey said.Cash-rich, compounding growth storyUnlike many startups burning cash to expand, PhysicsWallah is cash positive.“In FY24, we generated ₹200 crore in operational cash; FY25 crossed ₹500 crore,” Pandey shared. “Offline takes about 24 months to breakeven, but it’s a compounding story.”Maheshwari added that the company’s cash from operations doubled year-on-year, underscoring sustainable growth.You Might Also Like:PhysicsWallah IPO to open on November 11 with price band of Rs 103-109 a share“We can’t give forward guidance, but PAT profitability is coming very soon,” he said.Revenue recognition tied to academic cyclesPW follows a revenue model aligned with the academic calendar.“Students enroll in the first six months; revenue accrues over course duration,” explained Maheshwari. “Quarter 3 and 4 are typically stronger, but we assess performance annually to reflect true profitability.”Industry outlookAnalysts note that PhysicsWallah’s hybrid expansion strategy mirrors a broader shift in India’s edtech landscape — from digital-only to blended learning formats. With competitors scaling back, PW’s focus on sustainable margins and offline presence positions it as a rare profitable player in India’s edtech 2.0 era.Add as a Reliable and Trusted News Source Add Now! (You can now subscribe to our ETMarkets WhatsApp channel) Read More News onPhysicsWallahcash positive startupAlakh Pandey and Prateek Maheshwarieducation technologyPhysicsWallah plans 200 new offline centresHybrid learning modelEdtech startup newsPhysicsWallah offline centresIndian edtech companies (What's moving Sensex and Nifty Track latest market news, stock tips, Budget 2025, Share Market on Budget 2025 and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .) Subscribe to ET Prime and read the Economic Times ePaper Online.and Sensex Today. Top Trending Stocks: SBI Share Price, Axis Bank Share Price, HDFC Bank Share Price, Infosys Share Price, Wipro Share Price, NTPC Share Price...moreless (You can now subscribe to our ETMarkets WhatsApp channel)Read More News onPhysicsWallahcash positive startupAlakh Pandey and Prateek Maheshwarieducation technologyPhysicsWallah plans 200 new offline centresHybrid learning modelEdtech startup newsPhysicsWallah offline centresIndian edtech companies(What's moving Sensex and Nifty Track latest market news, stock tips, Budget 2025, Share Market on Budget 2025 and expert advice, on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds .) Subscribe to ET Prime and read the Economic Times ePaper Online.and Sensex Today. 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