Zerodha posted a web revenue of Rs 4,283 crore in FY26, up round 1.2% from Rs 4,231 crore within the earlier fiscal, at the same time as its income remained across the identical degree, co-founder and CEO Nithin Kamath stated within the firm’s newest replace.
Kamath stated Zerodha’s income has not grown in actual phrases because the bull market has paused and transaction-fee earnings has fallen. Nonetheless, the lack of transaction-fee income is now being offset by earnings from its margin buying and selling facility (MTF) enterprise.
MTF, which Zerodha began in December 2024, now contributes round 10% of its income. Its MTF e book has reached Rs 9,000 crore, whereas clients have borrowed round Rs 6,000 crore.
Kamath additionally expressed concern over the MTF enterprise as clients are borrowing cash to take a position. Buyer borrowing via MTF is round 25% of Zerodha’s web value. He stated this might not be an issue when markets are rising, however might enhance dangers if markets fall sharply.
As per the enterprise replace, Zerodha has additionally seen slower development in new accounts because the inventory market has remained weak.
In response to Kamath, Zerodha is now India’s largest dealer by whole AUM. Round Rs 1 lakh crore of this AUM got here from clients acquired from IL&FS. Whereas Zerodha’s share of lively NSE clients and whole demat accounts has fallen, its share of retail AUM continues to develop.
The corporate additionally admitted that mutual funds are one space the place it “could have slipped up just a little”. Zerodha expects its upcoming mutual fund integration with Kite to enhance product discovery and the client expertise.
The corporate additionally wants round Rs 11,000 crore of capital to function at its present measurement. Kamath stated this requirement itself acts as a moat for Zerodha.
Past broking, the corporate is trying to construct companies throughout asset administration, lending and insurance coverage whereas persevering with to take a position via Rainmatter.
Total, Zerodha stays worthwhile, however the development in new clients and buying and selling exercise has slowed. The corporate is now specializing in rising buyer belongings, constructing new companies and launching new merchandise whereas holding its workforce small.
