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While LLMs are becoming an increasingly mature technology and are successfully used in multiple digital domains spanning email editing, text summarization or even coding, their multimodal extension lacks visual and physical understanding of the world. On the one hand, they can recite complex physics laws using formal languages; on the other hand, they donʼt fully grasp object permanence, motion understanding, or how objects collide. Today, we release PhysicalRealismBench-U — a physical realism benchmark with a synthetic dataset containing programmatic physics violations — along with an evaluation pipeline to evaluate state-of-the-art VLMs in the context of physics understanding. We show that even the best existing models fail at fundamental physical reasoning tasks, which even kids would easily solve. 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