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Billionbrains Garage Ventures Limited Call Transcript 2026
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Call Transcript
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Groww
April 24, 2026
To,
The Listing Department,
BSE Limited,
Phiroze Jeejeebhoy Towers,
Dalal Street,
Mumbai – 400001
Scrip code: 544603
To,
The Listing Department
National Stock Exchange of India Ltd.,
Exchange Plaza,
Bandra Kurla Complex, Bandra (East),
Mumbai – 400051
Symbol: GROWW
Dear Sir / Madam,
Sub: Transcript of the Earnings Conference Call for Analysts and Investors held on Monday, April 20, 2026.
Ref: Disclosure pursuant to Regulation 30 read with Part A of Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
Pursuant to the provisions of Regulation 30 read with Part A of Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we hereby submit the transcript of the Earnings Conference Call for Analysts and Investors held on Monday, April 20, 2026.
The transcript is being uploaded on the website of the Company viz. www.groww.in.
Kindly take the same on record and oblige.
Thanking you,
For Billionbrains Garage Ventures Limited
(Formerly known as Billionbrains Garage Ventures Private Limited)
ROSHAN
BHANUPRAKASH
DAVE
Digitally signed by ROSHAN
BHANUPRAKASH DAVE
Date: 2026.04.24 14:07:12
+05'30'
Roshan Dave
Company Secretary and Compliance Officer
Encl.: As above
Billionbrains Garage Ventures Limited (Formerly known as Billionbrains Garage Ventures Private Limited)
Registered Office:
Vaishnavi Tech Park, South Tower, 3rd Floor, Survey No.16/1 and 17/2, Ambalipura Village, Varthur Hobli, Bellandur, Bangalore, Bangalore South, Karnataka, India, 560103
W: www.groww.in
E:[email protected]
T: +91 80-69601300
CIN: L72900KA2018PLC109343
Groww
Billionbrains Garage Ventures Limited (Groww)
Q4 FY26 Earnings Conference Call
April 20, 2026
Groww
Management Representatives:
- Mr. Lalit Keshre – Co-Founder and CEO
- Mr. Harsh Jain – Co-Founder and COO
- Mr. Neeraj Singh – Co-Founder and CTO
- Mr. Ishan Bansal – Co-Founder and CFO
- Mr. Lalit Bhimani – Group Head, Finance
- Mr. Kunalraj Singh Chhabra – Head of Investor Relations
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Groww
Billionbrains Garage Ventures Limited (Groww)
April 20, 2026
Moderator:
Good afternoon, ladies and gentlemen. Welcome to Billionbrains Garage Ventures Limited or Groww Q4 FY26 Earnings Conference Call. As a reminder all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the management's remarks. Please note that this call is being recorded. Additionally, please note that this earnings call is scheduled for a duration of 45 minutes. If you wish to ask a question please use the raise hand feature available on your Zoom dashboard.
We will announce your name on the call and unmute your line post which you can proceed with your questions. For today's call from the management we have Mr. Lalit Keshre, Co-founder and CEO, Mr. Harsh Jain, Co-founder and COO, Mr. Neeraj Singh, Co-founder and CTO, Mr. Ishan Bansal, Co-founder and CFO, Mr. Lalit Bhimani, Group Head Finance, Mr. Kunalraj Singh Chhabra, Head of Investor Relations.
I now hand the call over to Kunal. Thank you and over to you sir.
Kunalraj Singh Chhabra:
Thank you Michelle. Good evening everyone and welcome to the call. Our results and shareholders letter have been published on the exchanges as well as uploaded on the company's IR website.
Before we begin, I would like to remind all the attendees that some statements or comments made on the call today by the management may reflect the outlook or can be deemed as forward-looking and hence may involve certain risks and are not subject to any review. Such statements or comments are not guarantees of future performance and the actual results may differ.
With that I would like to invite Lalit for opening remarks.
Lalit Keshre:
Thank you, Kunal. Hello, everyone, and welcome to the earnings call. This is our third call after we became public and almost 39, end of 39 quarters since we started, and as you know like overall in India there are maybe 70 to 80 million unique investors in stocks and MF. And if you look at the active internet population who are transacting online and so on is in the order of 500 to 600 million and that is also growing.
So why we are telling you is because it feels like we can continue working for hundreds of more quarters kind of and continue building and also that in every quarter you will probably hear us say the same thing like you know and it might become repetitive what our purpose is and how we want to build wealth for our customers in the country. Since this is the fourth quarter we also thought that it would kind of be good to give you quick highlights of the last financial year and then how we look forward from here.
So quickly like first thing as you know like last year was a very important year for us as we became a public company. We also saw a lot of regulatory changes in some of our broking business like True to Label, F&O and so on and I think your company kind of did well there. We launched new products namely commodities and bonds, on bonds we had launched primary and now we are launching secondary.
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Billionbrains Garage Ventures Limited (Groww)
April 20, 2026
Both the products have done well. We scaled some of the existing products, MTF scaled really well for us. In other products be it equity, MF, F&O we grew our market share. We forayed into wealth management with Fisdom acquisition and this helped us launch three more products on the platform which is like Fisdom which is a bank partnership product, W which is wealth management for affluent and HNI customers on Groww, and Prime which is more for mass affluent customers on Groww.
On AMC we partnered with SSG of course which is subject to regulatory approvals. Our AUM grew like 2.5x in one year and yes of course we became public so that was another milestone. Going forward I think quick summary our focus will continue to be on scaling our wealth right. We feel that now it's been six months of the Fisdom's acquisition and now we have got a lot of learnings in how to kind of look at this solving this problem of scaling and so on so we will continue scaling wealth.
Second is we will continue compounding our existing businesses, Groww market share which we have been continuously doing right. And thirdly we feel like this year we will see the inflection point how AI will start impacting a lot and we look at it in two ways. One is how we can improve the customer experience leveraging AI and second is on the productivity side where our internal teams are kind of shipping much faster, shipping better and so on. And lastly as we keep doing like we continue finding new gaps new products to launch finding smaller S-curves so we will continue doing that. And yes that's all I look forward to the questions today. Thank you.
Kunalraj Singh Chhabra: Thank you, Lalit. We will now begin with Q&A. Michelle, please go ahead.
Moderator: Thank you very much, sir. We will now begin the question-and-answer session. The first question is from Supratim Datta. Please unmute yourself and proceed with your question.
Supratim Datta: Hi, thanks a lot for the opportunity. My first question is on overall broking business. In the DRHP you had given a data around how customer assets grew over a period of time. Typically, people who started in somewhere around '22-'23 saw their assets grow by 3x-4x over a 3-4 year period. How has the cohorts which started maybe in '24 or '23, how are those tracking given the kind of market correction that we have seen?
And what is the kind of behaviour, difference in behaviour you are seeing in these cohorts which would have started in the last 1 or 2 years versus the ones which started before because they would have seen a sharper correction in the last 12 months? So if you could give us some color on that how are you seeing customer behaviour vary across different cohorts, that would be very helpful?
Secondly, coming to your wealth management business, thanks a lot Lalit for giving us some color around those businesses. But wanted to understand now that Prime has been launched since Jan, what is the kind of feedback that you are getting from the product? How do you see that scale up maybe over a 2 to 3-year period? And from the
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April 20, 2026
perspective of investments how do you see investments on the wealth side also play out over the next 2 years. That's my second question?
Lastly, a few data keeping questions. One is you used to give the affluent customer asset breakup and contribution to revenue as well. So if you could give that that would be very helpful. How much of assets today is from affluent clients on the platform and what is their revenue contribution? Thank you.
Ishan Bansal:
Let me take the first question on the broking side. I think we earlier also talked about that in last 1-1.5 years, the acquisition funnel has been slightly different primarily like you have seen that markets are not doing so great since September '24. Since then what we have saw that the acquisition funnel has shifted more towards mutual funds and ETFs as a product.
And hence the way customer is getting introduced to the capital market has become slightly different. But their AUM gathering is probably still in line with the similar kind of way that was happening earlier. Because SIP is one of the largest mode of AUM accumulation that is happening on MF as well as on ETF also SIP is very big now.
And another thing is there is a M2M that keeps on happening across different products. Even in like ETF because gold and silver is a large part of it, there is a huge M2M that people saw during February versus January and people were like probably significantly positive as well. But what we have seen is at an aggregate level, most of these customers are still profitable with obviously 31st March being not a best day for cut off but if you look at just after that most of the pain that was there in March or large part of that pain has reversed and hence people are still making money and hence the inflows are still kind of not going down. But on an M2M basis, there is a dip in the AUM. Sorry, what was your second question?
Supratim Datta:
Yes, the second question was on the wealth management business. Given Groww Prime has been launched since January, wanted to understand what is your initial trends or learnings from that and how do you plan to scale that up over the next two years and what kind of investments would, not only Groww Prime but W for GROWW as well as Fisdom require over the next two to three years? Because I think in the shareholder letter you have called out that Fisdom should be profitable by FY28. So just wanted to understand how are you looking at investments across these three platforms as well?
Lalit Keshre:
Hey, Supratim, so I think it is a bit early. It's been two quarters now since the acquisition and all. I think we are thinking it in a kind of -- we are solving it in a very nice way and so on. So I think it's very early to comment on anything right now. A lot of things kind of we are building.
Supratim Dutta:
Got it understood. So just Lalit one thing then on the wealth business, have you seen any cross sell between who are taking the mutual funds broking and wealth, currently has there been any cross sell or is it still too early to comment there?
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April 20, 2026
Lalit Keshre:
No, of course there is. But as I said like it's early and we are still kind of streamlining the flows and everything. It's more, I think, the demand wise I think from the overall potential perspective and demand perspective there is a large market. I mean, I think, what we are focusing more on the service levels and raising the bar of the experience and everything.
Supratim Dutta:
Understood. And on the last, third question on affluent customer assets on the platform and their share of revenue?
Ishan Bansal:
Yes, I think we'll probably get back to you on this. I think, we don't have it on top of our mind.
Supratim Dutta:
Sure. Thank you.
Moderator:
Thank you. The next question is from Sanketh Godha. Please unmute yourself and proceed with your question.
Sanketh Godha:
Thanks for the opportunity. My first question is on your equity options market share. If I look like to like basis compared to previous quarter and the current quarter it seems that your market share has increased from 9.1 to 10.6. So what exactly in your view has led to this sharp jump in the market share of 150 basis point? Is it to do with your new product launches like 915 or Groww Cloud and API has played a role?
And if and also you can give a bit of color out of the total options trading what happens in your platform, how much is today contributed by algo and how do you see it to play out going ahead? So that's my first question.
And second maybe more of on data keeping. On commodity you give the indirectly the orders and the number of users but if you can give a bit of market share also on ADTO terms, retail ADTO terms that will be useful to understand how quickly you achieved what kind of market share because the number of orders indirectly gives a color, but we don't know how exactly the market share is? Those are my two questions.
Ishan Bansal:
Sure so let me take that. So on the derivative side, the equity derivative side. So actually it's not just options it's a combination of future and options. The market share that we got expanded in this quarter it is a continuation if you look at it on a YoY basis or it is happening for us. The reason is there is a twofold reason.
One the new customer that are coming to the kind of derivatives market there is some benefits that we are driving from some of the new initiatives that we are taking including 915. But large part of this is again coming on Groww itself. And the second piece is because the last quarter had a lot of volatility and we saw that our customers who used to kind of trade earlier have also started doing more and hence the absolute number of customers has significantly increased.
So roughly earlier we had around 14 lakh customers on a quarterly basis transacting this time we had around 17 lakh customers transacting. So which has actually helped
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April 20, 2026
us increased the volume and output was obviously in terms of market share as well. This shows that like our retention overall is high on the platform which helps us recover whenever the customer is interested in any other product.
So the customer might not be doing derivatives in last quarter but started doing derivatives in this quarter, might be doing stocks or mutual fund in the last quarter. So that has actually helped us delivering a higher market share on the derivative side.
And the second on the algo side, I think we don't have, it's not meaningful. Any API or algo today is not really meaningful in terms of any transactions. And the third I think we will start giving commodity related ADTO because we haven't just crossed even a year of our commodities launch. So we thought probably, once we cross a year that is the time probably, we will start delivering the market share number and so that there will be a YoY comparison etc. also available to you.
Sanketh Godha:
But Ishan, any stress or any strategy you have very clearly on algo based trading because they meaningfully contribute to the volume growth and order growth probably. So any outlook you have or plans you have with respect to that piece will be useful if you can tell softer points there.
And second in the quarter, lastly in the quarter we saw a decent jump in the employee cost and your depreciation, is it largely related to Fisdom full empanelment which led to the increase in the employee cost and this is the new normal going ahead?
Ishan Bansal:
Yes, so let me take the first one. I think as of now we don't have a very strong strategy on focusing on algo. We believe the new regulations that are still kind of getting cleaned up over a period of time will give us more clarity and we will probably jump into this market once we have full clarity on the regulatory piece.
Then only we will be able to kind of build a product which we can scale. So hence I think we are trying to kind of wait for that to happen. On the second part you are right on the depreciation side there is an impact primarily because of the Fisdom acquisition. There is a increase in depreciation that happened.
On employee cost because we are investing across multiple functions including asset management and wealth side and there are initiatives on the AI side also that we are taking in Groww where we are doing investing. So this investment typically comes in the people form for us and hence the employee cost has increased a little bit from last quarter to this quarter.
Sanketh Godha:
Ishan can you give the head count if you don't mind?
Ishan Bansal:
So today the head count is around 1800.
Sanketh Godha:
Okay. Yes. That's it from my side.
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April 20, 2026
Moderator:
Thank you. We'll take the next question from Manish Ostwal. Please unmute yourself and proceed with your question, sir.
Manish Ostwal:
Thank you for the opportunity. Sir my question on the wealth management business. So if you take the 3 to 5 year view on the business. So what is the differentiating factors what Groww will bring to the market compared to existing models can you talk about that thing that will be helpful for us?
Harsh Jain:
Yes, sure. I'll take that. So see couple of things that are happening is one is there is a significant change of the customer base from the wealth point of view. The new segment of users are becoming affluent and HNI. They are coming from a very new age kind of experience.
So there is an experiential layer which is going to be different for the building the wealth business and as Lalit was saying that we are investing in raising the bar of experience and the service and which is what going to be a differentiator for us, which comes both from the technology point of view and also from the product selection to an advisory road point of view. So we will continue building on this which is what takes us time to nail the right solution for people and then keep on scaling that from there.
Manish Ostwal:
Secondly sir for my – see last 2 years we have seen there is hardly any return to the investor and now the things are turning around. So two questions one is the active customer base participation at the industry level as well as in your business should increase if the trend sustain in times to come, that is the first thing. Second is in terms of cost to serve and cost to grow, both cost compared to revenue growth what pace we can assume expenditure growth versus let us say 20% revenue growth, what kind of growth we should model in terms of overall cost of Grow and cost of maintenance?
Ishan Bansal:
So let me take that. So on the new users coming to industry I think we have seen the down cycle I think things are looking better than earlier, but again we are wary of lot of the macro economic factors that are impacting the market including tariff and including like largely FIIs being negative from the market has also impacted significantly the way market would have growth otherwise.
I think we are waiting for that kind of clear signal to there where people have started FIIs have started putting money in India. I think that can be a good indictor to say that now things are on the positive cycle. But early as of now it doesn't look like it's obvious. We might need to wait for few more quarters to say that we are in the next cycle of growth. But definitely we are away from the bottom yet as of now.
So on the second side on the cost to serve as well as cost to grow. So the cost to serve the way we look at is a largely a tech related cost. So they are obviously as the revenue per transaction grows our cost to serve actually goes down, but at the same time with AI coming in all of our tech related AI cost will come as a part of cost to serve.
There might be a slight bit of increase, but we don't see that increase to be like proportional to the revenue. So as a percentage we expect that it to be kind of slightly
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April 20, 2026
lower, but obviously there will be absolute basis increases that keep on happening. On the cost to grow largely the spend has been more or less consistent on a absolute basis.
So if you look at between last year and this year we would have spent very similar to INR450 crores to INR500 crores is kind of spend. And we will keep on increasing this a little bit, but it's not going to be again linear with terms of revenue. It will be more to kind of build new brands. So W coming in might have some spend attached to it, 915 coming in might have some spend attached to it. But it will always be again likely it will be lower than the growth in the revenue.
Manish Ostwal: Thank you very much, sir. Thank you.
Moderator: Thank you. The next question is from Vivek Gautam. Please unmute yourself and proceed with your question sir.
Vivek Gautam: Am I audible?
Moderator: Yes sir please proceed.
Vivek Gautam: Yes I just wanted to understand about the opportunity size and the expected growth rate we can have and more importantly about the differentiator for us versus the competition which is helping us in Groww. And any concern on the SEBI and government folks liking to sort of curb the speculation in futures and options especially for the retail traders who are major chunk of our class and how do we mitigate it? Thank you.
Harsh Jain: So I'll take that. So from an opportunity point of view sir we look forward like we will continue compounding on our core business where there are new investors coming in and you know in the opening statement we spoke about the penetration which is possible in the country. And we will continue trying to gain a larger and larger market share. So that builds a one dimensional opportunity where there are new investors coming in. And they are participating in various products that we have. The other dimension is launching new products and services for some of the segment of the users. Like wealth is one of them, 9:15 is another one, so we are able to make more products available for a particular segment of user. So these all creates opportunities for future.
Harsh Jain: Sorry, what was your second question?
Vivek Gautam: Second question was regarding the differentiator for us versus the...?
Harsh Jain: Yes. So we see we believe that you know our so we continue investing in building an experience for users which is you know which converts into higher retention for us. Because people the users who come in on our platform they stay longer they are able to participate in different products in different market scenarios with their different preferences.
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And with the technology investment that we do, we are able to create some differential experiences in terms of their activation in terms of their engagement on the products. So this will continue to be our differentiator and will continue investing in that.
Vivek Gautam:
The last was about the regulation from the government side trying to curb the speculation in the market and starts with 90% of the customer losing money and giving application one fine day it is banned all of a sudden. So what are the steps we are taking to mitigate it?
Harsh Jain:
So we have been operating in a regulated space for the last like since we started so we do participate with our regulators on very regular basis on all the concerns that they have. Their concerns are pretty much what our concerns are like, if the, all of us are you know are trying to work in the favour of investors ultimately we want to create wealth for our customers. So anything that comes up we will participate with them and we'll try to solve it at an industry level.
Moderator:
We'll take the next question from Dipanjan Ghosh. Please unmute yourself and proceed with your questions.
Dipanjan Ghosh:
Yes hi. So the first question was in terms of the MTF book. Obviously, I mean for you MTF book has been on a rising trajectory. Now what I wanted to understand is if you look at the customers who are taking the MTF proposition on your platform have you done any study to understand I mean are these new to MTF customers or these are customers who have been onboarded once you started the MTF journey and they are kind of acquainted with the product class.
Or this would be like existing customers who were probably availing this product to a competitor platform and now that you are also offering the product they've kind of shifted the platforms. Some colour on that would be useful. The second question is on the platform ARPU I mean that is almost back to pre-November '24 levels. So again I mean is there any work that you have done to understand?
Is it like weaker customers who got weeded out of the platform or went into dormancy or is it you guys are acquiring high-quality new customers or maybe the existing customers just got acclimatized to the new regime whether it's incremental taxation or incremental regulations. And finally one data keeping question if you can give the average MTF book for the quarter that will be useful?
Ishan Bansal:
Let me take that. On MTF I think there is no study as such that we have done but our understanding is that MTF for us is not an acquisition product. It is mostly our existing customers are using MTF. Earlier they might be doing intra-day instead of MTF is one use case where customers now are holding on to their positions for longer is one big use case.
And second it's very difficult for us actually even figure it out if the customer where doing MTF outside or doing it inhouse. But what we know is that most of our customers are unique to us and they only transact with us. And hence the likelihood of the customers
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April 20, 2026
doing MTF somewhere else and doing rest of the things here is unlikely, especially on the cash segment side.
The second question, second part of the, I think we will figure out on the average if we want to disclose and we'll come back to you on that part. I forgot the second question was on the ARPU. So ARPU was actually a more complicated reason why, where we are today. So it's a mix of the penetration of F&O going down, which led to actually the ARPU overall at a platform level going down.
But at the same time with MTF coming in, commodities coming in, the ARPU actually went up. So it's a combination of these two factors which has helped us kind of reach to the pre-November numbers. It is not because the again people have started trading or F&O has again started penetrating more. The penetration of F&O is still in like 10% around range, which used to be like 18 odd percent before November.
Dipanjan Ghosh:
Thanks, Ishan. Just one follow-up. I mean, you can disclose the average MTF for the quarter later. But I mean, in terms of the unwinding that the industry has seen in March, I mean, would you be in line with it? You would have done shared better, any quality?
Ishan Bansal:
So we also saw a peak somewhere in between. I think probably Feb-end was or I don't remember actually Jan-end or Feb-end. We actually peaked and then there was a dip and this number is after the dip. So, the average will be probably closer to this or slightly higher than this also is possible. But obviously, things are again April is better than March from a market perspective as well.
Moderator:
Thank you. We'll take the next question from Abhijit Sakhare. Please unmute yourself and proceed with the question.
Abhijit Sakhare:
Hi everyone. My first question is like a broad question on the platform. Now it's kind of you guys are fairly large and in some ways a bit more mature. Now, do you see any demand for services like stock advisory or like recommendations, at least from the more mature set of customers and whether that's really the case?
And if yes, then how are you kind of ensuring that you continue to retain some of those mature customers on the platform? The second question is on the Groww Prime. If you can indicate when do you plan to kind of extend it to existing customers? And I have a couple of data questions after that.
Lalit Keshre:
So let me take this, Abhijit. So this is a good thing. So I think we have seen this demand for long now, like stock advisory, MF advisory. It's been quite, it's probably one of the highest asked questions in our voice of customer. And we have been kind of thinking about it. We will launch it when the timing is right, when we have the right solution and so on.
The second one, Prime, again, so our philosophy has always been like, you know, kind of craft the product, which is like the delta between our solution and what exists should
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be like, should be a huge delta, right? And Prime, we have been kind of devising the product for some time now. It is available to some customers.
And we feel that it will be in a position for existing customers. Again, we don't want to give the timeline, but we have some kind, we are optimistic about, we are optimistic about the creation of a product that our customers would love.
Abhijit Sakhare:
Got it. Okay. And a couple of data questions, if you could share, what was the share of MTF in the 4Q cash ADTO, if you could share that number. And then on the cost to operate, there was a comment in the letter on some risk related costs. So if you could kind of explain that, and then also like, how do we think about the entire like cost to operate growth for the next year as well?
Ishan Bansal:
So I think we'll get back to you on the percentage. My guess is it is still between 5% to 10%. It hasn't significantly changed. But the exact number will come back to you. And the second part, the cost to operate, like you said, there is a risk related cost, which again, because of the volatility that we saw, both on the commodity side, and then on the equity side. So, Feb was more on commodity side when gold and silver kind of significantly moved in a day or two.
And there was a square-off related kind of, you can say negative balances that people went in, and which we kind of accounted for in adjusted in cost to operate. And the second piece happened during the March time when Iran war started, and there was significant volatility in some of the stocks. And where in MTF, we actually accounted some of the negative balances, and which we have kind of put it into our P&L as cost to operate.
Going forward, with the exception of these risk related costs, I think you can assume that this will grow one in Q1. With the appraisal cycle, there will be a one-time kind of increase. And after that, we expect it to be kind of more or less stable for the rest of the year.
Moderator:
Thank you. We'll take the next question from Madhur Sharma. Please unmute yourself and proceed sir.
Madhur Sharma:
Hi. Thank you for taking my question. So first on cost to operate, Ishan, do you mean it will remain stable as percentage of revenue?
Ishan Bansal:
No, so, in absolute, it will increase in the Q1 because of the appraisals. And after that, in absolute, it will remain stable. And all of this, which I am saying is primarily talking about Groww as a platform. The AMC business and Fisdom business will still have more investments in terms of hiring as well, which will increase the cost for that business. Bur for the Groww as a platform, these costs will become stable after Q1.
Madhur Sharma:
Right, right. Understood. Thank you. Second, so Lalit mentioned about how we are investing in AI and how it is going to improve customer experience as well as backend.
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So, Lalit, can you highlight few initiatives, few key initiatives that we are implementing in near-term?
Lalit Keshre:
So Madhu, so same from productivity side, I think the entire SDLC, which is software development lifecycle, AI is kind of changing that completely, right, then from the overall like company operations perspective. And then on the customer experience side, our customer support, for example, and then we also launched GR1, is like a co-pilot customer can research and all.
So there are a bunch of places like this and all these are like internally we haven't disclosed the percentage of code and percentage of this thing kind of done by AI, but we are seeing a meaningful kind of difference in our kind of way of working.
Madhur Sharma:
Okay, okay. So do you expect the number of engineers, basically people who are involved in coding to go down in coming years in a meaningful way?
Lalit Keshre:
So, Madhu, the way we look at it is we are in a journey where we are building a lot of things. So currently, how we think it is with the same strengths, Can we ship more? Can we ship faster and can we ship higher quality, right? So if you look at the trajectory also of last 4 years or so, right, number of products that we have launched in last 4 years is like, I think we have -- we had like, I think three, four products 4 years back and now we have like 12 products and still launching more and so on, right?
Madhur Sharma:
Yes.
Lalit Keshre:
And we have been able to do all this with the strength, more or less similar kind of strength, right? So this is how we like to see where with the existing strength, we can launch lot of new products. All the new products that we launch, we don't need to kind of, we carve out a team from within our existing folks.
Madhur Sharma:
Understood, understood. Thank you. And lastly, data-keeping questions. So Ishan, if you can tell me the revenue from Fisdom and AMC business?
Ishan Bansal:
Lalit, you have top of your mind? Sorry, I don't remember.
Madhur Sharma:
No worries, no worries. I'll reach out to Kunal for that. Thank you. That was all from my side.
Moderator:
Thank you. We'll take the next question from Neeraj Toshniwal. Please unmute yourself and proceed with your question.
Neeraj Toshniwal:
Yes, hi. Am I audible?
Moderator:
Yes sir.
Neeraj Toshniwal:
So, with the cost to serve and cost to grow kind of you know growing slower than the revenue growth rate and cost to operate as you mentioned, will kind of stabilize. So how
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should one think about margins going forward? What is the margin run rate or exit margin you are looking at for the next year?
Ishan Bansal:
So, it's I think again correlated with the revenue growth. I think revenue growth has a lot of lever attached to it. So hence it's very difficult for us to put a number to the revenue growth. We keep on saying that if our revenue grows beyond let's say 15% then probably the margin will keep on expanding.
If it grows 30% probably the expansion will be more. If it grows slightly lower, then the margin will not expand. So like that is like the formula, but it's difficult to predict how much will be the real revenue growth in the next year.
Neeraj Toshniwal:
Okay, got it. And on the -- if you want to carve out the cost of acquisition like the number we gave in last letter, but I think we have not given this time. How much was the cost of acquisition?
Ishan Bansal:
So, cost to grow is largely cost of acquisition. It will be more or less the same number. It hasn't -- quarterly also it hasn't significantly changed. What we have learned is that again marketing cost is more or less consistent at least on an annual basis. There is a little bit of volatility because of IPL. But it has become largely a fixed number for us.
Neeraj Toshniwal:
So shall we see more -- because of IPL, shall we see because of more advertisement and all a little higher spend in Q1 or?
Ishan Bansal:
Q1 is generally slightly higher, but in last year I think we were conservative I think this year we'll probably do slightly more than the last year.
Neeraj Toshniwal:
Okay, got it. And one more question on the, I mean, the rationale for changing the calculation of this market share if I think my understanding that exchange anyways does a plus buy and sell the overall trade as one -- the count as one. So I think the industry also kind of reports like that only your competition also just wanted some sense why we have kind of changed the way we have shown the market share.
Ishan Bansal:
So there are multiple reasons. One of the big reason is that internally this is how we look at it and we feel that we should be more transparent in showing what we look at and that is how is the possibility also right.
If you look at tomorrow how much market share we can have is a -- is what we want to kind of target. Not really how will it look like from a calculation perspective. We think this is a better assessment of market share than what we were doing earlier and hence we have kind of moved to this.
Neeraj Toshniwal:
Got it. That is very helpful. Thank you and all the best.
Moderator:
Thank you. The next question is from Samrith Sharma. Please unmute yourself and proceed, sir.
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April 20, 2026
Samrith Sharma:
Good evening, everyone. I hope I'm audible. Just one question from my side. So what is the company's thoughts on the emergence of these new age fee only brokers? And essentially how do you see the market landscape shifting according to that?
Ishan Bansal:
Lalit, do you want to take it?
Lalit Keshre:
Sorry, Samrith, you mean new age zero fee or fixed fee?
Samrith Sharma:
Fee only.
Lalit Keshre:
Zero fee?
Samrith Sharma:
Fee only.
Lalit Keshre:
Fee only. So, I think we see currently our thought process is like let's say if we don't talk about competitors if we just think from the value perspective that we provide to the customer. Our philosophy is right, our philosophy is that give more value to customer than you that you charge and we feel that it's also fair for customers, they are paying on per transaction basis and so on, so and we also feel that customers are kind of happy with that, so we haven't kind of thought about that.
Samrith Sharma:
Do you see any significant move in the way the industry works because of the emergence of such players?
Lalit Keshre:
We'll keep a watch Samrith but as of now we don't see that.
Samrith Sharma:
Fair enough. Thank you.
Moderator:
Thank you. Ladies and gentlemen, we will take the last question for today from Raghav Maheshwari. Please unmute yourself and proceed sir. Mr. Maheshwari please proceed sir. I am sorry sir you are inaudible. As there was no response we will take the last question from Gaurav Singhal. Please unmute yourself and proceed.
Gaurav Singhal:
Thanks for taking my question and thanks for taking out time. Just a few questions so one is for the industry we have seen the NSE active clients kind of plateauing out at around 50 million for a while now. And for Groww obviously the client growth has been quite good because of market share gain. But then eventually of course the industry needs to grow.
So the analogy you drew in your opening remarks was that there are 500-600 million people who are who shop actively online. To get this 50 million industry number to let's say 100 over time what gives you that confidence and you know that the industry can keep expanding rapidly as it did in the last 5 years. That was the first question.
Secondly are we hitting any open interest limit on these like single script products like you know Sensex options or some of the other products because of our scale. And thirdly what's our settlement cycle right now in terms of repatriating cash balances to the client cash balances back to their bank accounts. And what is the thinking of the
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regulators on reducing or increasing this time period which would obviously impact our interest income? Thank you.
Ishan Bansal:
So let me take this. So the growth rate of this industry is actually driven a lot based on which kind of market we are in right. We if you look at in last one and a half year we have been in the kind of more volatile market but before that we were in a like a bull run and that was the time when large part of the customer base kind of grew.
And this keeps on happening and if you look at in the last 20 years history of stock market also the growth rate typically comes largely -- the industry growth rate typically comes in those bull runs and then it's like stabilize a bit and then again it happens, right. So when will it happen will depend on when will the next bull run comes and that is the time when market will expand and typically that time the expansion is like very very high.
So it's not like 5% 10% the growth rates are typically significantly higher. But if you look at a longer frame the industry is growing like a 10% to 15% CAGR. On the questions on settlement I think that I remember now is basically it is on the customer demand, so there are three options they can do bill-to-bill settlement they can do monthly settlement or they can do quarterly settlement.
Quarterly settlement today is like an obligation that you can't go beyond that and we do whatever as customer has chosen and for quarterly settlement it is done on the first month of the quarter and monthly settlement done on the first week of the month. And the bill to bill settlement is as and when the bill is posted and the next day you do the settlement when the actual settlement happened from the exchange side as well. Sorry I forgot the second question that you asked.
Gaurav Singhal:
So this settlement cycle the limit which is quarter now, it seems to be keep has kept going down. So what is the regulator thinking on it does it keep going down or have we now hit a floor?
Ishan Bansal:
See it has been quarterly since last 10 years now and I think it is again a choice. We haven't seen a customer being choosing bill to bill settlement significantly more than monthly or quarterly. Actually quarterly is probably what most customers want because it's a lot more convenient.
If we do a quarterly settlement whenever the quarterly settlement happens a lot of customers actually get surprised that why their money was refunded and so on and it becomes an inconvenience for a lot of customers. We don't look at it less from our income perspective but think it more from what customer wants and provide them in a more seamless and a more trustful way and do it. And if you look at -- we give an option of instant withdrawals where in the day also if you want to take money out you can withdraw and the money will come to your bank account within few seconds.
Gaurav Singhal:
Got it. And just lastly on if we are hitting any limits on these like single script options open interest limits?
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Ishan Bansal:
No. So we talked about it last quarter also. So on average we are like less than half of it on the limit side. And in the last quarter we haven't hit that limit at all for any day or any script.
Gaurav Singhal:
Got it. Thank you.
Moderator:
Thank you. As that was the last question for today I now hand over the conference back to Kunal for closing comments. Thank you and over to you.
Kunalraj Singh Chhabra:
Thank you everyone for joining the call today and feel free to reach out to us for any questions or clarifications. Have a good week.
Moderator:
Thank you members of the management. On behalf of Groww that concludes this conference. Thank you for joining us and you may exit the meeting now. Thank you.
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