According to Reliance Industries, a strong consolidated performance during the fiscal second quarter was the result of broad-based growth in consumer businesses, enhanced refining margins, and ongoing pressure on domestic gasoline retailing operations.
Improved refining margins and consistent growth in its retail and digital services divisions helped Reliance Industries Ltd. report a 14.3% increase in quarterly net profit to Rs 22,092 crore (pre-minority interest).
The consumer-facing divisions drove a 10% increase in consolidated sales to Rs 2.84 lakh crore compared to the previous year.
The oil-to-chemicals (O2C), retail, and digital services sectors had the biggest increases in consolidated EBITDA, which was up 14.6% from the previous year to Rs 50,367 crore. Profit before taxes increased to Rs 29,124 crore, a 16.3% increase.
Strong internal cash flows completely covered the quarter’s increased capex of Rs 40,010 crore, which resulted in a cash profit of Rs 40,778 crore. As of September 30, net debt was Rs 1.19 lakh crore, which was almost unchanged from Rs 1.18 lakh crore on June 30.
Reliance claimed that a strong consolidated performance for the quarter was a result of broad-based growth in consumer businesses, enhanced refining margins, and ongoing pressure on domestic gasoline retailing operations.
Reliance Industries Chairman and Managing Director Mukesh D. Ambani commented on the company’s profits, saying: “Reliance produced a solid performance during 2QFY26 driven by significant contribution from O2C, Jio, and retail sectors.” A domestic-focused portfolio, flexible business operations, and structural development in the Indian economy are all factors contributing to the 14.6% YoY rise in consolidated EBITDA. Jio’s network and technological superiority are driving the digital services industry’s continued growth and good momentum in terms of customer acquisition across households and mobile services.
Chemicals made from oil (O2C)
A strong recovery in transportation fuel cracks (up 22–37 percent) and an increase in polymer margins (up 5–8 percent) helped O2C EBITDA grow 20.9 percent to Rs 15,008 crore, although partially at the expense of poor polyester chain deltas. Consistently rising volumes in domestic petroleum retailing operations also helped the segment’s success.
The quarter’s production of goods for sale increased by 2.3% to 18.1 million tons. With a quarterly throughput of 20.8 million tons, the O2C company had its largest throughput to date, up 3% from the previous year. With the network surpassing the 2,000-outlet milestone to reach 2,057 as of September 30, Jio-bp has continued to grow its footprint in the domestic petroleum retail market, adding 236 outlets in the last 12 months.
Gas and oil
With margins of 82.6 percent, down 240 basis points, and EBITDA of Rs 5,002 crore, down 5.4 percent from a year earlier, the Oil & Gas business reported its results. Lower revenues and increased operational expenses brought on by routine maintenance work were the causes of the reduction. The natural drop in gas production caused KGD6 sales volumes to drop, and reduced CBM gas and crude price realizations also had an effect on profitability. Higher CBM quantities and better gas price realization for KG D6 largely countered the impact. Average KGD6 gas production was 26.1 MMSCMD, with oil and condensate output of roughly 18,746 barrels per day.
Online Services
Due to the ongoing growth of the subscriber base and the rise in average revenue per user (ARPU), the income from digital services climbed by 15% from the previous year to Rs 42,652 crore. Segment EBITDA increased by 17.7% to Rs 18,757 crore, while the margin increased by 140 basis points.
With almost a million new houses connected per month during the quarter, Jio’s 5G subscriber base increased to 234 million, and the total number of home connections reached 22.7 million. JioAirFiber, which has over 9.5 million members, has maintained its position as the industry leader. ARPU increased by 8.4% to Rs 211.4.
With an EBITDA margin of 28.1% and PAT of Rs 1,322 crore and EBITDA of Rs 1,738 crore, JioStar demonstrated a strong performance.
Shops
With notable contributions from all forms, retail revenue increased by 18 percent year over year to Rs 90,018 crore. Fashion & Lifestyle and Grocery both had market-leading growth rates of 22% and 23%, respectively. Higher sales with a favorable mix and improvements in store operational metrics drove a 16.5 percent increase in segment EBITDA to Rs 6,816 crore. With 19,821 outlets covering 77.8 million square feet of operating space, the company is still growing.