PhysicsWallah Swings to ₹143.6 Crore Profit as Costs Fall 11%

PhysicsWallah reported a consolidated net profit of ₹143.6 crore for the September quarter, against a loss of ₹88.3 crore in the June quarter, on operating revenue of ₹1,242.3 crore, up 18.2 percent from a year earlier, according to Inc42 and MediaNama. The swing is mostly a cost story: total expenses fell 11 percent from the first quarter while revenue rose.

Both outlets published on Nov. 6. The Terminal worked from their reports, not the exchange filing, and the arithmetic below is its own.

Costs fell ₹136.8 crore in one quarter

MediaNama puts first-quarter expenses at ₹1,242.2 crore and second-quarter expenses at ₹1,105.4 crore, a drop of ₹136.8 crore. Inc42's body text puts first-quarter revenue at ₹1,050.3 crore, which would make operating revenue ₹192 crore higher in the second quarter; its own summary line gives a different sequential figure, so treat the first-quarter revenue base as soft.

Neither outlet explains the expense drop. Inc42 reports employee benefit expenses of ₹522.4 crore, up 10.4 percent from ₹473.1 crore a year earlier, so staff cost did not fall year on year. EBITDA, earnings before interest, tax, depreciation and amortisation, was ₹348 crore, up 52.6 percent from ₹228 crore, a 28 percent margin against 21.7 percent. Online revenue rose 26.4 percent to ₹693.5 crore and offline rose 9 percent to ₹540.9 crore, across 370 offline centres.

How much of the profit is other income

PhysicsWallah booked ₹92.4 crore of other income, taking total income to ₹1,334.6 crore. Total income minus total expenses is ₹229.2 crore, so other income is 40.3 percent of that pre-tax figure. Operating revenue alone still exceeds expenses by ₹136.9 crore, so the profit does not depend on other income to exist.

Lenskart, which reported on Nov. 4, shows the contrast. Per MediaNama and Inc42, it earned ₹232.5 crore net profit on ₹2,845 crore operating revenue, with ₹54.5 crore of other income and ₹2,596.8 crore of expenses. Its pre-tax figure by the same method is ₹302.7 crore, of which other income is 18 percent.

1. PhysicsWallah40.3 %
2. Lenskart18 %

Source: Terminal calculation from Inc42 and MediaNama Q2 FY27 figures, accessed 2026-11-07

Q2 FY27, ₹ crore	PhysicsWallah	Lenskart
Operating revenue	1,242.3	2,845
Other income	92.4	54.5
Total expenses	1,105.4	2,596.8
Reported net profit	143.6	232.5

The gap between the pre-tax figure and net profit is ₹85.6 crore at PhysicsWallah and ₹70.2 crore at Lenskart. Neither outlet itemises it, so tax, minority interest and discontinued operations cannot be separated here. Inc42 does report ₹1.3 crore of profit from discontinued operations at PhysicsWallah.

Two deals in the same filing

PhysicsWallah's board approved buying a further 12.25 percent of Utkarsh Classes, which would lift its stake from 75.5 percent to 87.75 percent. Both outlets print the price as ₹2.6 lakh, which cannot be right for a stake of that size, and the figure should be checked against the filing. MediaNama says completion is expected in three months.

Separately, its Finz Finance subsidiary exited lending and sold its loan portfolio to Auxilo Finserve for ₹95.8 crore in October 2026, per Inc42. CEO Alakh Pandey said only that "this quarter shows the strength of our model", per MediaNama.

Inc42 reports management guidance of 30 percent consolidated revenue growth, 100 percent group-level EBITDA growth and near break-even for offline in FY27. The test of the cost story is the December quarter: if expenses stay near ₹1,105 crore, the Q2 margin is a run rate. If they climb back toward ₹1,242 crore, it was a one-quarter dip. Compare the Razorpay IPO filing's loss and Angel One's client count for how other listed or listing Indian companies are reporting profit.