- Reliance Industries Q4 FY25 Results: Steady Growth in Consumer Businesses Balances Energy Pressures
- Overall Financial Performance – Reliance Industries
- Jio Platforms: Telecom and Digital Strength
- Reliance Retail: Strong Growth Across Segments
- Oil & Gas Exploration and Production
- Oil-to-Chemicals (O2C): Weak Margins Continue
- New Energy Business: Steady Progress
- Capex and Balance Sheet Update
- Key Risks to Watch
- Frequently Asked Questions (FAQ)
Reliance Industries Q4 FY25 Results: Steady Growth in Consumer Businesses Balances Energy Pressures
Reliance Industries continues to stay strong across its diversified businesses. In Q4 FY25, the company showed solid results in telecom and retail, even though challenges remained in the oil-to-chemicals segment. Reliance Industries has kept its focus on long-term plans in digital, retail, and clean energy.
Here’s a breakdown of how each part of the business performed.
Overall Financial Performance – Reliance Industries
Macro and Market Environment
The global environment remained uncertain due to trade issues, geopolitical tensions, and oversupply from China. This led to pressure on margins, especially in the chemicals business. Despite this, Reliance Industries managed to grow its revenue and profits.
Key Full-Year Financials (FY25)
- Revenue increased by 7% compared to last year.
- EBITDA dropped by 8%, mainly because of weaker margins in the oil-to-chemicals (O2C) segment.
- Profit After Tax (PAT):
- Jio Platforms: ₹26,000 crore (up 22%)
- Reliance Retail: ₹12,400 crore (up 11%)
- Standalone Reliance (mainly O2C): Saw a decline.
Quarterly Highlights (Q4 FY25) – Reliance Industries
- Revenue grew 9% YoY.
- EBITDA improved by 4%.
- Net Profit rose 6.4%.
- Strong gains in Jio and Retail offset weaker O2C performance.
- Oil & Gas earnings dipped due to lower production.
Jio Platforms: Telecom and Digital Strength
Jio remains a key growth engine for Reliance Industries. In FY25, it delivered strong growth in users, revenue, and new services.
Financial and Operating Data
| Metric | Q4 FY25 |
|---|---|
| Revenue | ₹1,28,218 crore (up ~17%) |
| EBITDA | ₹64,170 crore (up ~17%) |
| EBITDA Margin | 50% |
| Total Subscribers | 488.2 million |
| Net Subscriber Additions | 6.1 million |
| 5G Users | 191 million |
| ARPU (Average Revenue/User) | ₹206.2 (up 13.5%) |
| Data Traffic | 49 exabytes (up 20%) |
| 5G Share of Data | 45% of wireless data traffic |
Home Broadband and AirFiber
- Over the last six months, Jio added 90% of the industry’s net new home internet users.
5G Rollout Status
- Jio has completed its 5G rollout across India.
- Users enjoy average download speeds of 224 Mbps.
- So far, 45% of data is still offered free; monetization is expected later.
Digital Enterprise and Cloud
- Jio is also expanding into cloud services, IoT solutions, and enterprise digital platforms.
- These services are growing faster than the main connectivity business.
Reliance Retail: Strong Growth Across Segments
Reliance Retail continues to be one of the fastest-growing retail companies in India. It performed well across grocery, fashion, and premium segments.
Financial Summary
| Metric | Q4 FY25 | FY25 (Full Year) |
|---|---|---|
| Revenue Growth | +16% YoY | +8% YoY |
| EBITDA Growth | +15% YoY | +9% YoY |
| PAT Growth | +30% YoY | +12% YoY |
| New Stores Added | 2,659 | Net +500 after closures |
Key Operating Highlights
Quick Commerce
- JioMart now delivers in under 30 minutes in 4,000+ pin codes.
- Daily orders have grown 62% YoY.
FMCG and Consumer Brands
- Consumer goods sales touched ₹11,450 crore in just the second year.
- Over 1 million outlets sell Reliance’s FMCG products.
Fashion and Lifestyle
- After a weak start to the year, fashion saw good recovery in Q3 and Q4.
- The company now refreshes store inventory weekly.
- The new ‘Project Impetus’ has cut product cycle time to 30 days.
Premium and Luxury
- Ajio Luxe now offers 800+ brands.
- French brand Maje launched in India.
- New stores opened under the Vision Express brand in partnership with EssilorLuxottica.
Oil & Gas Exploration and Production
While oil and gas remains a smaller part of Reliance Industries, it made record profits this year.
FY25 Highlights
- EBITDA reached a new high, up ₹1,000 crore YoY.
- Margins stood at 84%, among the best in the sector.
- Production rose by 4%, led by KGD6.
- Ceiling price in H2 was $10.16/MMBtu.
- Coal Bed Methane (CBM) saw a turnaround using new drilling methods.
Q4 Observations
- Temporary dip due to shutdown at KGD6.
- Production is now back at 28 million metric standard cubic meters per day (mmscmd).
Oil-to-Chemicals (O2C): Weak Margins Continue
The oil-to-chemicals business saw continued pressure due to global oversupply and weak demand.
Financials
- EBITDA dropped 12% YoY.
- Cracks (profit margins) fell for fuels and chemicals:
- Transport fuels down 36–41%.
- Polymers/polyesters down 2–13%.
Operations and Offsets
- Highest-ever refinery throughput: 80.5 million tonnes/year.
- Improved feedstock efficiency, including better ethane usage.
- Domestic fuel sales through Jio-bp:
- MS and HSD volumes up 35%.
- ATF up 62%.
Capacity Expansion Plans
- PVC and Vinyls: Integrated plant to start in 2026–27.
New Energy Business: Steady Progress
Reliance Industries is investing heavily in green energy to secure its future beyond fossil fuels.
Solar Power
- First gigawatt-scale solar module line commissioned.
- Total 10 GW capacity to be ready by end of 2025 or early 2026.
- Scalable up to 20 GW as needed.
Green Hydrogen
- 2,000 acres acquired at Kandla for green hydrogen production.
- Partnership with Nel to manufacture alkaline electrolyzers.
Battery Manufacturing
- 30 GWh planned battery capacity.
- Focus on lithium iron phosphate (LFP) batteries and large utility storage cells.
Capex and Balance Sheet Update
Reliance has kept its investments in check while completing major projects.
Capital Expenditure (Capex)
- FY25 group capex stood at ₹41,000 crore.
- Most of Jio’s 5G capex is now complete.
- O2C and New Energy projects will see continued spending.
- ₹75,000 crore committed for New Energy, with execution underway.
Debt Position
- Net debt remains stable.
- Company continues to fund capex through internal cash profits.
Key Risks to Watch
Reliance is working across multiple large projects. Here are the key areas to track:
- O2C Recovery: Needs improvement in global demand and better margins.
- Oil & Gas Fields: Natural production decline may impact volumes unless new wells help.
- New Energy Execution: Delays in solar and hydrogen plant rollouts may affect timelines.
- Media and Entertainment: Integration and margin growth remain under close watch.
- Capex Returns: Now that big investments are done, returns from digital and green energy will be key.
Reliance Industries showed that even in a tough environment, it can stay steady. Consumer businesses like Jio and Retail are growing fast. The company is also making progress in clean energy, while keeping costs under control. Challenges remain in the O2C business, but long-term projects in solar, hydrogen, and telecom are setting up Reliance for future growth.
Frequently Asked Questions (FAQ)
Q1: What helped Reliance Industries grow in Q4 FY25?
Growth in Jio and Retail businesses helped balance weaker performance in the oil-to-chemicals segment.
Q2: Is Jio’s 5G rollout complete?
Yes, Jio has completed its pan-India 5G rollout and now has 191 million 5G users.
Q3: How is Reliance doing in the solar and green energy space?
Reliance has started a gigawatt-scale solar plant, with plans to reach 10 GW capacity by 2026. It is also working on green hydrogen and battery storage.
Q4: What is Reliance Retail’s focus area?
Reliance Retail is expanding across grocery, fashion, premium brands, and quick commerce through JioMart.
Q5: What are the main risks Reliance faces now?
Risks include weak margins in O2C, execution delays in new energy, and returns from past capex.
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I’m Rahul Chaudhary, and I write about everything related to the Share Market. From Stock Trends and Share Prices to the Latest News and IPO Updates, my articles aim to provide you with valuable insights to help you navigate the world of investing. Stay tuned for expert tips and updates to keep you informed!
