Groww Emerges as India’s No. 1 Retail Broker, Eyes Long-Term Compounding Growth

Mumbai, September 2025 — Fintech unicorn Groww has cemented its leadership in India’s investment and wealth management sector, surpassing rivals like Angel One, Motilal Oswal, and Nuvama Wealth in active clients. The Bengaluru-based startup, which began as a digital-first mutual fund distribution platform, has evolved into a full-stack retail investment and trading ecosystem.

Groww reported robust financial performance in FY25, turning consistently profitable and demonstrating strong scalability. Revenues surged nearly 50% year-on-year, climbing from ₹2,609 crore in FY24 to ₹3,902 crore in FY25. Net profit also swung sharply from a loss of ₹805 crore in FY24 to a profit of ₹1,824 crore in FY25, underscoring the platform’s operating leverage and business maturity.

Market Leadership: Largest Client Base in India

As of FY25, Groww commands the largest client base in India’s retail broking space, with 12.9 million NSE active clients. This is well ahead of Angel One’s 7.6 million, Motilal Oswal’s 1 million, and Nuvama Wealth’s 0.17 million.

The company has grown at a 41.7% CAGR since 2022, compared to the industry’s average of just 7.9%. With nearly 1 in every 9 rupees invested in SIPs flowing through Groww in FY25, the platform has captured a significant share of India’s rising financialization trend.

Proven Profitability with High Margins

One of the standout achievements of Groww is its ability to deliver industry-leading profitability. In FY25, the company posted a profit margin of 44.9%, significantly higher than peers: Angel One (36.3%), Motilal Oswal (29.8%), and Nuvama (19.7%).

The lean, technology-driven, and highly scalable operating model has given Groww a competitive edge in balancing growth with financial sustainability.

Forecast: Bull, Base, and Bear Case Outlook

Looking ahead to FY30, Groww projects strong growth potential across all scenarios:

Bear Case: 16% revenue CAGR, PAT margin ~46.7%, P/E at 52x.

Base Case: 20% revenue CAGR, PAT margin ~48%, P/E at 55x.

Bull Case: 24% revenue CAGR, PAT margin ~50%, P/E at 60x.

Based on these assumptions, revenue could grow to ₹11,438 crore in FY30 under the bull case, with net profit potentially reaching ₹5,719 crore. Price return could range between 110% and 260%, reflecting the stock’s multi-bagger potential.

Why Investors Are Bullish on Groww

According to analysts, Groww offers a unique compounding story in Indian fintech for several reasons:

Market Leadership: No. 1 by active NSE clients with ~25% share.

Profitability: Turned profitable in FY25, with room for further margin expansion.

Retail Dominance: Strong leadership in SIP flows and retail adoption.

Upside Potential: Double-digit returns in conservative cases, multi-bagger potential in bullish growth scenarios.

Macro Tailwinds: India’s Growing Financialization

The broader macroeconomic environment is also in Groww’s favor. India’s investment and wealth management sector is projected to double from ₹1.1 trillion in FY25 to ₹2.6 trillion by FY30, driven by:

Rising disposable incomes.

Expanding retail participation in equities and mutual funds.

Deepening digital penetration across tier-2 and tier-3 cities.

This positions Groww as a long-term beneficiary of India’s retail investment boom.

Shareholding Structure

Groww’s major shareholders include:

Peak XV Partners Investments VI-1: 19.88%

YC Holdings II, LLC: 12.05%

Lalit Keshre: 9.13%

Ribbit Capital V, L.P.: 8.14%

Harsh Jain: 6.72%

Neeraj Singh: 6.26%

Internet Fund VI Pte. Ltd.: 6.05%

Ribbit Cayman GW Holdings V, Ltd.: 5.59%

Others: 26.18%

This diversified ownership highlights strong backing from global venture capital firms alongside substantial promoter stakes.

Conclusion

From a startup launched just a few years ago to India’s largest digital broker by active clients, Groww has shown remarkable scalability, profitability, and investor appeal. With strong revenue growth, best-in-class profit margins, and clear macro tailwinds, Groww is positioning itself as India’s next big compounding story in the financial services sector.

For investors, the company offers both near-term growth and long-term wealth creation potential, making it one of the most watched fintech success stories of the decade.

Disclaimer: This article is based on information available from public sources. It has not been reported by EQMint journalists. EQMint has compiled and presented the content for informational purposes only and does not guarantee its accuracy or completeness. Readers are advised to verify details independently before relying on them.