Noida-based edtech firm PhysicsWallah has incorporated a wholly-owned subsidiary focussed on student housing.
“We wish to inform you that the Ministry of Corporate Affairs has approved the incorporation of (a) wholly owned subsidiary of the company in the name of ‘PhysicsWallah Student Housing Private Limited,’ it said in an exchange filing on Wednesday.
This comes as its offline enrolments grew 36% year-on-year (YoY) to 4.1 lakh in the December 2025 quarter.
The company reported its operating revenues rose 34% YoY to Rs 1,082.4 crore during the quarter, driven by growth in paid users and expansion of its offline network to 318 centres across the country. It posted a nprofit of Rs 102.3 crore in Q3 FY26, compared with Rs 70 crore in Q2 FY26.
The company also said that its board has approved the acquisition of Nextseed Foundation (a non profit organisation focused on education) for Rs 1,00,000.
In the test prep segment, PhysicsWallah competes with the likes of Bodhi Tree-backed Allen Career Institute, Aakash Institute, and Unacademy.
The company debuted on the bourses on November 18 with a Rs 3,480 crore initial public offering (IPO), through which it raised Rs 3,100 crore in primary capital. In its red herring prospectus (RHP), the company stated that it plans to use the proceeds for investments in its subsidiaries as well as for acquisitions.
In December 2025, it bought an additional stake worth Rs 122.9 crore to increase its shareholding in its subsidiary Xylem Learning from 64.98% to 77.27%.
The company’s board had earlier also approved fresh investments in four wholly-owned subsidiaries – of up to Rs 400 crore in Penpencil Edu Services (up to Rs 400 crore), Rs 20 crore in Finz Fintech (Rs 20 crore), Finz Finance (Rs 50 crore), and Rs 18 crore in Knowledge Planet.
