Reliance Industries (RELIANCE IN) – Q4FY26 Result Update – Consol EBITDA/PAT inline; Core/Retail under pressure – BUY
Published on 26 Apr 2026
Consolidated Q4FY26 EBITDA came in line with our estimates at INR441.4bn (PLe: INR443.6bn; BBGe: INR471.1bn), flat YoY and down 4.1% QoQ. Adj. PAT declined 9.0% QoQ and 12.6% YoY to INR169.7bn (PLe: INR169.8bn; BBGe: INR169.4bn). Performance was largely impacted by weakness in the Standalone and Retail segments, partly offset by steady performance in Digital segment. Standalone EBITDA fell 19.7% QoQ and 20.9% YoY to INR119.6bn, driven by lower gas price realizations in KG-D6 and CBM, along with lower volumes in KG-D6, sharp rise in crude premiums, elevated freight and insurance cost. Retail performance remained soft, reporting an EBITDA decline of 1.2% QoQ and growth of 2.8% YoY with an EBITDA margin of 7.7% (-62.1bps YoY / -12.7bps QoQ). Jio ARPU remained flat QoQ at INR214.0, with subscriber additions of 9.1mn, taking the total subscriber base to 524.4mn. New energy project initiatives remain on track. We assign a value of INR111/share to this segment, valuing it at 2x the earlier announced capex of INR750bn. The stock is currently trading at 9.6x FY28E EV/EBITDA. Recent corrections offer a better entry point, with the upcoming Jio IPO adding further traction. Maintain BUY; we lower our target price to INR1,635 (earlier INR1,719) amid soft core/retail business.
