Our relentless focus on customer satisfaction and service has led to higher engagement and increased footfalls, driving robust revenue and earnings figures across our consumer businesses. The gradual opening up of economies coupled with sustained high utilization rates across sites and the improvement in transportation fuel margins and volumes have bolstered our O2C earnings.
During the year, Reliance has also been able to generate significant employment opportunities for the people of our country and continues to remain amongst India’s largest private-sector employers. Over the past year, we added over 2.1 lakh, new employees, across our businesses with our consumer and technology business creating a large part of these new jobs.
I am pleased to report that our Retail business has crossed the 15,000 store benchmark. JioFiber is now the largest broadband provider in India within two years of launch. The oil and Gas business is now contributing 20% of domestic gas production.
I am particularly happy with the progress our company is making in the New Energy and New Materials business. We are forging ahead with the development of our New Energy Giga Factories complex across 5,000 acres in Jamnagar. And with the strong global partnerships we have, I am confident that Reliance will create sustainable and affordable new energy solutions for India to help her meet growing energy needs while ensuring that we achieve our ambitious target of Net Carbon Zero by 2035.”
CONSOLIDATED RELIANCE RETAIL:
• Gross Revenue for the year was ₹ 199,704 crore ($ 26.3 billion), higher by 26.7%
• EBITDA for the year was ₹ 12,381 crore ($ 1.6 billion), higher by 26.5%
• Net Profit for the year was ₹ 7,055 crore ($ 931 million), higher by 28.7%
• Cash Profit for the year was ₹ 9,848 crore ($ 1.3 billion), higher by 32.1%
• Total 15,196 physical stores operational; 2,566 stores opened during the year
• Area of operation – 41.6 million sq. feet as compared to 33.8 million sq. feet in the previous year.
Annual Performance:
• Reliance Retail sustained its consistent and resilient performance while delivering another year of robust revenue growth and profit improvement. The business continued to scale new highs, registering the highest ever revenue and EBITDA.
• The business recorded Gross Revenue of ₹ 199,704 crores ($ 26.3 billion) for the year FY 22, a growth of 26.7% over last year driven by broad-based growth across all consumption baskets. This is despite COVID restrictions in place during the year with 87% of the stores operational and 81% footfalls recorded at stores as compared to pre-COVID levels.
• The business crossed a milestone of ₹ 12,000 crore EBITDA in a year for the first time. It recorded an all-time high EBITDA of ₹ 12,381 crores ($ 1.6 billion) for FY22, a growth of 26.5% Y-o-Y driven by strong revenue performance across all consumption baskets. EBITDA before Investment Income was at ₹ 10,932 crores, a growth of 29.3% Y-o-Y.
• Net profit for the year was ₹ 7,055 crore ($ 931 million) higher by 28.7%.
• Cash Profit for the year was ₹ 9,848 crore ($ 1.3 billion) higher by 32.1%.
• As the operating environment improved progressively, the pace of new store expansion resumed. During the year, over 2,500 stores were opened taking the total count to 15,196 stores with a total area of 41.6 million sq. ft.
• The business continued to attract more and more customers across the country through its wide portfolio of stores and digital commerce platforms with its registered customer base growing to 193 million, up 24% Y-o-Y.
• Job creation remains a cornerstone of Reliance Retail’s mission of inclusive growth as it added an unprecedented 150,000 new jobs during the year taking the total employee count to over 361,000, making Reliance Retail one of the largest employers in the country.
• Reliance Retail is featured 56th in the list of top global retailers and also ranks as the 2nd fastest-growing retailer in the world as per the Deloitte report 2022.
• Reliance Retail earned recognitions at various industry forums. Some of the notable ones are: Ranked 3rd in the list of Most Innovative Companies – the Asia Pacific by Fast Company; selected as the Best Award winner 2022 by Association of Talent Development (ATD), a coveted award bestowed to select organizations around the world; Reliance Retail awarded as Most admired retail group by Images Retail.
Quarterly Performance:
• Reliance Retail delivered its best-ever quarterly revenues even surpassing the festive quarter performance despite the challenges posed by the spread of the Omicron wave and coming out from the festive quarter.
• The headwinds posed by the COVID situation in January were offset by the robust growth in February and March as the business leveraged festive events and the early setting of the summer season.
• The business recorded Gross Revenue at ₹ 58,017 crores ($ 7.7 billion), a growth of 23.3% Y-o-Y with broad-based double-digit growth across all consumption baskets.
• EBITDA for the quarter was recorded at ₹ 3,705 crores ($ 489 million), up 2.4% Y-o-Y. However, EBITDA before investment income grew 16.3% Y-o-Y to ₹ 3,584 crores ($ 473 million) led by robust performance in Fashion & Lifestyle and Grocery consumption baskets.
• Net profit for the quarter was ₹ 2,139 crore ($ 282 million) lower by 4.8% Y-o-Y • Cash Profit for the quarter was ₹ 2,878 crore ($ 380 million) higher by 3.8% Y-o-Y.
• The business continued to bolster its store network and strengthen its supply chain capabilities. It opened 793 stores and added 3.1 million sq ft of warehousing and fulfillment space during the quarter.
• The business more than doubled its daily orders year on year across all its digital commerce platforms on the back of a stronger product portfolio and attractive offers. Alongside New Commerce, the business continued to partner with new merchants across geographies and consumption baskets. The merchant partner base grew 3x over last year.
• Reliance Retail acquired Clovia, a leading women’s intimate wear brand to bolster its lingerie brand portfolio. Further Reliance Retail has acquired a stake in Indian designer wear brands - AK-OK, Abraham & Thakore, Abu Jani Sandeep Khosla and formed a JV for a new brand with Rahul Mishra during the quarter.
Consumer Electronics:
• Consumer Electronics business has delivered a strong performance across its stores driven by the recovery of mall stores and continued uptick in small towns.
• Reliance Digital, the largest big-box electronics chain in the country, crossed a milestone of 500 stores with a presence in over 200 cities.
• The business witnessed broad-based growth across all categories, particularly in Air Conditioners on the back of the early onset of summer, mobiles, laptops, and TVs.
• The business delivered its best-ever Republic Day event with 20% sales growth Y-o-Y. In addition, focusing on regional festivals, exclusive promotions, new product launches along with affordability programs helped in driving sales.
• Consumer Electronics launch on JioMart was well received by customers. Strong growth in Digital commerce business over last year led by attractive offers and a wider choice of assortment.
• JioMart Digital continues to scale up new merchant partners' onboarding as it expanded its presence to newer geographies.
• Own and licensed brand portfolio grew 70% over the last quarter. The business has relentlessly focused on increasing assortment with the introduction of new product lines and assortment upgrades.
Fashion & Lifestyle:
• A strong quarter for the Fashion & Lifestyle business led by local activations during regional festivals and early launch of spring-summer merchandise.
• Trends Small Town continues to scale rapidly. It crosses a milestone of 600 stores with an addition of more than 100 stores during the quarter.
• AJIO continues to grow with the addition of new brands, catalog expansion & impactful campaigns. It is spreading the seeds of the digital fashion revolution far and wide as is evident from the growing share in small towns with nearly two-thirds of the orders placed from Tier 3 & below towns.
• The business expanded its merchant partner base in over 3,500 towns with over 3.5x growth in revenues over last year. The platform continues to strengthen its offering by increasing its brand catalog along with the introduction of regional and local brands.
• Despite a challenging environment posed by Omicron and high gold prices, Reliance Jewels delivered a resilient performance in the quarter. The business continues to strengthen its design capabilities and increase the contribution from diamond jewelry.
• In the Luxury / Premium brands business, revenue growth was powered by the recovery of mall stores and sustained growth of digital commerce platforms. The business has strengthened its portfolio through strategic partnerships with leading Indian fashion designers during this period.
• Zivame delivered another strong quarter as it continues to ramp up its marketplace model through the onboarding of new brands and expanding into new categories of fashion accessories, beauty, and personal care.
• Urban Ladder delivered a robust performance over last year driven by increased footfalls within stores and higher conversions. This was supported by impactful marketing activations. The business continued to bolster its catalog and share of business from its multi-brand range in furniture and home décor.
Grocery:
• Grocery business continued its growth momentum and delivered its best-ever quarter driven by strong growth across its store formats, digital and new commerce platforms.
• The business crossed a milestone of 2,000 grocery stores, the largest network of grocery stores by any retailer in India.
• The omnichannel value proposition led by JioMart has been well received by customers. The convergence of offline and online channels is resulting in 35% higher spending from customers than those from shopping from one channel.
• JioMart has strengthened its subscription model through the integration of Milkbasket with daily orders growing by 100% as compared to last year.
• JioMart Kirana ramped up operations by operationalizing 21 Smart Hubs and 34 Staples hubs during the quarter to improve reach and service levels. The business is focusing on ramping up merchant onboarding through focused efforts and by adding region-specific assortment.
Pharma:
• Pharma business posted strong growth led by Netmeds platform, scaling up of store network and expansion of merchant partnerships.
Comments
Post a Comment