Billionbrains Garage Ventures, which operates the stockbroking platform Groww, reported a 54% year-on-year (YoY) rise in consolidated profit after tax (PAT) in the September quarter, while revenue grew 44%, despite the impact of the Closing Auction System (CAS) on equity derivatives activity.
The company reported a consolidated PAT of ₹725 crore in Q2 FY27, compared with ₹471 crore in the same period last year. Revenue rose 43.88% YoY to ₹1,541 crore in the September quarter, from ₹1,071 crore in Q2 FY26.
Groww added 11 lakh new transacting users (NTUs) during the quarter, taking its total transacting user base 27% higher YoY. Total customer assets grew 46% over the same period.
During the quarter, Groww reported a 14.3% sequential decline in equity derivatives revenue, which it said was broadly in line with the industry trend.
The company attributed the decline in derivatives revenue largely to the CAS mechanism introduced by the Securities and Exchange Board of India (Sebi) on August 3, 2026, for futures and options (F&O)-eligible stocks.
“The consultation paper published by Sebi proposes to delink derivatives settlement from CAS closing prices, which, if implemented, should help in normalising trading activity,” the company said.
MTF, commodity derivatives gain traction
Despite the moderation in equity derivatives activity, Groww saw an increased contribution from several other businesses during the quarter. The contribution of margin trading facility (MTF) to total income increased by 5.5 percentage points YoY, while commodity derivatives gained 6 percentage points. Other operating income also benefited from strong primary market activity.
The company said 42 lakh users applied for equity initial public offerings (IPOs) through its platform during the quarter, helping it secure a 22% share of total allotments.
Groww expects relatively less-penetrated products such as MTF and commodity derivatives to grow faster, increasing their contribution to revenue in the coming quarters.
Groww AMC AUM rises 145% YoY
Groww’s asset management company (AMC) reported a 145% YoY increase in assets under management (AUM) to ₹7,179 crore from ₹2,928 crore. The share of actively managed assets in its total AUM rose to 57% from 47% a year earlier.
AMC revenue increased 131% YoY during the quarter, although the business reported a bottom-line loss of ₹8.3 crore. The company said it would continue expanding its wealth offerings across platforms as it scales its newer businesses.
During the quarter, Groww also received an investment of ₹580 crore from State Street Global Advisors. It deployed ₹1,915 crore into its MTF, personal loan (PL) and loans against securities (LAS) books, and repaid ₹203 crore in debt.
Its cash balance stood at ₹3,849 crore at the end of the first half of FY27, compared with ₹3,893 crore at the beginning of the half-year.
Following the Q2 results, shares of Groww declined as much as 1.52% to hit an intraday low of ₹190.80 on the BSE. Its market capitalisation fell to around ₹1.2 lakh crore.