Latest news with #RRVL
Mint
3 days ago
- Business
- Mint
After groceries and electronics, fashion is the next quick-commerce battleground
New Delhi: After getting urban Indians hooked on to 10-minute groceries to electronics, Indian online retailers will now battle for quick delivery of a category tailored to fuel instant gratification: fashion. On Friday, Reliance Retail Ltd, India's largest retailer, rolled out Ajio Rush, the online commerce platform's four-hour delivery service that is live in six cities. Earlier this year, Myntra expanded its quick commerce offerings with its M-Now services in Delhi and Mumbai. Brick-and-mortar retailer Libas is also increasing investments in quick commerce, using its own dark stores and partnering with third-party platforms to offer faster shipments on select items. Also read | Myntra aims to stream glamour through stories, stars and songs Fashion retailers aim to tap the preference for same-day deliveries among consumers, driven by the explosion of rapid shipping of milk, eggs, bread, fruits and vegetables. India's quick commerce market has grown 150% year-on-year, reaching $10 billion in gross merchandise value and a monthly run rate of $900-950 million, according to Redseer estimates. However, it still accounts for only 15% of the e-commerce market, estimated at $70 billion, with significant headroom to grow. Retailers have started by offering select and high-selling fashion items through quick commerce. Ajio's Rush has seen an encouraging response in its initial days, with customers placing high-value orders and initiating fewer returns, according to a senior company executive. Launched in the June quarter, Rush offers 130,000 products that can be delivered in four hours, leveraging Reliance Retail's existing store network for deliveries. "We launched Ajio Rush—the equivalent of a quick commerce service—in the top six cities. We have carved out space in our stores, and we are delivering from those stores where the promise is within four hours. That is live in six cities with 130,000-plus options," said Dinesh Taluja, chief financial officer atReliance Retail Ventures Ltd (RRVL), during the company's post-earnings call Friday evening. "These are curated options in those stores because we have a lot of data for those pincodes in terms of what's selling, and what we see are initial signs; it's still relatively young." RRVL, a subsidiary of Mukesh Ambani-owned Reliance Industries Ltd, owns e-commerce platforms Ajio and JioMart. Ajio sells brands such as Gap, M&S, H&M, and Asos. Of these, RRVL holds rights to Gap, M&S, and Asos in India. Fewer returns, larger bill sizes Taluja said orders placed via this offering lead to fewer returns and larger bill sizes. 'Average bill value is 50 to 60% higher compared to a normal transaction. In close to 12-15% of bills where we are offering this service, customers are adopting Ajio Rush; returns are significantly lower because it is addressing a need that the customer has…With better bill values and lower returns, the unit economics will improve substantially," he said. Since its launch in Bengaluru in December, Flipkart-backed online fashion platform Myntra's M-Now (30-minute platform) has been witnessing demand from customers across categories and products. M-Now has since expanded into metros like Mumbai and Delhi. Also read | Flipkart Group-owned Myntra rejigs commission to drive low-ticket sales Currently live in Bengaluru, Mumbai, and Delhi—with pilots underway in other cities— M-Now's daily orders doubled last quarter. Key spikes include a four-time jump on the first day of the End of Reason Sale, and a 4.5x surge in orders alongside a 5x increase in new customers around Valentine's Day, according to a top company executive. On Mother's Day, beauty and personal care saw a 1.4X spike, led by gifting. 'Emerging consumption trends include dressing up, grooming, home décor, and gifting," said Sharon Pais, chief business officer, Myntra in an emailed response to Mint. 'With a rich M-Now assortment featuring 600 brands,premium brands that are witnessing strong traction include MANGO, L'Oréal, Maybelline, Fossil, Calvin Klein, and Hidesign." Fashion fast delivery pioneer Over the past few years, Myntra has pioneered fast deliveries in fashion and lifestyle through M-Express, enabling 24 to 48-hour fulfilment, said Pais. Today, nearly 50% of Myntra orders are delivered within 48 hours across 600+ cities, reflecting growing consumer preference for speed-led access to premium fashion, beauty, and lifestyle, he said. Quick commerce is still dominated by sales of daily essentials such as milk, eggs, bread, fruits, and vegetables. Growth is primarily led by grocery, beauty, general merchandise, and small-ticket electronics, while traction for fashion, appliances, and furniture remains limited. And demand is largely limited to large metro cities. Queries emailed to Zepto and Instamart, India's two largest quick-commerce platforms, remained unanswered. Also read | Reliance Retail's AJIO launches D2C-focused interactive e-com platform AJIOGRAM Analysts said the move makes little commercial sense and that heightened competition is why companies are willing to tweak their business models to adapt to this change in consumer behaviour. 'At the end of the day, if consumers are willing to pay for it and companies are willing to fund this (by cash burn), then there will always be demand even if not urgent," said Harminder Sahni, managing director and partner at consulting firm Wazir Advisors. 'However, it doesn't add up or make commercial sense bringing more products on a quick service platform." Sahni said the labour arbitrage or low-cost labour in India enables newer players to enter the market and offer such services. Experiment in faster deliveries Still, Ethnic fashion retailer Libas has also rolled out its own small dark stores as an experiment to ramp up faster deliveries. It recently launched a campaign with Zepto to roll out a select range of clothing such as kurtas and leggings pan-India. "We're scaling that up. It's about cracking what products are required," said Sidhant Keshwani, founder and CEO, Libas. A few years ago, two-day delivery was the norm, but today it is seen as a curse, highlighting the consumer shift underway, he said. Also read | Ajio accounts for 25% of Reliance Retail's apparel biz 'We're setting up our own dark stores, and are pushing and convincing all the (quick commerce) partners to pick up stock from our dark stores," Keshwani said. 'We have convinced Myntra, and our pilot went live in June. Before Diwali, we are planning to set up 20 such dark stores in Delhi, Mumbai, Bengaluru." However, the rollout will not come without its challenges, he said, especially given the inventory churn retailers typically experience each season. The retailer, according to Keshwani, is being selective with inventory and opening dark stores in high-transaction areas like Delhi's Dilshad Garden.
Yahoo
3 days ago
- Business
- Yahoo
India's Reliance Retail sees 11.3% revenue growth in Q1 FY26
Indian conglomerate Reliance Industries Limited's (RIL) retail business has reported a 11.3% year-on-year increase in its net revenue, reaching Rs737.2bn ($8.55bn) in the first quarter (Q1) of the fiscal year 2026 (FY26), compared to Rs662.6bn in Q1 FY25. The growth is credited to a strategic expansion, omni-channel presence, customer reach, diversified consumption basket and integrated supply chain. Reliance Retail Ventures Limited (RRVL) executive director Isha Ambani stated: 'Reliance Retail delivered resilient performance during this quarter driven by our relentless focus on operational excellence, geographical expansion and sharper product portfolio. Our continued investments in cutting-edge technologies and differentiated product offerings have enabled us to serve our customers better and scale with agility." The retailer recorded a robust 12.7% year-on-year (YoY) rise in earnings before interest, taxes, depreciation and amortisation (EBITDA). RRVL reported an increase in its EBITDA margin of 20 basis points YoY, reaching 8.7%. The company attributes this rise to strategic measures, enhanced operating efficiency and stringent cost management leading to robust margins. RRVL reported that 'all segments performed well, with market leading performance in grocery and fashion'. JioMart, the company's digital grocery platform, has seen a significant uptick in its hyperlocal delivery services, with daily orders climbing 68% quarter-on-quarter and 175% YoY. The fashion and lifestyle business experienced an increase in both revenue and EBITDA, fuelled by the launch of new store formats and solid performance of its private labels. It also noted that the early onset of monsoons impacted consumer electronics and devices segment but stated that recovery is underway. RIL chairman and managing director Mukesh Ambani stated: 'Retail's business performance registered customer base expanded to 358 million, along with significant improvement across operating metrics. We are focusing on strengthening the portfolio of own FMCG [fast-moving consumer goods] brands, which resonate with the tastes of Indian consumers. Our retail business continues to enhance its ability to fulfil everyday as well as specialised needs of all customer cohorts, through a multi-channel approach.' The momentum of store expansion picked up during the quarter with the opening of 388 new stores, reaching 19,592. "India's Reliance Retail sees 11.3% revenue growth in Q1 FY26" was originally created and published by Retail Insight Network, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Standard
6 days ago
- Business
- Business Standard
RIL Q1 PAT jumps 76.5% YoY to Rs Rs 30,783 cr
Reliance Industries' (RIL) profit after tax and share of profit/(loss) of associates & JVs increased by 76.5% year-on-year (Y-o-Y) to Rs 30,783 crore in Q1 June 2025. The company's gross revenue increased by 6% Y-o-Y to Rs 273,252 crore in Q1 June 2025. EBITDA increased by 35.7% Y-o-Y to Rs 58,024 crore. Other income includes Rs 8,924 crore, being proceeds of profit from sale of listed investments. Excluding proceeds of profit from sale of listed investments, EBITDA increased by 15% and PAT was up 25% Y-o-Y. Finance costs increased by 18.9% Y-o-Y to Rs 7,036 crore ($ 820 million), largely due to operationalisation of 5G spectrum assets. Capital expenditure for the quarter ended June 2025, was Rs 29,875 crore. Mukesh D. Ambani, chairman and managing director, Reliance Industries said: "Reliance has begun FY26 with a robust, all-round operational and financial performance. Consolidated EBITDA for 1Q FY26 improved strongly from a year-ago period, despite significant volatility in global macros. During the quarter, energy markets encountered heightened uncertainty, with sharp fluctuations in crude prices. Our O2C business delivered strong growth, with thrust on domestic demand fulfillment and offering value-added solutions through Jio-bp network. Performance was supported by improvement in fuel and downstream product margins. Natural decline in KGD6 gas production resulted in marginally lower EBITDA for Oil & Gas segment. Retails business performance registered customer base expanded to 358 million, along with significant improvement across operating metrics. We are focusing on strengthening the portfolio of own FMCG brands, which resonate with the tastes of Indian consumers. Our Retail business continues to enhance its ability to fulfill everyday as well as specialized needs of all customer cohorts, through a multi-channel approach. I am happy to share that Jio has scaled newer heights during the quarter including crossing 200 million 5G subscribers and 20 million home connects. Jio AirFiber is now the largest FWA service provider in the world, with a base of 7.4 million subscribers. Our Digital Services business consolidated its market position with a robust financial and operational performance. Reliances Media business has emerged as a one-stop platform for entertainment, sports and news content from all over the world." Jio Platforms Limited ("JPL") JPL's quarterly revenue stood at Rs 41,054 crore, up 18.8% Y-o-Y, while quarterly EBITDA was at Rs 18,135 crore, up 23.9% Y-o-Y. ARPU stood at Rs 208.8 during the quarter, up 14.9% Y-o-Y. JPL extended market leadership with ~498 million subscribers, and net addition of 9.9 million in Q1 FY26. Reliance Retail Ventures Limited (RRVL): RRVL's quarterly revenue was at Rs 84,171 crore, up 11.3% Y-o-Y, while quarterly EBITDA stood at Rs 6,381 crore, up 12.7% Y-o-Y. The business expanded its store network with 388 new store openings taking the total store count to 19,592 with area under operation at 77.6 million sq. ft. The registered customer base grew to 358 million, making Reliance Retail one of the most preferred retailers in the country. JioMart continues to expand quick hyper local deliveries registering 68% Q-o-Q growth and 175% Y-o-Y growth of daily orders. Oil To Chemicals (O2C) Segment: The segment revenue for the quarter is lower by 1.5% Y-o-Y to Rs 154,804 crore due to fall in crude oil prices and lower volumes on account of planned shutdown. Revenues were supported by higher domestic placement of transportation fuels through Jio-bp network. The segment EBITDA for the quarter increased by 10.8% Y-o-Y to Rs 14,511 crore due to favourable margins on domestic fuel retail, improvements in transportation fuel cracks as well as PP & PVC deltas. This was partially offset by lower volumes due to planned turnaround, and decline in polyester chain margins. Reliance BP Mobility Limited (RBML) (operating under brand Jio-bp), operates a country-wide network of 1,991 outlets (vs 1,730 in 1Q FY25). Oil and Gas (Exploration and Production) Segment: Q1 FY26 revenue is lower by 1.2% Y-o-Y mainly on account of lower sales volume of KGD6 gas in line with natural decline in production. Revenue was also impacted by lower gas price for CBM gas and lower crude price realisation. This was partly offset by higher KGD6 gas price. The average price realized for KGD6 gas was $ 9.97/MMBTU in 1Q FY26 vis-vis $ 9.27/MMBTU in 1Q FY25. The average price realised for CBM gas was lower at $ 9.90/MMBTU in 1Q FY26 vis-vis $ 11.59/MMBTU in 1Q FY25. EBITDA declined 4.1% to Rs 4,996 crore on Y-o-Y basis on account of lower revenues coupled with higher operating costs due to maintenance activity. The average KGD6 production for the 1Q FY26 is 26.55 MMSCMD of gas and ~19,300 bbl / day of Oil / Condensate. Jio Star Business: JioStar reported record revenues of Rs 11,222 crore (up 1.72% Y-o-Y) with EBITDA of Rs 1,017 crore (up 31.40% Y-o-Y) during the quarter. Q1 FY26 was driven by a successful IPL season with strong growth across both TV and digital platforms. The quarter saw remarkable growth, achieving a subscriber base of 287 million during IPL on JioHotstar and reaching over 800 million people on TV during the quarter. Reliance Industries is India's largest private sector company. Its activities span hydrocarbon exploration and production, petroleum refining and marketing, petrochemicals, advanced materials and composites, renewables (solar and hydrogen), retail and digital services.
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Business Standard
6 days ago
- Business
- Business Standard
Reliance Retail Q1FY26 results: Net profit soars 33.2% to ₹3,267 crore
Reliance Retail Ventures Limited (RRVL) on Friday reported a 33.2% year-on-year rise in its net profit, reaching Rs 3,267 crore for the first quarter of the financial year 2025-26 (FY26). Executive director Isha Ambani said, 'Reliance Retail delivered resilient performance during this quarter, driven by our relentless focus on operational excellence, geographical expansion, and a sharper product portfolio. Our continued investments in cutting-edge technologies and differentiated product offerings have enabled us to serve our customers better and scale with agility." Reliance Retail's EBITDA (earnings before interest, taxes, depreciation, and amortisation) from operations increased 10.9% to Rs 6,044 crore. The firm's revenue from operations stood at Rs 73,720 crore, up 11.3% year-on-year, while its gross revenue also rose by 11.3% to Rs 84,171 crore. Sequentially, revenue from operations decreased by 6.2%, and net profit dropped by 7.2%. Mukesh Ambani, chairman and managing director of Reliance Industries, said in a statement, 'Retail's business performance registered customer base expansion to 358 million, along with significant improvement across operating metrics.' He added, 'We are focusing on strengthening the portfolio of our own FMCG brands, which resonate with the tastes of Indian consumers. Our Retail business continues to enhance its ability to fulfil everyday as well as specialised needs of all customer cohorts, through a multi-channel approach.' During the quarter, the company opened 388 new stores, taking its total store count to 19,592 with a total area of 77.6 million square feet. For the quarter ended June, its finance cost was up 7.6% year-on-year, totalling Rs 592 crore. The company's registered customer base grew to 358 million, making Reliance Retail one of the most preferred retailers in the country, according to its release. The company also highlighted that JioMart continued to expand quick hyper-local deliveries, registering a 68% quarter-on-quarter growth and 175% year-on-year growth in daily orders. Reliance Retail's consumer electronics business achieved steady growth, driven by a 26% increase in average bill value and a 200 basis point increase in conversions year-on-year. However, air conditioner sales were impacted due to the early onset of the monsoon, the company said. Its fashion and lifestyle business experienced growth in revenue and EBITDA, driven by new store formats and strong performance of its own brands. 'Growth has picked up with multiple initiatives undertaken in the last four quarters, including Reliance Trends launching in-trend designs and improving store experiences. Emerging formats of GAP, Azorte, and Yousta registered a 59% year-on-year growth, now operating in over 170 stores,' RRVL said in its release. It added that Shein continues to receive strong traction, crossing 2 million app downloads and over 20,000 live options. The grocery business also continued to grow at scale, consolidating its market leadership position, the company stated. It saw broad-based growth across categories, with home and personal care (HPC) growing at 15% year-on-year, fruits and vegetables growing at 15%, and packaged foods growing at 13%. 'The Metro format has seen strong growth momentum during the quarter, with key categories like home and personal care growing 25% year-on-year. Hot beverages and dry fruits & nuts each grew by 20% year-on-year. The business launched its 'Elite' loyalty program across customer cohorts during the quarter,' it said. Its quick hyper-local commerce saw a strong pick-up in daily orders, with 68% quarter-on-quarter growth and 175% year-on-year growth. Additionally, operations were scaled to 4,290 pin codes, serviced by over 2,200 stores in more than 1,000 cities.
Mint
7 days ago
- Business
- Mint
Reliance Retail Acquires Home Appliances Brand Kelvinator
Reliance Retail Ltd on Friday announced the acquisition of the home appliances brand Kelvinator for India from the Swedish manufacturer Electrolux AB after holding manufacturing and distribution rights for the brand since 2019. This takeover strengthens Reliance Retail's presence in the consumer electronics market, wherein it already operates the well-known chain of electronics stores, Reliance Digital. The Electrolux Group brand has a long legacy in India. It entered the market in the 1960s and achieved iconic status in the 1970s and 80s with its memorable tagline, 'The Coolest One'. However, in 1995, Whirlpool of India Ltd acquired Kelvinator India Ltd to enter the refrigerator market. In 2019, Kelvinator made a comeback in India after Reliance Retail signed an exclusive and long-term brand licensing, manufacturing, marketing, and distribution deal with Electrolux. The brand already sells refrigerators, washing machines, air conditioners, etc., via the Retail Digital store network and other retailers and e-commerce platforms. Reliance Digital operates over 400 stores in the country. 'Our mission has always been to serve the diverse needs of every Indian by making technology accessible, meaningful, and future-ready. The Kelvinator acquisition marks a pivotal moment, enabling us to significantly broaden our offering of trusted global innovations to Indian consumers,' said Isha M. Ambani, executive director, Reliance Retail Ventures Ltd (RRVL). "With Kelvinator now firmly integrated into its formidable ecosystem, Reliance Retail is strategically positioned to accelerate category growth, deepen consumer engagement, and unlock substantial long-term opportunities within India's dynamic consumer durables market,' she added. India's consumer durables industry accounts for approximately 0.6% of the nation's gross domestic product, and is projected to expand at a compound annual growth rate (CAGR) of 11%, reaching a market size of ₹ 3 trillion by 2029, according to EY's 2024 estimates. The move reinforces Reliance Retail's ambition to not only anticipate but meet the evolving demands of the Indian consumer, solidifying its position as the undisputed leader in the retail landscape, said a company statement. India's electronics markets include large companies such as LG, Samsung, Sony, Whirlpool, and Panasonic. RRVL, through its subsidiaries and affiliates, operates an integrated omnichannel network of 19,340 stores and digital commerce platforms in the grocery, consumer electronics, fashion and lifestyle, and pharma categories. Reliance Retail Ltd, a subsidiary of RRVL, reported a consolidated turnover of ₹ 3,30,870 crore and Ebitda of ₹ 25,053 crore for the year ended 31 March 2025.
