Reliance Industries Reports Strong Q4 Performance

Reliance Industries Limited (RIL), India's most valuable company, announced a 6% increase in its quarterly profit, reaching Rs 22,611 crore. This growth was primarily driven by its digital and retail businesses, which successfully compensated for the underperformance in its traditional oil-to-chemicals (O2C) segment.

Financial Highlights

The company's revenue saw a 10% increase, totaling over Rs 2.64 lakh crore, while its operating profit rose by 3% to Rs 46,471 crore. However, expenses also climbed by about 11% to Rs 2.4 lakh crore.

Segment-wise Performance

The O2C segment experienced a 10% decline in operating profit to Rs 15,080 crore, attributed to lower transportation fuel cracks and polyester chain margins. In contrast, the digital services business (Jio) saw an 18% surge in operating profit to Rs 17,278 crore, thanks to increased subscriber numbers and last year's tariff hike.

The retail business also performed exceptionally well, with operating profit jumping 14% to Rs 6,721 crore, driven by improved efficiencies and a better product mix. Meanwhile, the oil & gas business faced a 9% decline in operating profit to Rs 5,123 crore, due to higher operating costs from maintenance activities and government levies.

Future Outlook

RIL anticipates the residual effects of the tariff hike to fully materialize by June this year, further bolstering Jio's performance. With 488 million customers as of March 31, 2025, and significant growth in data and voice traffic, Jio continues to lead India's digital revolution.