In a significant shift in India’s retail investment landscape, IPO-bound Groww has further consolidated its market leadership position, reaching 1.32 crore active users in December 2024. The platform’s impressive growth comes as traditional market leader Zerodha experienced a slight decline in its user base, highlighting the changing dynamics in India’s investment technology sector.
According to the latest NSE data, Groww added 3 lakh new active clients in December alone, while Zerodha’s active user base decreased marginally from 81.25 lakh to 81.20 lakh during the same period. This widening gap between the two platforms marks a notable shift in the competitive landscape of India’s retail investment sector.
The surge in Groww’s user base coincides with its preparations for an upcoming initial public offering (IPO), expected to value the company between $6 billion to $8 billion. The company’s strategic decision to shift its domicile to India in May 2023 aligns with these listing plans, demonstrating its commitment to the Indian market.
Financial analyst Rajesh Kumar from Capital Markets Research notes, “Groww’s remarkable user growth reflects the changing preferences of India’s new-age investors. The platform’s user-friendly interface and innovative features have clearly resonated with the younger demographic, who are increasingly entering the investment market.”
The platform’s financial performance has been equally impressive, with a 17% increase in profit to ₹535 crore in FY24, accompanied by a substantial 119% jump in revenue from operations to ₹3,145 crore. These numbers underscore Groww’s strong market position and sustainable growth model.
In the broader market context, Angel One maintained its third position with 77.54 lakh active users, showing modest growth from the previous month’s 76.31 lakh. Other significant players in the space include Upstox with 28.87 lakh users and Dhan with 9.33 lakh active clients. The emergence of new players like PhonePe Investment Tech, which crossed the 3 lakh user mark, indicates the sector’s growing competitiveness.
For Tamil Nadu’s startup ecosystem, Groww’s success story presents valuable lessons in scaling technology-driven financial services. The platform’s growth trajectory has created numerous opportunities for local fintech startups and has contributed to the region’s growing reputation as a fintech hub.
The overall market shows robust health, with total active users in public markets reaching 5.02 crore in December. However, Zerodha’s CEO Nithin Kamath has struck a note of caution, suggesting that while 2024 was exceptional for the brokerage industry, 2025 might present new challenges.
Zerodha, meanwhile, continues to diversify its offerings, with its asset management subsidiary, Zerodha Fund House, recently crossing the ₹4,000 crore mark in assets under management (AUM) with over 4 lakh investors across its funds.
