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### *Eagle’s Eye view Analysis of Reliance Industries' Latest Consolidated Results for Q1 FY25*:
#### *Sales and Profit Growth*:
- **Revenue**: Consolidated revenue for Q1 FY25 was ₹257,823 crore, marking an 11.5% increase year-on-year.
- **EBITDA**: Consolidated EBITDA stood at ₹42,748 crore, a 2.0% rise compared to the previous year.
- **Profit After Tax (PAT)**: The PAT was ₹17,445 crore, showing a 4.5% year-on-year growth.
#### *Profit Margins*:
- **EBITDA Margin**: The overall EBITDA margin for Q1 FY25 was 16.6%.
- **Net Profit Margin**: The net profit margin for the quarter was approximately 6.8%.
#### *Segmental Analysis and Growth*
1. **Retail Segment**:
- **Revenue**: ₹75,615 crore, up 8.1% YoY.
- **EBITDA**: ₹5,664 crore, up 10.5% YoY.
- **Profit After Tax**: ₹2,549 crore, up 4.6% YoY.
- **Growth Drivers**: Increased footfalls, store expansion, and improved customer engagement.
2. **Digital Services Segment**:
- **Revenue**: ₹34,548 crore, up 12.8% YoY.
- **EBITDA**: ₹14,638 crore, up 11.6% YoY.
- **Profit After Tax**: ₹5,698 crore, up 11.7% YoY.
- **Growth Drivers**: Subscriber base expansion, higher ARPU, and increased data traffic.
3. **Oil to Chemicals (O2C) Segment**:
- **Revenue**: ₹157,133 crore, up 18.1% YoY.
- **EBITDA**: ₹13,093 crore, down 14.3% YoY.
- **Growth Drivers**: Lower fuel cracks and challenging downstream margin environment.
4. **Oil & Gas Segment**:
- **Revenue**: ₹6,179 crore, up 33.4% YoY.
- **EBITDA**: ₹5,210 crore, up 29.8% YoY.
- **Growth Drivers**: Higher production volumes offsetting lower price realization.
#### Peer Group Analysis
- **O2C Segment**:
- **Peers**: Indian Oil Corporation (IOC), Bharat Petroleum Corporation Limited (BPCL), Hindustan Petroleum Corporation Limited (HPCL).
- **Market Share**: Reliance remains a dominant player in the Indian petrochemical industry with significant refining capacity.
- **Retail Segment**:
- **Peers**: Avenue Supermarts (DMart), Future Retail, Trent.
- **Market Share**: Reliance Retail is the market leader in the Indian retail sector with a diverse portfolio.
- **Digital Services Segment**:
- **Peers**: Bharti Airtel, Vodafone Idea.
- **Market Share**: Reliance Jio continues to hold the largest market share in India's telecom sector.
#### Important Financial Ratios (Q1 FY25)
- **Current Ratio**: 1.4
- **Quick Ratio**: 1.2
- **Debt to Equity Ratio**: 0.5
- **Return on Equity (ROE)**: 14%
- **Earnings Per Share (EPS)**: ₹26.7
#### Industry Analysis
- **Oil & Gas**: The sector is experiencing volatility due to geopolitical tensions and fluctuating crude oil prices. However, domestic demand remains strong, driven by industrial activities and increased travel.
- **Retail**: The retail industry is witnessing steady growth with increased consumer spending and expanding e-commerce.
- **Telecommunications**: The telecom industry is growing with rapid 5G adoption and increased data consumption.
#### Future Outlook
- **Reliance Industries** is poised for growth with ongoing expansions in the digital services and retail segments.
- **O2C Segment**: Expected to recover as global demand stabilizes and refining margins improve.
- **Retail Segment**: Continues to expand its footprint and enhance its digital capabilities, which should drive long-term growth.
- **Digital Services**: Jio's continued investment in 5G infrastructure and expanding subscriber base will likely sustain its growth momentum.
- **Oil & Gas**: Higher production volumes and stable operations are expected to support earnings despite price volatility.
#### Key Highlights for Investors
- Diversified business portfolio mitigating risks across segments.
- Strong growth in consumer businesses and digital services.
- Prudent financial management with a robust balance sheet.
- Strategic investments in growth areas like 5G and retail expansion.
This analysis should provide a comprehensive view of Reliance Industries' financial performance and future prospects, aiding investors in making informed decisions.
