Groww’s Q4 Snapshot, Razorpay’s IPO Plans & More

Groww’s Profit Roll

Groww reported a stellar Q4 FY26. The quarter saw the stock broker scale fast, widen margins, and still find room to invest in new businesses. 

Revenue, profits and EBITDA saw healthy improvements, but losses in wealth and mutual fund verticals kept the story from being a clean sweep.

Here is a quick snapshot of Groww’s Q4 FY26 numbers:

• Profit after tax zoomed 122% YoY to ₹686.4 Cr
• Operating revenue surged 88% YoY to ₹1,505.4 Cr
• EBITDA improved 142% YoY to ₹938.7 Cr
• Expenses rose 38% YoY to ₹599.2 Cr
• Transacting users surged 25% YoY to 2.2 Cr, processing customer assets worth ₹3 Lakh Cr, up 36% YoY

Operating Leverage Kicks In: What stood out the most during the quarter was Groww’s operating leverage. Revenue grew faster than expenses, enabling profitability and margins to widen as much of the company’s costs are fixed in nature. This pattern is anticipated to continue.

Core Engine Roars: The company also benefited from higher user engagement and a broader mix of income streams across equities, derivatives and mutual funds. Its transaction base kept expanding even as broader markets stayed volatile, suggesting that trading activity and product depth are still drawing users in.

Weight Of New Bets: The profit pool was partly offset by losses in newer businesses. Recently acquired Fisdom, which powers its wealth management arm W, and mutual fund business Growwmf continued to post losses. The unicorn expects W to turn profitable only in FY28, while mutual fund profitability will depend on AUM growing 5X to 6X over the next few years.

Moving forward, the company intends to utilise the profits to expand its lending business across broking and consumer credit segments. With all eyes now on whether the fintech unicorn can sustain the momentum, here is how Groww fared on the financial front in Q4.

From The Editor’s Desk

Razorpay Gears Up For IPO

• The fintech unicorn is preparing to file its DRHP with SEBI via the confidential pre-filing route in the next few weeks. The company is planning to raise $600 Mn to $700 Mn via its listing at a valuation of $5 Bn to $6 Bn.
• This comes months after Razorpay is said to have shortlisted four investment bankers – Axis Capital, Kotak Mahindra Capital, JP Morgan and Citi – to helm its IPO. 
• Founded in 2014, Razorpay offers a full-stack fintech platform, offering payment acceptance, disbursals, lending and business banking solutions. It has raised more than $800 Mn to date. 

IPO-Bound Acko Slashes Jobs

• The insurance unicorn has laid off around 60 employees, or nearly 5% of its total workforce. The retrenchments are linked to the company automating its operations due to AI ahead of its potential public listing in FY27.
• Founded in 2016, ACKO sells automobile, health, and travel insurance on its platform. The startup has raised $458 Mn to date. On the financial front, Acko’s net loss narrowed 57% YoY to ₹424.4 Cr in FY25, while operating revenue rose 35% YoY to ₹2,836.8 Cr.
• Acko is said to be gearing up for its IPO and is eyeing a public issue of $300 Mn to $400 Mn. It is in early discussions with bankers for the public issue, which will include both fresh issue of shares and an OFS component.

Apple In CCI’s Crosshairs

• The iPhone maker Apple has failed to submit key financial data sought by the Competition Commission of India in connection with a case related to abuse of market dominance by Apple in the app marketplace segment.
• The two have been at odds with each other for some time now. In January, Apple moved the Delhi HC to block CCI from accessing its global financial records, arguing that sharing such data would weaken its challenge against CCI’s new penalty framework.
• Meanwhile, the competition watchdog says that it needs financial data to decide the size of penalty against the company. Apple had argued earlier that if global revenue is used, the fine could go up to $38 Bn. 

NudgeBee Bags $3 Mn

• The enterprise tech startup has raised ₹28 Cr in its seed round led by Kalaari Capital to fuel AI research and product development, invest in go-to-market strategy and build a channel-led distribution model.
• Founded in 2024, NudgeBee builds software solutions for enterprise cloud operations. The platform maps applications, dependencies and existing tools to create a unified view. Based on this, it deploys AI agents that can identify and fix issues.
• Going forward, the company is targeting mid-market companies in the US, while also scaling use cases for global capability centres in India. 

OpenAI CTO Quits

• The AI giant’s CTO of B2B applications, Srinivas Narayanan, has announced his departure from the company after a three-year long stint. He will leave the Sam Altman-led company at the end of the week.
• Narayanan now plans to spend some time with his ageing parents in India before deciding his next move. An alum of IIT Madras, he joined OpenAI as vice president of engineering in 2023 and was elevated to the current role last year.
• This comes as OpenAI has been aggressively expanding across India. The country is among the company’s fastest-growing markets, with over 10 Cr reported weekly active ChatGPT users.

Inc42 Markets

Inc42 Startup Spotlight

How Quarki Is Ushering India Into The Quantum Era

Classical computing is hitting its limits on problems that are too large or too computationally expensive to solve efficiently. Quarki Tech is trying to close this gap with its library of quantum algorithms built for real-world industrial use.

Building A Unified Stack: Founded in 2025, Quarki Tech is developing a unified solver stack that applies quantum-computation ideas to solve hard classical problems. One of the startup’s early priorities is to build a quantum-inspired compression mechanism, which can compress high-dimensional data and preserve accuracy across data streams. This could cut memory usage and energy consumption in sectors that handle large volumes of data.

Quarki’s Horizon: The startup’s broader roadmap includes developing solvers for complex mathematical problems, error correction and suppression systems, and quantum-safe cryptography. By building modular capabilities rather than one-off tools, the startup is positioning itself as an infrastructure layer for industries that need advanced computation without waiting for fully mature quantum hardware.

Targeting High-Stakes Industries: Its use cases span space, defence, communications, finance, cybersecurity and scientific research. Quarki operates in India’s quantum computing market, which is projected to grow to more than $1.2 Bn by 2035. So, can Quarki become the engine that gives India an edge in the quantum realm?

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