Reliance Retail Q1 Results: Net profit jumps 28.3% YoY to ₹3,271 crore, adds 388 new stores
Reliance Retail, the retail arm of Reliance Industries, released its financial results for the quarter ended June (Q1FY26) today after market hours, reporting a 28.3% year-on-year (YoY) jump in net profit to ₹3,271 crore. However, the profit was lower compared to ₹3,545 crore reported in the preceding March quarter.
Its revenue from operations for the reporting quarter stood at ₹84,171 crore, marking an 11.3% year-on-year (YoY) increase from ₹75,615 crore in Q1FY25, but down 5% compared to ₹88,620 crore in Q4FY25.
The company has been rationalising its store footprint to enhance operational efficiency, which was reflected in higher EBITDA, up 12.7% YoY to ₹6,381 crore, outpacing revenue growth during the quarter. EBITDA margin expanded by 20 basis points to 8.5%, improving both on a sequential and annual basis.
Although the company’s operational area declined to 77.6 million square feet in Q1FY26 from 81.3 million square feet in the same period last year, its revenue per square foot, an important metric for measuring retail operational efficiency, increased by 16.6%, rising from ₹9,300 to ₹10,846.
This indicates the company is moving towards quality-driven growth. In FY25, it shut down around 2,100 underperforming outlets. The company during the quarter has opened 388 stores, taking the total store count to19,592 at the end of June quarter.
Meanwhile, the company’s revenue was impacted by weak performance in the consumer electronics and devices segment, especially in the AC category, due to the early onset of monsoons. However, the company expects a recovery in the upcoming quarters.
Among other highlights, the company said its customer base grew to 358 million, while JioMart continues to expand its quick, hyperlocal deliveries, registering a 68% quarter-on-quarter and 175% year-on-year growth in daily orders.
