Shares of Billionbrain Garage Ventures, the parent company of Groww, will be in focus on Friday after global financial services firm Goldman Sachs acquired more than 1.13 crore shares in an open market transaction worth Rs 210.43 crore on Thursday.According to BSE block deal data, Goldman Sachs Bank Europe SE bought 1,13,43,750 equity shares, equivalent to a 0.18% stake in the Bengaluru-based company. The shares changed hands at an average price of Rs 185.50 apiece. Venture capital firm Friale was the seller in the transaction, offloading the same number of shares.Groww Q4 snapshotThe company reported strong earnings growth for the fourth quarter. The company posted a consolidated net profit of Rs 686 crore, up 122% year-on-year, while revenue from operations rose 87% from a year ago to Rs 1,505 crore.EBITDA climbed 142% year-on-year to Rs 939 crore during the quarter, reflecting a sharp improvement in margins. The company attributed the rise in profitability to revenue growth outpacing largely fixed costs, underscoring operating leverage across its businesses.On the expenditure side, employee benefit costs increased 44% year-on-year to Rs 173 crore in the March quarter. Other expenses, including marketing-related spending, rose 34% to Rs 393 crore from Rs 292 crore in the corresponding period last year.Groww said equity derivatives accounted for 55% of its total revenue, while lending contributed 12%. Stocks and commodity derivatives together made up about 20% of the revenue mix.The company added that recently introduced businesses such as Margin Trading Facility (MTF) and commodities contributed a larger share of revenue, supported by higher penetration among users."Newly launched product segments, namely Margin Trading Facility (MTF) and commodities, saw their share increase meaningfully, driven by higher penetration," the company said in a statement.Groww shares are down 14% in the last month but still about 23% on a year-to-date basis. (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
Groww shares in focus as Goldman Sachs buys stake in Rs 210-crore block deal
Goldman Sachs has bought a significant stake in Groww's parent company, Billionbrain Garage Ventures. This transaction occurred after Groww reported strong fourth-quarter earnings. The company saw its net profit surge by 122% year-on-year. Revenue also climbed by 87 percent. New offerings like Margin Trading Facility and commodities are contributing more to revenue.










