(T.E.T)
Reliance Retail posted a 23% increase in net profit in the third quarter while revenue expanded 53% driven by a strong performance from its stores as they fully reopened after covid-led lockdowns, festive season, store expansion and online growth.
Reliance’s retail division, which runs over 14,400 stores across groceries, consumer electronics and apparel, posted revenues of Rs 50,654 crore in the three months ended December, with net profit at Rs 2259 crore.
“Retail business activity has normalized with strong growth in key consumption baskets on the back of festive season and as lockdowns eased across the country,” said Mukesh Ambani, Chairman, Reliance Industries Limited, in a statement.
The retailer said it saw all time high revenues across consumption baskets driven by highest ever store sales. Consumer electronics, apparel and footwear doubled their business on the back of strong festive sales while grocery sustained its consistent and strong double-digit growth momentum, it said.
The company opened 837 new stores during the third quarter, adding 8.8 million square feet of retail space.
During the quarter, Reliance Retail invested $200 million for a 25.8% stake in Dunzo, a quick commerce player, which will also enable hyperlocal logistics for Reliance’s retail stores, add omni-channel capabilities and facilitate last mile deliveries for JioMart’s merchant network . The company also acquired Jaisuryas, a grocery chain in Southern India, Amante, women’s intimate wear brand and Kalanikethan, a women’s saree and ethnic wear brand. In addition, the retailer entered into strategic partnerships with investments in Ritika Pvt Ltd that owns – Ritu Kumar and allied brands and Manish Malhotra’s eponymous brand.
