Brokerage profits grow in September quarter despite slowdown in market activity

Brokerage firms reported strong year-on-year profit growth in the September quarter despite a slowdown in market activity, as higher contributions from margin funding and other businesses helped support earnings.

Combined average daily equity cash-market turnover on the NSE and BSE fell 11.7 per cent sequentially to ₹1.29 lakh crore in the July-September quarter as rising global bond yields, foreign investor outflows, higher oil prices and regulatory changes weighed on market sentiment and trading activity. The introduction of the closing auction session (CAS) in August also coincided with a decline in derivatives turnover.

Groww parent Billionbrains Garage Ventures reported a 54 per cent year-on-year increase in consolidated profit after tax (PAT) to ₹725.65 crore, while revenue from operations rose 47.4 per cent to ₹1,501.53 crore. The contribution of equity derivatives to revenue declined to 45 per cent from 57 per cent a year earlier.

Groww said the fall in derivatives' share of income was “driven by market adjustments to CAS,” adding that it expected a recovery after SEBI's reviewed measures take effect. The company also reported growth in its margin trading facility (MTF) and wealth businesses.

Angel One reported a 58.2 per cent rise in consolidated PAT to ₹335 crore, while gross revenue grew 18.9 per cent to ₹1,427 crore. Its client base grew 17.3 percent to nearly 400 crore. It said that the stronger growth in profitability reflected operating leverage and an expanding earnings base. Gross broking income accounted for about 55 per cent of revenue, compared with nearly 60 per cent a year earlier.

The number of orders processed by Angel One fell to 366 million from 406 million in the earlier quarter. However, its average client funding book grew 40.5 per cent year-on-year to ₹7,450 crore.

HDFC Securities reported a 26.3 per cent year-on-year rise in profit after tax to ₹264.66 crore, while revenue from operations increased 37.6 per cent to ₹964.61 crore. Kotak Securities reported a profit of ₹348 crore in the September quarter.

Anand Rathi Share and Stock Brokers reported a 50.3 per cent increase in PAT to ₹41.94 crore, while revenue from operations rose 20.3 per cent to ₹273.21 crore. Interest income from its MTF business increased 36 per cent to ₹49.6 crore.

The performance was weaker at 5paisa Capital, where revenue from operations grew 11.8 per cent to ₹86.46 crore, but PAT fell 25.5 per cent to ₹7.06 crore.

Geojit Financial Services also reported lower earnings, with consolidated PAT declining about 26 per cent year-on-year to ₹16.54 crore, while revenue from operations rose 2.6 per cent to ₹165.82 crore.

Published on October 25, 2026