A growth trial was conducted to evaluate the effect of dietary lipid level on juvenile kelp grouper Epinephelus bruneus. Juvenile kelp grouper were fed isonitrogenous diets (470 g/kg crude protein) with four levels of crude lipid at 60 g/kg (CL60), 130 g/kg (CL130), 210 g/kg (CL210), and 270 g/kg (CL270) for 56 days. The highest growth performance and feed utilization were found in the CL130 diet group. A high dietary lipid level (CL270 diet) significantly decreased growth performance and feed utilization. A significant difference in apparent digestibility was only observed in protein, which was highest in the CL130 diet groups. The highest retention for protein, energy, and lipid was found in the CL130 diet group. The dietary lipid levels significantly changed whole-body and liver compositions, the highest being the CL60 diet group for crude protein level and the CL210 diet group for crude lipid level. Based on a second-order polynomial regression analysis of crude lipid level against specific growth rate and protein efficiency ratio, the optimum dietary lipid level for kelp grouper was estimated to be 152 and 154 g/kg diet, respectively.