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Groww Reports Rs 1,216 Crore Q3 Revenue, Rs 547 Crore Profit, Discloses State Street AMC Deal

The year-on-year profit decline stems from a prior long-term incentive reversal that boosted last year's base.

Overview

  • Revenue from operations rose 24.8% year on year to Rs 1,216 crore and increased 19.4% from the prior quarter.
  • Net profit came in at Rs 547 crore, up 16% sequentially but down about 27.8% from a year earlier due to the prior-year LTI accounting effect.
  • Groww announced a roughly Rs 580 crore transaction involving its asset management arm, with reports differing on whether this is a 4.99% stake sale or an investment of up to 23% economic interest with voting capped at 4.99%.
  • Operational metrics strengthened, including higher retail cash equity activity, broking market share rising to 28.8%, larger mutual fund SIP inflows, a sharply bigger margin trading book, and growth in the NBFC loan book.
  • The stock slipped as much as 3.5% intraday before recovering near Rs 164, and Citi initiated coverage with a buy rating and a Rs 195 target price.