Reliance Industries shares fall most in over a year after profit rises marginally in December quarter

Shares of Reliance Industries, the country's most valuable company, posted their worst day in over a year after it reported its December quarter earnings post market hours on Friday. Reliance Industries shares declined as much as 3.54%, their biggest single-day loss since January 6, 2025, to hit an intraday low of ₹1,406 on the National Stock Exchange.

Billionaire Mukesh Ambani-backed company reported marginal 0.57% increase in its net profit to ₹18,645 crore in the third quarter of the current financial year (Q3FY26) from ₹18,540 crore in the same period last year.

Reliance Industries' revenue from operations advanced 10.5% to ₹2,69,496 crore in the October-December period compared with ₹2,43,865 crore in the year-ago period.

The country's most valuable company reported stable operational performance as its EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) also known as operating profit advanced 5% to ₹ 46,018 crore at the end of December quarter compared with 43,789 crore in the same period last year.

Its operating profit margins, however, contracted by 90 basis points 17.08% as against 17.96%.

"Reliance's consolidated performance in Q3 FY26 reflects consistent financial delivery and operational resilience across businesses. Jio's digital ecosystem is deepening its roots in Indian households. Through our mobility and broadband products, we are connecting mobile phones, homes, appliances and enterprises," Reliance Industries," Chairman and Managing Director Mukesh Ambani said in a statement.

The company's retail arm also reported subdued earnings in December quarter as it reported net profit of ₹3,551 crore in December quarter, marking a marginal increase of 2.7% from ₹3,458 crore in the year-ago period.

Its revenue from operations advanced 9.2% to ₹86,951 crore from ₹79,595 crore.

The company's EBITDA rose 1.3% to ₹6,915 crore but its EBITDA margin contracted by 60 basis points to 8%.

During the quarter Reliance Retail expanded its store network with 431 new store openings, taking the total store count to 19,979 with area under operation at 78.1 million sq. ft.

Reliance Jio Platforms, the telecom arm of the oil-to-telecom conglomerate, reported an 11.2% increase in net profit from ₹6,861 crore to ₹7,629 crore at the end of December quarter.

Its EBITDA advanced 16.4% to ₹19,303 crore and EBITDA margin improved by 170 basis points to 51.8%.

Reliance Jio's average revenue per user (ARPU) per month, a key metric of a telecom company's profitability, improved to ₹213.7 per month from ₹211.4 per use in the previous quarter.

As of 10:42 am, Reliance Industries shares traded 3.33% lower at ₹1,409, underperforming the NIFTY50 index which was 0.65%.