Reliance Industries Q1 results: Five crucial announcements that Street is eyeing

Analysts tracking the company note that the oil-to-telecom behemoth will report around a 15% rise in EBITDA on a year-on-year (YoY) basis and a slight rise on a sequential basis, driven by strong Jio growth, mid-double-digit growth in retail, and steady oil-to-chemicals (O2C) performance.

EBITDA stands for earnings before interest, taxes, depreciation, and amortisation. It is also known as operating profit.

Meanwhile, the oil & gas business is likely to moderate.

For Reliance Jio, the telecom arm of RIL, analysts at Equirus Securities expect EBITDA to rise around 19% YoY, aided by around 14% YoY growth in ARPU and subscriber additions sequentially.

ARPU stands for average revenue per user. It is a key metric to assess the financial performance of a telecom company.

Jio had a 37% EBITDA contribution in FY25.

Retail business, as per the experts, may deliver nearly 15% YoY EBITDA growth. In O2C, analysts expect EBITDA/tonne to improve around 3% QoQ to $100/MT, aided by better product cracks.

That said, Street is also eyeing multiple announcements/clarity on key business developments and news reports.

Clarity on Reliance Jio IPO

The Street is looking for clarity on the plans around the much-awaited IPO from the RIL stable – Reliance Jio.

Earlier, news reports suggested the IPO will be launched in the second half of the calendar year 2025 and that it would be the largest initial public offering (IPO) to date in India Inc.

However, a few days back, reports said that the Mukesh Ambani-led conglomerate is not planning to launch the IPO this year.

According to industry reports, the key reasons why the Reliance Jio IPO will be delayed are the valuation action plan, the maturity of the base of subscribers, the scaling of digital businesses, and unstable market conditions.

Reports note that the leadership believes that giving its telecom and digital ventures more time to grow could help secure a significantly higher valuation when the IPO eventually takes shape.

Besides, the company is waiting for Jio subscribers to grow further. The company has subscribers totalling over 488 million, and this number is designed to increase as the company targets market expansion and addresses the issue of churning occasioned by tariff increases in recent times.

Additionally, the company wants to wait, as it wants its digital business to flourish further. Jio has been gaining scale beyond telecom to AI infrastructure, connected devices, apps, and solutions, among others.

Moreover, the volatility in equity markets, amid unstable global moods over trade wars and geopolitical tensions, is another reason why the energy giant has put the IPO plans on the back burner as of now.

However, these were news reports, and no statement has been issued by the company so far.

Plans for consumer business

Recently, RIL said its retail arm, Reliance Retail (RRL), is transferring its consumer goods business to a new entity, Reliance Consumer Products Ltd (RCPL).

As per the scheme filed before the NCLT, Reliance is transferring and vesting the FMCG brands business from Reliance Retail Ltd (RRL) to a new entity named New Reliance Consumer Products Ltd (New RCPL).

This composite scheme is part of the internal restructuring of companies in the RIL group to house the Consumer Brands Business in New RCPL and will have RIL and other investors of RRVL holding the same percentage shareholding as in RRVL, they said.

Reliance Retail Ventures Limited (RRVL) is the parent company that owns and operates Reliance Retail Limited (RRL) and other retail subsidiaries. RRL is a subsidiary of RRVL, which in turn is a subsidiary of Reliance Industries Limited (RIL).

Besides, Reliance Retail Ventures Limited (RRVL) on July 3, 2025, announced a strategic minority investment in UK-based FACEGYM, a global innovator in facial fitness and skincare.

Hence, management commentary on the upcoming plans as well as an update on the IPO of the retail arm will be key monitorables.

Clarification on Nayara Energy acquisition

In June 2025, PTI reported that Russian oil giant PJSC Rosneft Oil Company was in early talks with RIL for the sale of its 49.13% stake in Nayara Energy, which operates a 20-million-tonnes-a-year oil refinery and 6,750 petrol pumps in India.

The report added that Reliance has held preliminary talks for the acquisition of Nayara, which will help it overtake state-owned Indian Oil Corporation (IOC) to become India's No. 1 oil refiner as well as give a meaningful presence in the fuel marketing space.

A clarification/update on the same is also eyed.

Commentary on oil and gas business outlook

One of the key monitorables is the management commentary on the outlook for the energy business overall, given geopolitical tensions and trade wars that lead to wild swings in crude oil prices.

What's next in new energy business?

In April 2025, RIL commissioned its first line for the manufacturing of solar panels and said it was on track to build battery storage production facilities.

Reliance Industries had in 2021 unveiled a $10 billion plan spanning renewables, storage, and hydrogen as it chased a net-zero emissions status by 2035.

"The first line of solar PV modules has been commissioned," Reliance said in an investor presentation post announcing FY25 earnings.

The firm helmed by Mukesh Ambani joins the likes of Adani Group, Tatas, Waaree Energie, and Vikram Solar that make solar PV modules.

RIL share price trend

Shares of Reliance Industries (RIL) have rallied over 21.5% so far in 2025 (as of afternoon deals on July 17).