Retail restocks Reliance Industries’ growth shelf

Broad-based consumer demand reloads growth prospects and puts the stock back in analysts’ baskets

- RAM PRASAD SAHU

A recovery in the retail segment helped Reliance Industries (RIL), the country’s largest listed company by market value, beat brokerage expectations for the July-September quarter (Q2) of 2025-26 (FY26).

After two weak quarters, retail’sturnaround lifted the group's overall performance.

The digital arm also outpaced expectations with _— steady sequential gains, while the oil-to-chemical (02C) business came broadly in line with Street estimates. With the Q2 beat, expectations of stronger earnings ahead, and valuations that still look reasonable, most brokerages remain upbeat on the stock.

Retail wasthe main story of Q2. Gross revenue crossed 90,000 crore, up more than 18 per cent year-on-year (Yo-Y) and nearly 7 per cent sequentially. Grocery and fashion and lifestyle drove growth, rising 23 per cent and 22 per cent, respectively, helped by festival spending.

Consumer electronics revenue grew 18 per cent Yo-Y, aided by a lower goods and services tax and new product launches. The retail operating margin slipped slightly — by 10 basis points Yo-Y — to 8.4 percent.