Groww Q2 profit hits Rs 471 crore as customer acquisition cost nearly doubles to Rs 1,374

Online investment and brokerage platform Groww (parent: Billionbrains Garage Ventures Ltd) on Friday announced its first earnings after its stock market debut earlier this month.

For Q2 FY26, the company reported a net profit of Rs 471 crore, up from Rs 420 crore in the same period last year. On a sequential basis, profit rose from Rs 377 crore in Q1 FY26.

However, Groww’s revenue performance showed a decline. Operating revenue dropped nearly 10% year-on-year to Rs 1,018 crore, compared to Rs 1,125 crore in Q2 FY25. Total income stood at Rs 1,070 crore for the quarter.

Despite the dip in revenue, the company continued to add users at a strong pace. Transacting users grew 27% YoY to 19 million, while active users stood at 14.8 million. Customer assets on the platform touched Rs 2.7 trillion, with mutual funds contributing 53% of total assets.

Marketing and branding expenses rose sharply. Groww’s "cost to grow" increased 23% YoY and 15% QoQ to Rs 125 crore, driven largely by brand investments. Performance-marketing spend was lower year-on-year; however, it increased 48% over Q1, partially offset by reduced branding expenses.

Consequently, acquisition costs surged. The average customer acquisition cost (CAC) for H1 FY26 was Rs 1,374, significantly higher than Rs 796 in H1 FY25.

Groww made a strong debut on the Indian stock exchanges on 12 November 2025, listing at a 14% premium on the BSE at Rs 114 and about 12% premium on the NSE at ~Rs 112, against an issue price of Rs 100.