Groww Q3 Results: Profit Rises 16% as Company Announces ₹580 Crore AMC Stake Sale
Billionbrains Garage Ventures delivered strong Q3 performance with net profit growing 16.13% sequentially to ₹547 crore and revenue increasing 19.44% to ₹1,216 crore. EBITDA rose 19.37% to ₹720.80 crore though margins declined marginally to 59.27%. The company also announced a strategic stake sale of 4.99% in its wholly-owned subsidiary Groww AMC to State Street Global Advisors for ₹580 crore.
*this image is generated using AI for illustrative purposes only.
Billionbrains Garage Ventures reported strong sequential growth in the third quarter with net profit rising 16.13% and announced a significant stake sale in its asset management subsidiary. The company demonstrated robust financial performance across key metrics while executing a strategic divestment.
Sequential Quarter Performance
The company delivered impressive sequential growth in the October-December period, with net profit increasing 16.13% to ₹547.00 crore from ₹471.00 crore in the preceding quarter. Revenue showed strong momentum, rising 19.44% sequentially to ₹1,216.00 crore from ₹1,018.00 crore in the previous quarter.
| Financial Metric: | Q3 (Oct-Dec) | Q2 (Jul-Sep) | Sequential Change (%) |
|---|---|---|---|
| Revenue: | ₹1,216.00 crore | ₹1,018.00 crore | +19.44% |
| Net Profit: | ₹547.00 crore | ₹471.00 crore | +16.13% |
| EBITDA: | ₹720.80 crore | ₹603.80 crore | +19.37% |
| EBITDA Margin: | 59.27% | 59.31% | -0.04% |
Operational Metrics Analysis
Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) for the quarter increased by 19.37% to ₹720.80 crore from ₹603.80 crore in the September quarter. However, the EBITDA margin saw a marginal decline of four basis points to 59.27% from 59.31% in the previous quarter, indicating slight pressure on operational efficiency despite strong top-line growth.
Strategic AMC Stake Sale
The stockbroking firm announced a significant strategic transaction involving the sale of approximately 4.99% stake in Groww AMC for ₹580.00 crore. State Street Global Advisors is set to acquire the selling stake in the wholly-owned non-material subsidiary of Billionbrains Garage Ventures.
| Transaction Details: | Specifications |
|---|---|
| Stake Sale Percentage: | 4.99% |
| Transaction Value: | ₹580.00 crore |
| Acquiring Entity: | State Street Global Advisors |
| Target Company: | Groww AMC |
| Subsidiary Status: | Wholly-owned non-material subsidiary |
Market Position and Outlook
The company continues to strengthen its position in the stock and commodity broking sector, demonstrating consistent sequential growth while strategically monetizing its asset management business. The partnership with State Street Global Advisors represents a significant validation of the asset management subsidiary's value proposition and growth potential in the Indian market.
15
