Zerodha has turned out to be one of the heavyweights in India's brokerage industry, now managing roughly 11 per cent of all retail and high-net-worth individual (HNI) equity holdings in the country. The figure, shared by co-founder and CEO Nithin Kamath on X (formerly Twitter), translates to Zerodha holding Rs 1 out of every Rs 10 invested by individual equity investors nationwide.
"~11 per cent of all retail and HNI holdings are in @zerodhaonline demat accounts. We are grateful for the incredible trust our customers place in us," Kamath posted on Friday, alongside a chart tracking the company's sharp rise since 2018.
Zerodha posted a 62 per cent jump in profit to Rs 4,700 crore in FY24, while revenue rose 21 per cent to Rs 8,320 crore. It also holds Rs 1,000 crore in unrealised gains and boasts a strong capital position, with net worth amounting to nearly 40 per cent of customer funds. "Given the profitability of the last three years, our net worth is almost 40 per cent of the customer funds that we manage. It makes us one of the safest brokers to trade with," Kamath had said previously.
Despite its profitability, Zerodha has no plans to list on the stock exchanges. Kamath reaffirmed this position in a recent CNBC-TV18 interview: "We continue to believe there's no reason to IPO. Being listed on exchanges is tough for a company like us."
The company is also expanding beyond broking. Kamath revealed long-term plans to build a broader financial services business, potentially entering the banking space depending on regulatory green lights. The move signals a shift toward creating a full-fledged financial conglomerate.
Its mutual fund arm, Zerodha Asset Management Company (AMC), is also gaining traction. Just 18 months after launch, it has crossed Rs 6,400 crore in assets under management. Much of this comes from the LIQUIDCASE ETF, which Kamath dubbed their "Hero Fund." The ETF has surged from Rs 843 crore in April 2024 to Rs 4,700 crore in AUM, becoming one of the fastest-growing retail ETFs in India.
