Reliance Industries Q2 Results: Net profit slides 3.6% YoY, while revenue remains flat at ₹2.35 lakh crore

Reliance Industries posted a weaker performance in Q2FY25, with net profit declining by 3.6% year-on-year to ₹19,101 crore, compared to ₹19,820 crore in Q2FY24. However, the telecom segment saw robust growth, with revenue rising 17.7% YoY to ₹31,709 crore, primarily driven by tariff increases implemented during the quarter.

Reliance Industries Q2 Results Highlights

• Revenue: 17.7% YoY to ₹31,709 crore.
• Net Profit: 3.6% year-on-year decrease to ₹19,101 crore, compared to ₹19,820 crore in the previous year.
• Total Income: Increased by 0.65%, reaching ₹2,40,357 crore.
• EBITDA: ₹43,934 crore, reflecting a 2% YoY decline, with the EBITDA margin slipping to 17%.
• Segment Performance: The telecom segment saw robust growth, with revenue rising 17.7% YoY to ₹31,709 crore.
• Stock Reaction: RIL’s stock initially dropped 1.1%, hitting a low of ₹2713.55 in early trading.

Reliance Industries Management Commentary

Mukesh Ambani, Chairman of Reliance Industries, emphasized the strength and resilience of the company's diversified business portfolio, noting that robust growth in digital services and upstream operations helped balance the weaker performance in the oil-to-chemicals (O2C) segment. Ambani acknowledged that the O2C segment was affected by challenging global demand-supply conditions, while the digital services segment thrived due to revised telecom tariffs and the expansion of the company's home and digital services offerings.

He also pointed out some improvement in the O2C business, driven by higher volumes and increased domestic product placements. However, a decline in gas price realizations contributed to a 6% drop in revenue from the oil and gas segment.

Stock Market Reaction 

Following the earnings release, RIL’s stock initially dropped 1.1%, hitting a low of ₹2713.55 in early trading, before stabilizing and turning flat. On Monday, Reliance Industries shares ended 0.11% higher at ₹2,745.20 apiece on the BSE post announcement of their Q2 results.

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About Reliance Industries

Reliance Industries Ltd (RIL) is a multifaceted conglomerate with a presence in sectors such as energy, petrochemicals, textiles, retail, entertainment, materials, and telecommunications. The company is engaged in the exploration, development, and production of oil and gas, as well as refining crude oil and marketing petroleum products. Its portfolio of refined products includes propylene, gasoline, naphtha, kerosene, alkylate, sulfur, and petroleum coke. Additionally, RIL produces and markets petrochemical products such as aromatics, elastomers, and polyesters.

In the retail sector, RIL operates a wide variety of stores, including food and grocery outlets, footwear stores, hypermarkets, and specialty shops. The company is also a major player in the telecommunications space, offering broadband internet, security services, and other digital solutions. Headquartered in Mumbai, Maharashtra, RIL continues to be a dominant force across its diversified business verticals.