💰 Financial Performance

Revenue Growth by Segment

Consolidated revenue grew 7.1% to INR 10,71,174 Cr in FY 2024-25. Segment-wise: Retail revenue grew 6.6% to INR 2,91,043 Cr; Digital Services (Jio Platforms) grew 15% YoY in Q2 FY26 to INR 36,332 Cr; FMCG revenue grew 100% (2x) YoY to INR 5,300 Cr in H1 FY26.

Geographic Revenue Split

Not disclosed in available documents, though the company emphasizes an 'India-focused' portfolio with global expansion in sports franchises (UK-based MI London and Oval Invincibles).

Profitability Margins

Consolidated Net Profit stood at INR 81,309 Cr with a PAT margin of 8.1% in FY 2024-25, down from 8.5% in FY 2024. Operating margin declined to 7.2% from 9.8% due to weaker transportation fuel and downstream chemical margins in the O2C segment.

EBITDA Margin

Consolidated EBITDA grew 2.9% to INR 1,83,422 Cr in FY 2024-25. Jio Platforms EBITDA margin expanded by 140 bps YoY to 51.6% in Q2 FY26, while Reliance Retail maintained an 8.6% EBITDA margin.

Capital Expenditure

Annual capex for FY 2024-25 was INR 1,31,107 Cr, primarily directed toward O2C projects, Retail store expansion, and Digital infrastructure. Q2 FY26 capex was INR 40,010 Cr.

Credit Rating & Borrowing

Maintains highest credit ratings: CARE AAA (Stable), ICRA AAA, and India Ratings AAA. International ratings are BBB+/Baa2. Gross debt stood at INR 3,47,530 Cr with net debt at INR 1,17,083 Cr as of March 2025.

⚙️ Operational Drivers

Raw Materials

Crude oil and natural gas are primary feedstocks for the O2C and E&P segments, representing the largest portion of manufacturing costs. Specific percentage of total cost not disclosed.

Import Sources

Not specifically detailed, but operations involve global hydrocarbon exploration and petroleum refining, implying sourcing from the Middle East and domestic fields like KG-D6.

Capacity Expansion

Retail: Expanded to 19,340 stores covering 77.4 million sq. ft. Digital: Reached 500M+ subscribers with 234M on 5G. New Energy: Target of Net Carbon Zero by 2030 with GW-scale data centers and green energy infrastructure.

Raw Material Costs

O2C earnings declined in FY 2024-25 due to weaker downstream chemical margins, though feedstock flexibility was used to mitigate impact. Specific cost as % of revenue not disclosed.

Manufacturing Efficiency

O2C performance supported by feedstock flexibility and operational excellence. Gas production reached 251 BCF (RIL share) from KG-D6 and CBM fields.

Logistics & Distribution

Jio-bp fuel retail outlets increased to 2,057, driving a 34% growth in petrol and diesel volumes through improved domestic placement.

📈 Strategic Growth

Expected Growth Rate

19%

Growth Strategy

The company aims to double EBITDA between FY2024-28 through: 1) Rapid expansion of Retail (400+ stores added in Q2 FY26), 2) Scaling Quick Commerce (200% YoY order growth), 3) 5G monetization and fixed broadband expansion (23M subscribers), and 4) Launching 'Reliance Intelligence' for AI products and GW-scale green data centers.

Products & Services

Petrol, diesel, ATF, LPG, polymers, chemicals, telecom SIM cards (Jio), fixed broadband, groceries, apparel, electronics, FMCG products (Campa, Independence), and media content (JioStar).

Brand Portfolio

Jio, Reliance Retail, Reliance Fresh, JioMart, Campa, Independence, Jio-bp, MI London, Oval Invincibles, JioStar.

New Products/Services

Reliance Intelligence (AI products), Quick Commerce (200% YoY growth), and expansion into UK cricket franchises (MI London, Oval Invincibles).

Market Expansion

Expanding retail footprint in India and international sports markets (UK). Scaling FMCG distribution where General Trade contributes 75% of sales.

Market Share & Ranking

Largest private sector company in India (88th globally). #1 Retailer in India (40th globally). #1 Telecom provider in India by revenue market share.

Strategic Alliances

Partnership with Surrey County Cricket Club for MI London; 49% acquisition of Oval Invincibles from ECB for GBP 60.27M; Jio-bp JV for fuel retailing.

🌍 External Factors

Industry Trends

India's retail market is poised to be the 3rd largest by 2030. Telecom is shifting from 'data darkness' to 'data abundance' via 5G and FWA.

Competitive Landscape

Faces intense competition in Retail and AI; Reliance Intelligence must compete with global AI companies like Google, Meta, and OpenAI.

Competitive Moat

None

Macro Economic Sensitivity

Sensitive to RBI policy; 100 bps repo rate cut to 5.5% in 2025 supports domestic consumption. India's GDP growth and favorable demographics drive the retail and digital sectors.

Consumer Behavior

Shift toward Quick Commerce (200% growth) and high data consumption (38.7 GB/user/month) drives digital and retail strategy.

Geopolitical Risks

Global volatility impacted capital inflows in H2 FY25, turning FPIs into net sellers.

⚖️ Regulatory & Governance

Industry Regulations

Operations governed by TRAI (Telecom), Petroleum & Natural Gas Regulatory Board, and environmental norms for O2C plants.

Environmental Compliance

Targeting Net Carbon Zero by 2030; Board committees oversee ESG initiatives and performance.

Taxation Policy Impact

FMCG and Retail segments saw demand deferment due to anticipated GST rate cuts, impacting quarterly revenue timing.

Legal Contingencies

The company filed an appeal against a SAT order dated May 02, 2025, which imposed a penalty of INR 30 lakhs regarding the disclosure of the Jio-Facebook deal.

⚠️ Risk Analysis

Key Uncertainties

Cyclicality in refining and petrochemical margins (O2C) and potential volatility in crude oil prices impacting E&P earnings.

Geographic Concentration Risk

Highly concentrated in India, which is the primary market for Retail and Digital Services.

Third Party Dependencies

Reliance Intelligence will compete with but also potentially collaborate with third-party AI providers like Google, Meta, and OpenAI.

Technology Obsolescence Risk

Mitigated by 'ahead of the curve' investments in Standalone 5G (2022) and FWA (2024) to lead technology transitions.

Credit & Counterparty Risk

Strong internal cash flow generation (INR 1,46,917 Cr cash profit) supports debt servicing and maintains a conservative balance sheet.