Reliance Industries Limited — Q4 FY25 earnings call

Call held 25 Apr 2025

Management summary

Reliance Industries Limited reported a strong Q4 FY25, driven by robust performance in its consumer-facing businesses, Jio Platforms and Reliance Retail. Jio Platforms saw significant growth in subscribers, ARPU, and data consumption, with 191 million 5G users. Reliance Retail delivered double-digit growth in revenue, EBITDA, and PAT, benefiting from quick commerce expansion and strong consumer brands. While the O2C segment faced margin pressures, the company's New Energy initiatives are progressing rapidly with commissioning of solar module capacity and plans for battery manufacturing.

Highlights

  • Jio Platforms Q4 revenue at ₹33,986 crore, up ~18% YoY, with EBITDA at ₹17,000 crore and PAT up 26% to ₹7,023 crore.

  • Jio Platforms total subscriber base reached 488.2 million, adding 6.1 million net subscribers in Q4 FY25.

  • Jio Platforms ARPU increased to ₹206.2, and data traffic grew 20% YoY to 49 exabytes.

  • Reliance Retail Q4 revenue grew 16% YoY, EBITDA up 14% YoY, and PAT up 30% YoY.

  • Reliance Retail full year EBITDA crossed ₹25,000 crore, and PAT reached ₹12,400 crore.

  • JioStar reported 280 million paid subscribers and a world record 61 million live concurrency, with revenue of ₹9,497 crore and EBITDA of ₹266 crore since launch.

  • Oil & Gas business maintained healthy EBITDA margins at 84%, with KGD6 production up 4% and CBM production significantly augmented.

  • O2C segment EBITDA was lower by 12% due to weak margins, but India's gasoline demand was up 7.5%, ATF up 9%, and polymer/polyester demand up 5%.

What they filed

Q1 FY27: revenue up 27.0%, net profit down 24.6% against the same quarter last year.

₹ Cr · quarterly
Line itemQ2 FY25Q3 FY25Q4 FY25Q1 FY26Q2 FY26Q3 FY26Q4 FY26Q1 FY27
Revenue2,31,535 2,39,986 2,61,388 2,43,632 2,54,623 +10%2,64,905 +10%2,94,059 +12%3,09,468 +27%
EBITDA39,058 43,789 43,832 42,905 45,885 +17%46,018 +5%44,141 +1%47,517 +11%
Net profit19,323 21,930 22,611 30,783 22,092 +14%22,290 +2%20,589 −9%23,196 −25%
How to read this

₹ crore, as filed. The percentage beside a figure is the change against the same quarter a year earlier — never the quarter before, which would make every seasonal business look like it collapses and booms each year.

Guidance & targets

Connectivity

  • Homes Connected (Fixed Wireless) Connectivity · Internal timeframe (not specified) · Medium confidence 100 million homes
    We are feeling confident to be able to connect 100 million homes, which is a target that we have set for ourselves.

    — Sh Anshuman Thakur

  • AirFiber Speed Connectivity · Ongoing · High confidence 1 Gbps
    So when we say 1 Gbps at home for home broadband using either our 5G spectrum or the UBR, that is uplink and downlink of 1 Gbps.

    — Sh Anshuman Thakur

Oil & Gas Production

  • KGD6 Production Oil & Gas Production · Near term (ramping up) · High confidence 28 million standard cubic metres
    now all the wells are back up on stream and we are back to ramping up the production to about 28 million standard cubic metres.

    — Sh Sanjay Barman Roy

  • CBM Production Oil & Gas Production · Ongoing · High confidence Increased production
    CBM, we have commenced the second campaign, so the production from those will also be seen as we go along.

    — Sh Sanjay Barman Roy

Petrochemicals Expansion

  • Polyester Expansion Capacity Petrochemicals Expansion · FY28 · High confidence 1 million tonne
    These are projects that we had talked about, but just putting it there in terms of 1 million tonne expansion for polyester.

    — Sh V. Srikanth

  • PTA Facility Capacity Petrochemicals Expansion · FY28 · High confidence 3 million tonne
    it is integrated with backward integration with three million tonne PTA facility that is also planned.

    — Sh V. Srikanth

  • PVC Expansion Capacity Petrochemicals Expansion · FY28 · High confidence More than 1.25 million tonnes

    Previously 1 million tonnes → More than 1.25 million tonnes

    So we were talking about a million tonnes of PVC there, we are now talking more than 1.25.

    — Sh Amit Chaturvedi

  • PVC Expansion Contribution to EBITDA Petrochemicals Expansion · 2027-2028 · High confidence Contribution to EBITDA
    to see the benefit of all this coming in 2027-2028 in terms of its contribution to the EBITDA.

    — Sh V. Srikanth

New Energy - Solar

  • Solar Manufacturing Capacity New Energy - Solar · Not specified (initial commissioning done) · High confidence 10 gigawatt per annum
    in terms of the 10 gigawatt per annum capacity that we have for solar

    — Sh V. Srikanth

  • Solar Manufacturing Capacity (Upside) New Energy - Solar · Not specified (quick ramp-up) · High confidence 20 gigawatts
    it is designed in such a way that it is quick, we can quickly jump it up to 20 gigawatts

    — Sh V. Srikanth

New Energy - Battery

  • Battery Manufacturing Capacity New Energy - Battery · Not specified · High confidence 30 gigawatts
    We are also focused on 30 gigawatts of battery manufacturing.

    — Sh V. Srikanth

New Energy - Solar Generation

  • Meaningful Solar Power Generation New Energy - Solar Generation · 2027-2028 · Medium confidence Meaningful generation
    So if you think about overall generation wise again, it is fair to say 2027-2028, that is the kind of time frame by which anything meaningful will happen.

    — Sh V. Srikanth

New Energy - CBG

  • CBG Plants Operational New Energy - CBG · Quickly · High confidence 55 plants

    Previously 10 plants → 55 plants

    And overall on CBG, we have 10 plants operational we want to scale it up quickly to 55.

    — Sh V. Srikanth

New Energy - Battery Manufacturing

  • Battery Cell Assembly New Energy - Battery Manufacturing · A quarter to two quarters · High confidence Start seeing container, pack, and then cell
    So it is just probably a matter of a quarter to two quarters. By the time you will start seeing container, pack, and then cell in that sequence, effectively.

    — Sh Karan Suri

  • LFP Battery Manufacturing Start New Energy - Battery Manufacturing · 2026 · High confidence Start seeing manufacturing
    So in 2026, you will start seeing, starting with packs and then going to the cells, the manufacturing.

    — Sh Karan Suri

New Energy - Solar Manufacturing

  • Solar Factories Commissioning New Energy - Solar Manufacturing · End of 2025, early 2026 · High confidence All factories commissioned and producing
    I think we have defined that by end of 2025, early 2026, all these factories will get commissioned and will start producing and we are well on our way to achieve that.

    — Sh Karan Suri

Petrochemicals

  • Ethane Sourcing Mix (New Ships Delivery) Petrochemicals · 2026 second half · High confidence Three new ships
    We have already ordered three new ships with the shipyards and they are likely to start getting delivered sometime in 2026 second half.

    — Sh Amit Chaturvedi

  • Caustic Surplus Management Petrochemicals · Initial period of one or two years · High confidence Export some caustic
    I mean I agree with you, there will be caustic surplus in the country and for a while for initial period of one or two years we will export some of that caustic and manage the situation.

    — Sh Amit Chaturvedi

2 min read

Detailed narrative

Reliance Industries Limited concluded Q4 FY25 with a strong performance, particularly in its consumer-facing segments. Jio Platforms reported Q4 revenues of ₹33,986 crore, an increase of approximately 18% year-on-year, with EBITDA reaching ₹17,000 crore and profit after tax growing 26% to ₹7,023 crore. The segment's total subscriber base expanded to 488.2 million, adding 6.1 million net subscribers during the quarter, and ARPU improved to ₹206.2. Data consumption continued its upward trend, with traffic growing 20% year-on-year to 49 exabytes, and 5G now accounts for 45% of total wireless traffic, with 191 million 5G subscribers. Management highlighted the success of fixed wireless (AirFiber) deployment, aiming to connect 100 million homes, and progress in digital service revenues for enterprises.

Reliance Retail also delivered robust results, with Q4 revenue up 16% year-on-year, EBITDA up 14% year-on-year, and PAT increasing 30% year-on-year. For the full fiscal year, the retail segment's EBITDA surpassed ₹25,000 crore, and PAT reached ₹12,400 crore. Key drivers included a 2.4x quarter-on-quarter growth in quick commerce orders, strong performance of consumer brands with sales of ₹11,450 crore, and the opening of 2,659 new stores, resulting in a net addition of 500 stores after streamlining. The company also launched SHEIN commercially, with plans for significant scale-up this year. JioStar, the newly merged media and entertainment entity, reported 280 million paid subscribers and achieved a world record of 61 million live concurrency, generating ₹9,497 crore in revenue and ₹266 crore in EBITDA since its launch in November.

The Oil & Gas business maintained healthy EBITDA margins of 84%, benefiting from a 4% increase in KGD6 production and augmented CBM production from multilateral wells. The company is ramping up KGD6 production to 28 million standard cubic meters and has commenced the second campaign for CBM. The O2C segment, however, experienced a 12% decline in EBITDA due to weaker cracks in transportation fuel (down 36-41%) and polymer/polyester (down 2-13%), primarily driven by China's capacity and soft demand. Despite global headwinds, domestic demand for gasoline (up 7.5%), ATF (up 9%), and polymer/polyester (up 5%) provided some offset.

Strategic initiatives in New Energy are progressing rapidly. The company has commissioned its first gigawatt-scale solar module line, part of a 10 gigawatt per annum manufacturing capacity with potential to scale to 20 gigawatts. Battery manufacturing, targeting 30 gigawatts of capacity, is also underway, with LFP battery cell assembly expected to begin within a quarter or two. Polyester expansion (1 million tonne) and a 3 million tonne PTA facility are planned, with benefits expected by FY28. The PVC expansion project has been revised upwards to over 1.25 million tonnes, with contributions to EBITDA anticipated in 2027-2028. Management expressed confidence in India's robust demand and the long-term potential of its integrated new energy ecosystem, despite some evasiveness on specific financial timelines for hydrogen.

This is an AI-generated summary of a publicly available earnings call transcript.
View original transcript

More Oil, Gas & Consumable Fuels earnings calls