New Delhi [India], October 30 (ANI): Reliance Retail Ventures Limited (RRVL) reported a 24.5 per cent year-on-year (YoY) decline in profit after tax to Rs 2,619 crore in the second quarter of FY27, compared with Rs 3,469 crore in the corresponding quarter last year, even as gross revenue increased by 6.4 per cent to Rs 91,716 crore, according to Reliance Industries Limited’s financial results released on Friday.
The company’s gross revenue stood at Rs 86,169 crore in the corresponding quarter of FY26, with the latest growth figures adjusted for the demerger of the Consumer Brands business.
Revenue from operations increased 5.8 per cent YoY to Rs 80,220 crore during the July–September quarter, compared with Rs 75,836 crore in the year-ago period.
However, earnings before interest, tax, depreciation and amortisation (EBITDA), before a one-time impairment charge, declined 8.6 per cent YoY to Rs 6,228 crore from Rs 6,816 crore.
EBITDA margin contracted by 120 basis points to 7.8 per cent from 9 per cent in the corresponding quarter last year.
According to the company, the decline in margins reflected planned investments in digital commerce, input-cost inflation absorbed on behalf of customers and the shift in the festive calendar to the third quarter.
The company also reported a one-time impairment charge of Rs 108 crore, bringing EBITDA after the charge to Rs 6,120 crore, a decline of 10.2 per cent YoY.
Depreciation increased 18.1 per cent YoY to Rs 1,820 crore due to growth in the asset base, while finance costs rose 53.9 per cent to Rs 905 crore on account of increased borrowing and higher interest rates.
Despite the shift of major festivals to the third quarter, Reliance Retail registered 7 per cent YoY growth in customer transactions.
The company opened 303 stores during the quarter, although its total store count declined by a net 222 stores after the closure of unproductive outlets.
As of September 30, Reliance Retail operated 19,947 stores across 77.5 million square feet of retail space.
Among its business segments, JioMart recorded 42 per cent YoY revenue growth, supported by higher average order values and a 24 per cent increase in units per order.
The platform leveraged a network of more than 5,000 stores across over 1,000 cities, strengthening its presence in smaller cities and towns.
The share of digital commerce in business-to-consumer (B2C) grocery revenue increased by 270 basis points YoY.
In the grocery business, like-for-like (LFL) sales grew 3 per cent YoY, while business-to-business (B2B) revenue increased 10 per cent, supported by higher transaction volumes and average bill values.
The consumer electronics business reported 8 per cent YoY LFL growth, supported by improved product availability, competitive pricing and targeted promotions.
Revenue from its consumer electronics distribution business increased 20 per cent YoY, driven by mobiles and laptops.
In the fashion and lifestyle segment, LFL sales increased 3 per cent YoY despite the shift in the festive calendar.
The contribution of Reliance Retail’s own brands increased by 710 basis points YoY, while the share of digital commerce in apparel and footwear revenue rose by 100 basis points.
AJIO’s catalogue expanded 23 per cent to 3.3 million options, while AJIO Luxe added 22 brands, taking its portfolio to 1,040 brands.
Reliance Retail’s premium and luxury portfolio also crossed 1,000 exclusive brand stores. The company expanded its brand offerings through the launch of Fabletics and an exclusive partnership with SKIMS.
Commenting on the performance, Isha M Ambani, Executive Director of Reliance Retail Ventures Limited, said, “Our customers’ trust and continued engagement across our stores and digital platforms remain central to our growth.”
“We are building a future-ready retail business by combining our extensive physical network with digital convenience, technology, and a deep understanding of Indian consumers,” she said.
Highlighting the company’s evolving business model, Ambani said, “The new model with fast growing Digital Commerce and B2B channels is working and funded by the profits of offline business.”
For the first half of FY27, Reliance Retail reported gross revenue of Rs 1,82,124 crore, compared with Rs 1,67,196 crore in the corresponding period last year.
Profit after tax for the six-month period stood at Rs 5,425 crore, compared with Rs 6,738 crore in the first half of FY26.
The company reported EBITDA before the one-time impairment charge of Rs 12,537 crore for the first half of FY27, compared with Rs 13,180 crore in the corresponding period last year. (ANI)
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