Bengaluru-based fintech startup Groww has turned profitable as it registered Rs 1,277 crore in revenue in FY23, a huge 266 per cent surge.
The Zerodha rival reported a net profit of Rs 448.7 crore in FY23 against Rs 239 crore in net loss in the previous fiscal year.
The stock broking platform’s operating revenue more than tripled to reach Rs 1,277.8 crore in comparison to Rs 351 crore in FY22, according to data from the Registrar of Companies (RoC).
Groww’s broking business reported a profit of Rs 73 crore, compared with Rs 6.8 crore in the previous fiscal.
Earlier this month, Groww shot past the country’s leading discount brokerage company Zerodha in terms of the highest number of active investors.
Figures compiled by the NSE showed that Groww has 6.63 million active investors compared to Zerodha’s 6.48 million investors at the end of September this year.
Groww has recorded phenomenal growth, going from approximately 0.78 million users in FY21 to 3.85 million in FY22 and 5.78 million investors in FY23. The growth has come amid fierce competition from rivals such as HDFC Bank, which launched the Sky discount broking app.
Last month, Zerodha reported a revenue of Rs 6,875 crore and Rs 2,907 crore in profit for the financial year 2022-23 (FY23), representing a 38.5 per cent and 39 per cent growth in revenue and profit, respectively as compared with the previous financial year.
In FY22, the company reported a revenue of Rs 4,964 crore and a profit of Rs 2,094 crore.
Zerodha's co-founder and CEO Nithin Kamath had said that despite fierce competition from newer discount brokerage firms, the company will maintain onboarding and maintenance fees.