Groww made ₹725 crore profit in three months. Here is how

Picture a samosa stall. Out of every ₹100 it earns, it pays for potatoes, oil and rent. Whatever is left at the end of the day is its profit.

Now picture a stock app that kept about ₹47 out of every ₹100 that came in. That is Groww. On October 14, 2026, Groww shared its results for July to September 2026. In just those three months, it made a profit of about ₹725 crore.

Let us see how an app on your phone makes that much money, and why one new market rule took a bite out of it.

First, what is Groww?

Groww is an app where people buy shares and mutual funds. A share is a tiny piece of a company. If you own one share of a company, you own a very small slice of it. A mutual fund is like a big shared tiffin: many people put money in, and an expert spreads it across many shares.

Groww is a broker. A broker is like the middleman at a sabzi mandi. It connects buyers and sellers, and takes a small fee each time.

Groww is now India's biggest broker by active users. In September 2026, it had 1.34 crore active clients on the National Stock Exchange (NSE). That was 29.16% of all of them. Zerodha had 67.92 lakh and Angel One had 67.56 lakh. So Groww alone had almost as many active clients as those two rivals put together.

The company behind the app is called Billionbrains Garage Ventures. Its own shares started trading on the stock market on November 12, 2025.

The big numbers

Here are the results for July to September 2026, which companies call Q2 (the second quarter, or second three-month block, of the year that started in April):

Profit: about ₹725 crore, up 54% from ₹471 crore a year before.
Revenue from operations: about ₹1,502 crore, up 47%. Revenue is all the money that comes in from the main business, before paying any bills.
Total income: about ₹1,541 crore, up 44%. This adds about ₹39 crore of other income.

These numbers come from Groww's filing, as reported by Entrackr and Inc42.

Two bars grow: Groww's profit of 471 crore rupees in July to September 2025, then 725 crore rupees in July to September 2026, with a card saying 54 percent more — Groww's profit jumped 54% in one year

One small twist: compared with April to June 2026, profit actually dipped a little, from ₹735 crore to ₹725 crore. Revenue stayed almost flat. To find out why, we need to look at how Groww earns.

How does an app make money?

Groww earns in a few main ways:

Futures and options (F&O): these are deals about what a share's price will be on a future date. Groww earns fees when people trade them.
Margin trading facility (MTF): Groww lends you money to buy shares, and you pay interest. It is like a friend who lends you ₹500 and asks for a little extra when you pay it back.
Commodities: trading in things like gold, silver and crude oil.
Everything else: fees on normal share buying, interest and more.

A year ago, F&O brought in about ₹57 of every ₹100 Groww made. Now it brings in about ₹45. The share from loans to buy shares and from commodity trading grew, says Groww's letter to shareholders.

A grid of 100 squares changes colour to show Groww's income mix shifting from 2025 to 2026: futures and options fall from 57 to 45 rupees out of 100, loans to buy shares rise from 5 to 10, commodity trades rise from 0 to 6 — Out of every ₹100 Groww made, less now comes from F&O

One more thing worth knowing about F&O. A study by SEBI found that over nine out of 10 individual traders in share F&O lost money between 2021-22 and 2023-24. SEBI is the government body that makes rules for the share market, a bit like the umpire in a cricket match.

A new rule at 3:15 pm

So why did F&O shrink? Groww points to a new rule from SEBI.

Every trading day ends with a final, or closing, price for each share. Many F&O deals use that closing price to work out who won and who lost money that day.

From August 3, 2026, SEBI changed how that price is set for shares that have F&O. Before, it was an average of the prices people traded at near the end of the day. Now there is a 20-minute auction, from 3:15 pm to 3:35 pm. Buy and sell orders meet, and one final price comes out. Think of an IPL player auction, where all the bids end in one final price.

In the first weeks, prices before and during the auction did not match well. Groww says one single closing price can jump more suddenly than an average, and trading fell across the whole industry. Groww's F&O income dropped 14.3% compared with April to June.

SEBI has now shared a consultation paper, which is a draft idea that people can comment on before it becomes a rule. Groww says that if the idea goes ahead, trading should get back to normal.

No IPL ads, big savings

Here is a fun one. Groww's spending on growth, like ads, fell by ₹42 crore compared with April to June. Its letter says the reason is simple: no IPL spending in this quarter.

But some costs went up. Higher computer costs linked to AI added about ₹13 crore. Overall, Groww's expenses grew 28.5% in a year, to about ₹556 crore. That is slower than its income grew, which is why profit jumped.

Who is signing up?

An IPO is when a company sells its shares to the public for the first time, like a shop opening its doors on day one. It was a busy time for IPOs, Groww says.

About 42 lakh people applied for IPOs through Groww in the quarter. Groww says it added 11 lakh new users who made a trade, mostly because of these IPOs. In total, Groww counts 2.4 crore users who have traded or invested on its apps, and they hold about ₹3.9 lakh crore there.

Here is Groww co-founder Lalit Keshre talking about how the company was built:

Watch on YouTube

And the share price?

Even with a big profit, Groww's own share price slipped on the day. It fell about 1.5% to ₹190.80 at one point.

At around ₹193 a share, the whole company was worth about ₹1,23,238 crore. That number is called the market value: the share price multiplied by all the shares.

At the Moneycontrol Startup Conclave 2026, Lalit Keshre spoke about what is next for Groww:

Watch on YouTube

Quick recap

Groww made about ₹725 crore profit from July to September 2026, up 54% in a year.
It kept about ₹47 of every ₹100 that came in.
Less of its money now comes from F&O, after a new SEBI closing-price rule.
Loans to buy shares and commodity trading are growing fast.
No IPL ads this quarter saved it ₹42 crore compared with the quarter before.

Words to know

Broker: a company that helps you buy and sell shares, for a fee.
Revenue: all the money that comes in before paying bills.
Profit: what is left after paying all the bills and taxes.
F&O: futures and options, deals about a share's future price.
IPO: a company selling its shares to the public for the first time.
SEBI: the body that makes rules for India's share market.

Sources

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