PC: Inc42
One of the leading full-stack financial services platforms, Groww, which was funded by Tiger Global, today announced impressive growth and financial success for fiscal year ended March 2024. On a consolidated basis, the company had 2.2X scale growth and operating profitability with profits increasing by 16.8% in the period.
As per its press release, the operating revenues of this platform stood at as high as Rs 3,145 crore in FY24 as against the Rs 1,435 crore noticed in FY23. The drivers for revenue growth are subscription fees and commissions while income from tech platforms and support charges are added onto this pool of operating revenue streams.
A net loss of Rs 805 crore for FY24, mainly on account of a one-time tax outgo of Rs 1,340 crore in respect of relocation of the company’s domicile from Singapore to India, Growsw was operationally profitable. The company has been able to clock profits of Rs 535 crore in FY24 compared to Rs 458 crore achieved in the previous fiscal year, thereby establishing its financial staying power and focused effort in its operational endeavor.
Groww recently filed its annual report for its stock broking unit and announced that revenues from operations had risen to Rs 2,900 crore in FY24 from Rs 1,295 crore in FY23. This represents a great deal of success for the platform in the somewhat competitive stock broking space.
The biggest achievement for Groww this year has been becoming India’s first stock broker to touch the milestone of 1 crore active investors. Currently, it stands at 1.2 crore active stock investors as of October 2024. This reflects the scale and reach of the platform amongst these retail investors seeking not only accessible investments but also user-friendly solutions.
Zerodha and Angel One- peer report revenues of Rs 8,370 crore and Rs 4,272 crore, respectively for the last fiscal year. Angel One’s expansion into high-margin financial services and trading accrued it revenue of Rs 1,405 crore with profits of Rs 293 crore in Q1 FY25. However, the aggressive competitor in the present competitive landscape, Upstox, has announced the FY23 revenue to exceed Rs 1,000 crore and profit after tax of Rs 25 crore. Still, no annual report for FY24 has been filed.
Financial success and growth curve: The presence of Groww as one of the leading players in the financial services sector is better reflected in terms of catering to the widely divergent needs of the retail investor by ensuring broad dimensions to facilitate investment and wealth management. With operational profitability and the strategic expansion achieved, it is positioned as one of the front runners in the competition as a forerunner of success and innovation in the changing world of the financial services sector.
