Reliance Industries Q4 FY25 Results – Reliance Industries Limited (RIL), India’s largest company by market capitalization, announced its financial results for the fourth quarter (January–March) of the financial year 2024–25 (Q4 FY25) on April 25, 2025. The Mukesh Ambani-led oil-to-telecom-to-retail conglomerate delivered a steady performance, surpassing analyst expectations despite a challenging global macroeconomic environment. Strong growth in its digital services (Jio) and retail segments offset softer margins in the oil-to-chemicals (O2C) business, while the company achieved a historic milestone by becoming the first Indian firm to cross ₹10 lakh crore in net worth. This article provides a comprehensive analysis of RIL’s Q4 FY25 results, key highlights, and their implications for investors and stakeholders.
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Key Financial Highlights
Consolidated Net Profit Beats Estimates
RIL reported a consolidated net profit of ₹19,407 crore for Q4 FY25, a 2.4% year-on-year (YoY) increase from ₹18,951 crore in Q4 FY24. This figure exceeded analyst expectations, which had pegged net profit at ₹18,820 crore, according to a Moneycontrol poll, and ₹18,877 crore per LSEG data. Sequentially, net profit grew by 4.7% from ₹18,540 crore in Q3 FY25. The pre-minority net profit rose 6.4% YoY to ₹22,611 crore, reflecting robust contributions from consumer businesses.
Revenue Growth Driven by Consumer Segments
Consolidated revenue from operations climbed 8.8% YoY to ₹2.61 lakh crore (approximately $30.5 billion) from ₹2.37 lakh crore in Q4 FY24, driven by strong performances in digital services, retail, and O2C segments. For the full year FY25, RIL posted record annual consolidated revenues of ₹10.71 lakh crore ($125.3 billion), up 7.1% YoY, supported by consumer businesses and O2C growth. Sequentially, revenue increased by 9% from ₹2.39 lakh crore in Q3 FY25.
EBITDA and Margins
Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) rose 3.6% YoY to a record ₹48,737 crore from ₹47,150 crore in Q4 FY24, though it remained nearly flat (+0.1%) compared to ₹43,789 crore in Q3 FY25. However, the EBITDA margin contracted to 16.8% from 17.8% YoY and 18.2% QoQ, primarily due to weaker O2C margins. For FY25, annual EBITDA reached ₹178,677 crore, up 16.1% YoY, reflecting operational resilience across segments.
Dividend Announcement
RIL’s board recommended a final dividend of ₹5.50 per equity share of ₹10 each for FY25, subject to shareholder approval at the upcoming Annual General Meeting (AGM). The record date for the dividend is yet to be announced. This follows RIL’s consistent dividend history, with ₹10 per share in FY24, ₹9 in FY23, and ₹8 in FY22, reinforcing its commitment to shareholder value.
Segment-Wise Performance
Digital Services (Reliance Jio): Subscriber Growth and Tariff Hikes
Reliance Jio Infocomm Ltd., the telecom arm, posted a stellar performance, with a 25.7% YoY rise in quarterly net profit to ₹6,539 crore from ₹5,198 crore in Q4 FY24. Key drivers included:
- Subscriber Base: Jio’s total subscriber base grew to 488 million by March 2025, with a net addition of 6.1 million subscribers in Q4, driven by mobility additions post-tariff hikes and steady growth in connected homes (Jio AirFiber).
- ARPU Growth: Average Revenue Per User (ARPU) increased to ₹206.2, up from ₹181.7 in Q4 FY24, reflecting the impact of tariff hikes and an improved subscriber mix. Monthly churn remained low at 1.8%, the best in the industry.
- Revenue and EBITDA: Jio Platforms’ revenue rose 13.2% YoY to ₹29,925 crore, while EBITDA surged 18% to ₹15,873 crore, supported by higher ARPU and subscriber growth.
- 5G and Innovation: Jio’s private 5G network, powered by a standalone (SA) architecture, has been deployed successfully, offering low-latency, high-bandwidth connectivity. With over 108 million True 5G customers, Jio leads India’s 5G transformation.
Mukesh Ambani highlighted Jio’s role in strengthening India’s digital infrastructure, noting its focus on AI-driven solutions and home broadband services.
Retail (Reliance Retail): Strong Profit and Store Expansion
Reliance Retail Ventures Ltd. (RRVL) delivered robust growth, with net profit rising 29.1% YoY to ₹3,545 crore from ₹2,746 crore in Q4 FY24. Key highlights include:
- Revenue Growth: Gross revenue increased 15.7% YoY to ₹88,620 crore from ₹76,629 crore, driven by new store openings and strong demand across formats.
- EBITDA: Quarterly EBITDA grew 14.3% YoY to ₹6,711 crore from ₹5,870 crore, reflecting improved efficiencies and a sharper product mix.
- Store Network: RRVL opened 1,085 new stores in Q4, bringing the total to 19,340 stores with a retail area of 77.4 million square feet. For FY25, the business added 2,659 stores but rationalized its network for operational efficiency.
- Consumer Trends: Strong demand for premium and niche products, coupled with rapid growth in consumer brands like Campa (achieving double-digit market share), fueled performance. The quick commerce initiative and omnichannel offerings gained significant traction.
Isha Ambani, Executive Director at RRVL, emphasized the segment’s focus on innovative formats, technology investments, and enhanced customer experiences, positioning Reliance Retail as a leader in India’s retail landscape.
Oil-to-Chemicals (O2C): Resilient Amid Margin Pressure
The O2C segment, which accounts for ~57% of RIL’s revenues, faced challenges due to weak refining and chemical margins. Key metrics include:
- Revenue: O2C revenue rose 15.4% YoY to ₹1.65 lakh crore, driven by higher oil and product prices.
- EBITDA: EBITDA fell 10% YoY to ₹14,854 crore due to lower transportation fuel cracks and multi-year low margins in downstream chemicals, exacerbated by global demand-supply imbalances.
- Operational Efficiency: The Jamnagar complex, with a refining capacity of 1.4 million barrels per day, optimized integrated operations and feedstock costs to mitigate margin pressures.
Mukesh Ambani noted the segment’s resilience despite global energy market volatility, with teams focusing on cost management and operational discipline.
Oil and Gas: Strong Volume Growth
The upstream oil and gas segment reported a quarterly EBITDA of ₹5,123 crore, supported by higher production volumes from the KG D6 and CBM blocks, though partially offset by lower price realizations. Revenue reached ₹6,440 crore, with average prices for KG D6 gas at $9.65/MMBTU (down from $10.1/MMBTU in FY24) and CBM gas at $10.95/MMBTU (down from $14.43/MMBTU). The segment’s FY25 EBITDA was the highest ever, underscoring its role in India’s energy security.
JioStar (Media): Early Success Post-Merger
JioStar, formed after the February 14, 2025, merger of Viacom18 and Disney’s Star India, reported revenues of ₹10,006 crore and pre-tax earnings of ₹774 crore in Q4. JioHotstar, combining JioCinema and Disney Hotstar, crossed 100 million paid users within five weeks and served 503 million monthly active users (MAUs) in March 2025, driven by events like the ICC Champions Trophy and IPL.
New Energy Initiatives
RIL made progress in its renewable energy ambitions, commissioning a gigawatt-scale solar photovoltaic (PV) module assembly line. Mukesh Ambani highlighted that FY25 laid a strong foundation for new energy projects, with solar PV manufacturing and battery operations transitioning to operationalization in the coming quarters, positioning RIL to create significant value in India’s green energy ecosystem.
Strategic and Financial Developments
Capital Expenditure and Debt
Quarterly capital expenditure (CapEx) rose to ₹36,041 crore, fully covered by cash generation of nearly ₹40,000 crore, keeping net debt stable at ₹1.17 lakh crore. For FY25, CapEx totaled ₹131,107 crore ($15.3 billion), reflecting investments in retail, digital, and new energy projects. The company also approved raising up to ₹25,000 crore through non-convertible debentures on a private placement basis to support growth initiatives.
Acquisitions and Leadership
- Acquisition: RIL acquired KGTL for ₹20 crore to support a 3GW green hydrogen transmission project in Kandla, aligning with its new energy goals.
- Leadership Changes: Anant M. Ambani was appointed Executive Director for five years from May 1, 2025, signaling a generational transition in leadership.
Historic Milestone
RIL became the first Indian company to surpass ₹10 lakh crore in net worth, a testament to its diversified portfolio and market leadership. With a market capitalization of ₹17.59 lakh crore as of April 25, 2025, RIL remains India’s most valuable listed company.
Analyst Perspectives and Market Reaction
Analysts had anticipated a steady quarter, with a Moneycontrol survey projecting revenue of ₹2.38 lakh crore, EBITDA of ₹43,491.6 crore, and net profit of ₹18,820 crore. RIL’s actual performance exceeded these estimates, particularly in net profit and revenue, driven by consumer businesses. Posts on X reflected positive sentiment, with users noting the 6% YoY net profit growth and EBITDA margin of 16.9%.
Brokerages remain bullish:
- CLSA: Maintained an “Outperform” rating with a ₹1,650 target, citing a 30% upside potential driven by 2025 triggers like Jio’s tariff hikes and new energy projects.
- Citi: Upgraded RIL to “Buy” with a ₹1,530 target, expecting Jio to benefit from data pricing improvements and 5G monetization.
- JPMorgan: Rated RIL “Overweight” at ₹1,468, forecasting 14% EBITDA growth in FY26 and minimal risk of EPS downgrades.
Despite the strong results, RIL’s share price closed marginally lower at ₹1,300.05 on April 25, 2025, down 0.12% on the BSE, after hitting an intraday high of ₹1,325.25. The stock has faced pressure, declining 10.5% over the past year, but analysts see the current valuation as an attractive entry point.
Challenges and Opportunities
Challenges
- O2C Margin Pressure: Weak refining and chemical margins, driven by global demand-supply imbalances, continue to weigh on profitability.
- Retail Softness: While Q4 was strong, prior quarters saw profitability challenges, with analysts expecting softness for another couple of quarters.
- Global Volatility: Weak macroeconomic conditions and geopolitical shifts pose risks to energy and chemical markets.
Opportunities
- Digital Leadership: Jio’s growing subscriber base, tariff hike benefits, and 5G monetization position it for sustained growth, with a potential IPO in late 2025.
- Retail Expansion: Reliance Retail’s focus on premium formats, quick commerce, and consumer brands like Campa offers significant growth potential.
- New Energy: The operationalization of solar PV and battery projects could create a new growth engine, aligning with India’s renewable energy goals.
- Media Growth: JioStar’s early success and massive digital reach strengthen RIL’s position in India’s media and entertainment sector.
Conclusion
Reliance Industries’ Q4 FY25 results underscore its resilience and diversified growth engines. A 2.4% YoY net profit rise to ₹19,407 crore, 8.8% revenue growth to ₹2.61 lakh crore, and a ₹5.50 per share dividend reflect steady performance amid global challenges.
Jio’s subscriber additions and ARPU growth, coupled with Reliance Retail’s 29.1% profit surge, offset O2C weakness, while new energy initiatives signal long-term value creation. The historic ₹10 lakh crore net worth milestone cements RIL’s dominance in India’s corporate landscape.
For investors, RIL’s attractive valuation, bullish analyst outlook, and diversified portfolio make it a compelling long-term investment. However, near-term challenges in O2C and retail profitability warrant close monitoring. Stakeholders will await management commentary on Jio’s IPO timeline, new energy project timelines, and strategies to navigate global market volatility in the coming quarters.
Disclaimer: This article is for informational purposes only and should not be considered investment advice. Investors are advised to consult certified financial advisors before making decisions.
