Reliance Retail Q1 profit falls 14.2% to Rs 2,806 cr as e-commerce spend squeezes margins
Revenue rose 8.2% to Rs 79,745 crore with double-digit growth across grocery, electronics and fashion, but heavy e-commerce investment dragged profit down 14.2%. JioMart orders jumped 116% YoY, Ajio Rush surged 136% QoQ, and RCPL doubled revenue to Rs 8,600 crore as Campa expands into Australia and Africa.
What happened
Reliance Retail Q1 profit fell 14.2% to Rs 2,806 crore as e-commerce investment squeezed margins; revenue rose 8.2%. Grocery, electronics, fashion grew
Key facts
- net profit Rs 2,806 crore (-14.2% YoY)
- revenue Rs 79,745 crore (+8.2%)
- gross revenue Rs 90,408 crore (+7.4%)
- EBITDA margin 7.9%
- 252 stores opened
- 20,169 stores
- 78.4 million sq ft
- JioMart orders +116% YoY
- electronics +16%
- fashion +4%
- Ajio Rush +136% QoQ
- Shein 30M downloads
- RCPL revenue Rs 8,600 crore
Why this matters
RCPL doubling revenue to Rs 8,600 crore and Campa's expansion into Australia and Africa signal an aggressive FMCG and international build-out worth tracking for partnership, distribution, or acquisition opportunities.
What to watch
- EBITDA margin trajectory next 2 quarters (recovery above 8% vs further erosion)
- JioMart/Ajio Rush order growth vs contribution margin per order
- RCPL/Campa revenue run-rate and profitability inflection
- Quick-commerce competitive intensity (Blinkit, Zepto, Instamart discount spend)
- Reliance Retail IPO timeline and valuation commentary
- Management signals e-commerce investment is front-loaded and will taper, guiding to margin normalization
- Continued Campa international expansion (Australia, Africa) and FMCG (RCPL) scale-up as growth engines
- Store network optimization — closing underperforming formats while adding digital-first fulfillment
- Positioning ahead of anticipated Reliance Retail IPO / value-unlock narrative