**Reliance Industries Reports Modest Profit Growth in Q3 FY26**
Reliance Industries Ltd has announced a modest profit growth for the October–December quarter, primarily due to weaker earnings from its oil exploration and production segment, coupled with slower margin growth in its retail division. Despite these challenges, the company saw improved earnings in other key sectors. For the third quarter, India’s most valuable company reported a 2% increase in consolidated profit, reaching ₹22,167 crore, up from ₹21,804 crore in the same period last year. This figure is slightly higher than the profit of ₹22,146 crore reported in the previous quarter.
Consolidated revenue showed a more robust performance, climbing 11% to ₹2.69 trillion, while earnings before interest, tax, depreciation, and amortization (Ebitda) rose by 5% to ₹46,018 crore. Mukesh Ambani, the chairman and managing director of Reliance, stated that the company’s consolidated performance in Q3 FY26 reflects consistent financial delivery and operational resilience across its various businesses.
In terms of new energy initiatives, Reliance reported progress, with solar cell manufacturing lines becoming operational during the quarter. Additionally, a pilot line for producing ingots and wafers, essential for solar cell production, has been established. However, the timeline for the anticipated initial public offering (IPO) of its telecom business under Jio Platforms Limited remains unclear, although it is expected to debut in the first half of 2026.
Market analysts noted that the results were largely in line with expectations. Ambareesh Baliga, an independent equities consultant, remarked that while the oil-to-chemicals (O2C) business and Jio performed better than anticipated, the impact of the Russian crude stoppage on margins will need to be monitored. Nirav Karkera, head of research at Fisdom, echoed this sentiment, emphasizing the importance of tracking the public listing of key verticals and the pace of investment monetization in new energy and digital technology.
On the stock market, Reliance Industries’ shares closed 0.06% lower on the BSE, contrasting with a 0.23% gain in the benchmark Sensex. Since the start of the year, the stock has underperformed, declining over 7% compared to a less than 2% dip in the Sensex.
**What Affected Earnings Growth?**
The company’s oil and gas sector, along with retail, negatively impacted profit growth, despite strong performances in its core O2C vertical and telecom. Production from the key KG-D6 oil block decreased as expected, leading to an 8% revenue drop to ₹5,833 crore for the oil and gas segment, and a 13% decline in Ebitda to ₹4,857 crore. Meanwhile, the retail division’s Ebitda saw only a 1% increase to ₹6,915 crore, despite an 8% year-on-year revenue growth to ₹97,912 crore.
**FAQ**
**What were the main factors affecting Reliance Industries’ profit growth in Q3 FY26?**
The profit growth was impacted by weaker earnings from the oil exploration and production sector and slower margin growth in retail, despite improved performance in other key areas.
