Reliance Industries Q3 Results FY25: Key Highlights, Growth Insights, and Performance Metrics

Reliance Industries Q3 FY25 Results: A Comprehensive Analysis

Reliance Industries Limited (RIL), India’s largest conglomerate, has reported its third-quarter (Q3 FY25) financial and operational performance, reflecting strong growth and resilience across its diversified business verticals. Here’s a detailed look at the highlights of RIL’s Q3 results.

Financial Highlights

1. Revenue Growth: RIL posted a gross revenue of ₹267,186 crore ($31.2 billion), marking a 7.7% year-on-year (YoY) increase. The growth was driven by robust performance in its key segments, including retail, telecom, and oil-to-chemicals (O2C).
2. Profitability: The company’s Profit After Tax (PAT) rose by 11.7% YoY to ₹21,930 crore ($2.6 billion), demonstrating improved operational efficiencies and strategic investments across businesses.
3. Capital Expenditure & Debt:
   • Capital expenditure for the quarter stood at ₹32,259 crore ($3.8 billion).
   • Net debt reduced to ₹115,465 crore from ₹116,438 crore in the previous quarter, supported by robust cash flows.

Segment-Wise Performance

1. Oil-to-Chemicals (O2C):

• Revenue: ₹149,595 crore ($17.5 billion), up 6% YoY.
• EBITDA: ₹14,402 crore ($1.7 billion), growing 2.4% YoY.
• Key Drivers: Higher production for sale, recovery in refining margins, and robust domestic demand contributed to growth. Ethane cracking and yield optimization offset the impact of unfavorable fuel cracks.

2. Retail Business:

• Revenue: ₹90,333 crore, up 8.8% YoY.
• EBITDA: ₹6,828 crore, reflecting a 9.5% YoY growth.
• Key Highlights:
  • Opened 779 new stores, bringing the total to 9,102 outlets spanning 77.4 million sq ft.
  • Footfall rose to 296 million, a 5% YoY increase.
  • Digital and new commerce contributed 18% of total revenue.
  • Significant growth in grocery (37% YoY) and a turnaround in fashion & lifestyle consumption.

3. Digital Services (Jio Platforms):

• Revenue: ₹38,750 crore, a growth of 19.2% YoY.
• Subscriber Base: Reached 482 million, with an ARPU of ₹203.3.
• Key Initiatives:
  • Rapid adoption of 5G services.
  • Home broadband services through JioFiber gained significant traction.
  • JioAirFiber recorded 4.5 million subscribers.

4. Oil & Gas Exploration:

• Revenue: ₹6,370 crore ($744 million), a decline of 5.2% YoY.
• Challenges: Lower volumes in KGD6 and reduced price realizations for CBM gas and condensate were partially offset by increased CBM gas volumes and a marginal rise in KGD6 gas prices.

Operational Highlights

• Reliance BP Mobility Limited (Jio-bp):
  • Expanded its network to 1,865 outlets by the end of Q3 FY25, up from 1,698 in the previous year.
  • Achieved sales growth of 22.8% in HSD and 43.7% in MS, outperforming industry growth rates.
  • Established 5,500 live EV charging points across 580 unique sites.
• Clean Energy Initiatives:
  • Expanded the Bio-CNG network to 32 sites under the “Clean N Green” initiative.
  • Continued ramp-up of CNG outlets.

Leadership Comments

• Mukesh Ambani, Chairman and Managing Director, RIL: “The delivery of record EBITDA and PAT at a consolidated level for this quarter is a testament to the inherent strength and resilience of our businesses. Robust growth in digital services and the strong performance of our retail segment are particularly encouraging as they contribute to India’s evolving consumer and digital landscape.”
• Akash Ambani, Chairman of Reliance Jio Infocomm: “Jio continues to drive digital inclusion by scaling 5G adoption and expanding broadband beyond Tier 1 towns. We remain committed to leveraging AI and other transformative technologies to create a connected, intelligent future.”
• Isha Ambani, Executive Director, Reliance Retail Ventures Limited: “Reliance Retail’s focus on customer-centric innovation and offering a wide range of products at attractive price points has led to strong festive-driven growth and increased footfall across formats.”

Looking Ahead

Reliance Industries remains well-positioned to drive growth across its key businesses. Its focus on innovation, digital transformation, and clean energy initiatives highlights its commitment to sustainability and value creation for stakeholders. With a robust balance sheet, strategic investments, and strong operational metrics, RIL is set to continue its growth trajectory in the coming quarters.

Stay tuned for more updates on corporate earnings and industry insights! pennyplanners.in

image credit: Reliance Industries