Reliance Industries Limited, led by Mukesh Ambani, announced its financial results for the December quarter. The conglomerate showed largely stable earnings with a slight increase in profit and double-digit revenue growth. This performance reflects steady operations across its diverse business units.
Key Financial Highlights
The company reported a consolidated net profit of Rs 18,645 crore for the quarter. This figure represents a marginal year-on-year rise of 0.56 per cent. Revenue from operations, however, grew more robustly at 11 per cent to reach Rs 2.69 lakh crore.
On a sequential basis, profit increased by about 3 per cent from the September quarter's Rs 18,165 crore. Revenues also rose 4 per cent quarter-on-quarter. These numbers indicate steady momentum across Reliance's diversified portfolio.
EBITDA and Operational Performance
Earnings before interest, tax, depreciation and amortisation (EBITDA) stood at Rs 50,932 crore for the quarter. This marked a 6 per cent increase year-on-year. Strong operating performance in the Jio and oil-to-chemicals (O2C) segments supported this growth.
Depreciation rose 11 per cent year-on-year to Rs 14,622 crore during the quarter. Finance costs increased 7 per cent to Rs 6,613 crore. The company attributed this largely to the operationalisation of 5G spectrum assets. Tax expenses climbed 10 per cent year-on-year to Rs 7,530 crore.
Capital Expenditure and Growth Initiatives
Capital expenditure for the quarter ended December stood at Rs 33,826 crore, which is approximately $3.8 billion. This spending was driven by investments in ongoing growth projects in the O2C and new energy businesses. The company also continued spending to strengthen and expand the Jio and Retail networks and infrastructure.
Mukesh Ambani's Vision
Mukesh Ambani, chairman and managing director of Reliance Industries, commented on the results. He stated that the company is entering a new phase of growth. "Reliance is entering a new phase of value creation with its initiatives in the AI and New Energy domains. I am confident that Reliance will play a pioneering role in the evolution of these epoch-defining technologies, providing sustainable solutions at scale for India and the world," Ambani said.
Oil-to-Chemicals Business Performance
Reliance's core oil-to-chemicals (O2C) business reported an 8 per cent increase in revenues to Rs 1.69 lakh crore during the quarter. Segment EBITDA rose 15 per cent year-on-year to Rs 16,507 crore. A sharp rise in transportation fuel cracks and higher sulphur realisations aided this growth.
The company noted that these gains were partially offset by weakness in downstream chemical margins and higher feedstock freight rates. However, favourable ethane cracking economics and domestic market placements continued to support profitability.
Fuel Retailing Expansion
Fuel retailing operations under Jio-bp expanded their network by 14 per cent year-on-year to 2,125 outlets. This expansion drove volume growth of 24.7 per cent in high-speed diesel (HSD) and 20.8 per cent in motor spirit (MS).
Ambani highlighted the segment's performance, saying, "The robust growth in O2C business was led by significantly higher fuel margins with favourable demand-supply dynamics, along with operational flexibility. I am happy to highlight the strong growth in our fuel retailing business, with continuing expansion of the Jio-bp network. Upstream segment EBITDA was impacted by lower volumes and prices."
The company added that agile crude sourcing helped sustain throughput during the quarter despite procurement challenges. Total throughput rose 200 basis points year-on-year to 20.6 million metric tonnes (MMT).
Overall, Reliance Industries demonstrated resilience in the December quarter. The company maintained profitability while expanding revenue significantly. Its strategic focus on new energy and AI initiatives positions it for future growth in evolving technological landscapes.
