Reliance Retail Q1 Results: PAT Climbs 4.6% YoY To Rs 2,549 Crore, Store Footfalls Rises 19% To 296 Million

Reliance Industries (RIL) backed retail giant Reliance Retail continued to see improvement in its earnings on a year-on-year basis, however, sequentially the performance reflects the opposite tale. In Q1FY25, Reliance Retail posted a net profit of Rs 2,549 crore, a growth of 4.6% compared to Rs 2,436 crore in QFY24. While revenue from operations at Rs 66,260 crore, increased by 6.6% from Rs 62,159 crore in Q1FY24.

However, Reliance Retail saw a decline in both PAT and revenue compared to the preceding quarter. In Q4FY24, the company's PAT stood at Rs 2,746 crore and revenue was at Rs 67,610 crore.

A similar pattern was seen in EBITDA which stood at Rs 5,664 crore in Q1FY25, up by 10.5% from Rs 5,127 crore in Q1FY24. but lower than the Rs 2,746 crore reported in Q4FY24. YoY increase in EBITDA is due to an increase in footfalls and expansion of store footprint, streamlining of operations driving margin improvement.

Further, in the quarter, the company's EBITDA before Investment Income was at ₹ 5,448 crore, a growth of 11.5% Y-o-Y. While depreciation increased on account of higher asset base due to the addition of new stores.

In Q1FY25. Reliance Retail's business expanded its store network with 331 new store openings taking the total store count to 18,918 with the area under operation at 81.3 million sq. ft. During the quarter, the company's stores footfalls came in at over 296 million, a growth of 18.9% Y-o-Y.

Isha M. Ambani, Executive Director, Reliance Retail Ventures Limited, said "Reliance Retail delivered resilient performance during the period and strengthened its position as India's foremost retailer. The steady expansion and growth of our retail business not only signifies our commitment to customer centricity but also mirrors the resilience and vitality of the Indian growth narrative."

Through its retail business, Reliance continues to focus on scaling up Digital Commerce and New Commerce with these channels contributing to 18% of total revenue.

Notably, the registered customer base grew to 316 million, making Reliance Retail one of the most preferred retailers in the country. The total transactions recorded were 334 million, up 6.4% Y-o-Y.

On segment-wise performances, JioMart delivered steady performance with average bill value growing by 16% Y-o-Y. Notably, the non-grocery categories continue to do well with >50% growth in average bill value led by consumer electronics.

While consumer brands continues to deliver growth across categories as it deepens its presence in general trade channel which delivered 150%+ Y-o-Y revenue growth.

Looking ahead, Ambani said that the Retail business delivered robust financial results, as compared to last year, well supported by all consumption baskets. With the fast-paced expansion of its retail footprint, Reliance Retail continues to cement its position as the preferred retailer for millions of Indians. The digital and new commerce segments are also scaling up rapidly. Reliance Retail is focused not only on providing quality products to customers, but also on enhancing overall customer experience, both during and after sales.

Isha added, "We continue to make strides in delivering better retail experiences for our customers as we embrace innovation to improve products, processes, and platforms along with integrating advanced technologies."

As per the filing, Reliance Retail continued investments in stores, platform enhancements, product design and sourcing capabilities to further strengthen the value proposition to the customers. These initiatives will help sustain growth momentum in near and medium term.