**Reliance Retail Reports Strong Q1 Growth with ₹3,271 Crore Profit**
Reliance Retail Ventures Ltd, the retail division of Reliance Industries Ltd, announced impressive financial results for the first quarter of the fiscal year, reporting a consolidated profit of ₹3,271 crore for the period from April to June. This marks a significant increase of 28.3% compared to the same quarter last year. The company’s revenue from operations also saw a healthy growth of 11.3% year-on-year, reaching ₹73,720 crore.
The reported EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) stood at ₹6,381 crore, reflecting a year-on-year increase of 12.7%. Additionally, the EBITDA margin improved by 20 basis points to 8.7%, indicating enhanced operational efficiency. Reliance Retail operates across various categories, including grocery, consumer electronics, fashion and lifestyle, and online commerce, with all segments performing well. Notably, the grocery and fashion sectors demonstrated market-leading performance, although the consumer electronics segment faced challenges due to the early onset of monsoons.
During the first quarter, Reliance Retail expanded its footprint by opening 388 new stores, bringing its total store count to 19,592. The operational area increased slightly to 77.6 million square feet compared to the previous quarter, although it represented a 4.6% decline year-on-year. The online commerce platform, JioMart, reported a remarkable 175% year-on-year growth in daily orders, driven by its rapid hyperlocal delivery expansion.
Isha M. Ambani, Executive Director of Reliance Retail, highlighted the company’s strong revenue and profit growth, attributing it to improved efficiencies, innovative formats, a refined product mix, and ongoing investments in technology and customer experience. The fashion and lifestyle segment experienced revenue and EBITDA growth, bolstered by new store formats and the success of in-house brands. However, the consumer electronics division saw overall growth tempered by reduced air conditioner sales due to weather conditions.
In a strategic move, Reliance Retail announced the acquisition of the Kelvinator home appliances brand in India from Electrolux AB, having held manufacturing and distribution rights since 2019. The online fashion platform, AJIO, launched a new 4-hour delivery service called Rush, currently available in six cities, enhancing its competitive edge against rivals like Myntra. AJIO’s Luxe platform also expanded its offerings, increasing its brand portfolio to 875.
The fast-fashion brand Shein continues to gain traction, surpassing 2 million app downloads, indicating strong consumer interest. With these developments, Reliance Retail is poised for continued growth and innovation in the retail sector.
**FAQ**
**What were the key financial highlights for Reliance Retail in Q1?**
Reliance Retail reported a consolidated profit of ₹3,271 crore, an increase of 28.3% year-on-year, with revenue from operations reaching ₹73,720 crore, up 11.3%.
