Groww, the Bengaluru-based stockbroking and investment platform operated by Billionbrains Garage Ventures, reported a 54% year-on-year increase in consolidated net profit to ₹725 crore for the second quarter of financial year 2026-27 (Q2 FY27). The company’s performance was supported by increased contributions from commodities trading and margin financing, which helped offset pressure on its equity derivatives business amid changing market conditions and regulatory developments.
Revenue from operations rose 47% to ₹1,502 crore in the quarter ended September 30, 2026, compared with ₹1,019 crore in the corresponding period of the previous financial year. The company had reported a consolidated net profit of ₹471 crore in Q2 FY26.
Groww’s other income stood at ₹39 crore, taking its total income to approximately ₹1,541 crore, an increase of 44% from ₹1,071 crore a year earlier. However, the quarter-on-quarter performance was relatively stable on revenue, with operating revenue broadly unchanged from ₹1,501 crore in Q1 FY27. Consolidated net profit declined approximately 1.4% from ₹735 crore in the preceding quarter.
The results reflect the company’s continued expansion in India’s investment market, alongside a changing revenue mix as commodities trading and its Margin Trading Facility (MTF) business gain importance.
Expenses Increase as Equity Derivatives Contribution Declines
Groww’s total expenditure increased approximately 28% year-on-year to ₹556 crore in Q2 FY27, compared with ₹433 crore in the year-ago quarter. Employee benefit expenses accounted for ₹169 crore, representing more than 30% of total expenditure. Finance costs stood at approximately ₹4.7 crore, while depreciation and amortisation expenses were ₹18.2 crore.
The company’s performance came amid regulatory changes in India’s securities market, including the introduction of a Closing Auction Session (CAS) in the equity cash segment by the Securities and Exchange Board of India (SEBI). Groww said market adjustments following the introduction of CAS affected its equity derivatives business during the quarter.
Equity derivatives accounted for 44.8% of Groww’s total income, down from 56.9% in Q2 FY26, a decline of approximately 12 percentage points. The company said it expected the segment’s contribution to recover once recommendations outlined in SEBI’s consultation paper came into effect.
The change highlights the impact that regulatory developments and shifts in trading activity can have on the revenue composition of stockbroking platforms. Although equity derivatives continued to be Groww’s largest income contributor, the segment accounted for a smaller share of the company’s total income than it did a year earlier.
Commodities Trading and Margin Financing Gain Ground
Commodities trading emerged as a growing contributor to Groww’s revenue during the quarter. The segment accounted for 6.2% of total income in Q2 FY27, compared with just 0.2% in the corresponding quarter last year.
The company also expanded its Margin Trading Facility business, which enables eligible investors to purchase securities using funds borrowed through their broker. MTF’s contribution to Groww’s total income increased to 10.1% from 7.4% a year earlier.
The growing contributions from these segments helped diversify the company’s income mix as its equity derivatives business faced pressure. The results underline Groww’s efforts to develop multiple revenue streams within its investment platform while continuing to serve a large base of retail investors.
However, the company remains exposed to changes in trading volumes, market conditions and regulatory requirements, given the continued importance of equity derivatives to its overall income.
Groww Retains Its Position as India’s Largest Stockbroker by Active Clients
Groww continued to expand its user base and customer assets during the quarter. Its total transacting user base increased 27% year-on-year to approximately 2.4 crore, while the value of customer assets held on its platform rose 46% to ₹3.9 lakh crore.
According to National Stock Exchange (NSE) data for September 2026, Groww remained India’s largest stockbroker by active clients, with approximately 1.34 crore active users and a market share of 29.16%.
The company added 1,00,961 active clients during September, accounting for more than 60% of the industry’s net additions that month. Zerodha ranked second with a market share of 14.73%, followed by Angel One at 14.65%.
Emerging stockbroking platform Sahi recorded the fastest percentage growth in active clients among the country’s top 20 brokers for the second consecutive month, according to the figures cited in the report.
Groww also increased its market share across several investment categories. Its share of the mutual fund market rose to 14.8% from 13.1% a year earlier, while its market share in equity derivatives increased to 11% from 8.6%. In the MTF segment, its share climbed to 2.7% from 1.6%.
The increase in equity derivatives market share, despite the segment’s declining contribution to total income, indicates that the company’s overall revenue composition is being influenced by factors beyond its relative position in the market.
Wealth Management and Asset Management Businesses Expand
Alongside its core stockbroking operations, Groww continued to develop its wealth management and asset management businesses.
Assets under management in its wealth management division crossed ₹10,000 crore during the quarter. Meanwhile, Groww’s asset management company reported a 145% year-on-year increase in assets under management to ₹7,179 crore, compared with ₹2,928 crore in Q2 FY26.
The company also completed the integration of wealth management platform Fisdom during the quarter, extending its presence in investment advisory and wealth management services.
The expansion of these businesses reflects Groww’s broader effort to build an investment services platform that extends beyond stock trading. By growing its wealth management and mutual fund operations alongside its broking business, the company is seeking to serve customers across a wider range of financial products.
Groww’s latest quarterly results highlight strong year-on-year profit and revenue growth, supported by an expanding customer base and higher contributions from commodities and margin financing. At the same time, the sequential decline in profit and the reduced contribution from equity derivatives underline the importance of managing regulatory changes and diversifying income sources as the business grows.
Disclaimer: This report has been editorially prepared using publicly available information and official company disclosures. Readers are advised to refer to official company announcements/disclosures for further details.
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