New Delhi: Reliance Consumer Products Limited (RCPL), the FMCG arm and wholly-owned subsidiary of Reliance Retail Ventures Limited (RRVL), reported revenues of ₹11,450 crore for FY25 on Friday, topping those of some large competitors.
“Business (FMCG) continued to expand its reach through general trade leading to 3.5x year-on-year growth in sales during the period. The business launched sports drink ‘Spinner’ and acquired personal care brand ‘Velvette’ during the quarter to strengthen its product portfolio. The brand is enhancing its salience through targeted marketing and promotional initiatives,” RIL said in its full-year and March-quarter earnings.
Beverage brand Campa partnered with JioStar as a co-sponsor for IPL 2025 and secured exclusive pouring rights for all home matches of the Indian cricket team. In its previous quarterly earnings the company had said Campa and Independence were each projected to cross ₹1,000 crore in turnover in FY25. RCPL reported revenues of ₹8,000 crore in the first nine months of FY25.
New kid on the block
RIL entered the FMCG market in 2022, and has launched several brands and pursued mergers and acquisitions over the past two years. It now has a presence across a range of daily essential categories. Its brands include Glimmer and Puric soaps, Dozo dish wash bars and liquids, Independence staples such as flour, rice and edible oil, HomeGuard toilet and floor cleaners, and Enzo laundry detergent powder, liquid and bars.
It has also invested in old and nearly obsolete brands and revived them with fresh packaging and marketing. These include Campa, Sil (sauces and condiments), personal care brand Velvette, and Ravalgaon’s confectionery business. In 2023, RCPL partnered with Sri Lankan biscuit brand Maliban; it also acquired a 50% stake in beverage brand Sosyo Hajoori. However, it is yet to achieve national scale, which is crucial for a successful FMCG business.
Mint recently reported that RCPL would take another three or four years to distribute its products nationally. The company is also expected to roll out more products over the next 12-18 months. RCPL’s distribution network includes between 120,000 and 700,000 outlets, depending on the type of product, covering 30-35% of markets in India. The company ended the fiscal year with a total reach of one million outlets. It aims to expand this 5-6 million outlets in three years, Mint reported in March, citing sources.
To be sure, India already has large foreign and homegrown FMCG companies such as Godrej Consumer Products (GCPL), Marico Ltd, Dabur, Nestle and Hindustan Unilever. GCPL reported revenues of ₹6,725.27 crore for the nine months to 31 December 2024. It is yet to report full-year numbers.
Reliance Retail results
Overall, RRVL reported a 15.7% jump in March-quarter revenues to ₹88,620 crore. Operational Ebitda came in at ₹6,510 crore, a 14.6% year-over-year year-on-year increase, resulting in an 8.3% margin. For the March quarter RRVL reported a profit of ₹3,545 crore, up 29% from a year ago.
For the full year, RRVL recorded gross revenue of ₹330,870 crore, up 7.9% from last year. The business continued its strong track record of profit growth, registering Ebitda of ₹25,053 crore for FY25, up 8.6% year-on-year. The business, which operates across e-commerce, lifestyle retail, apparel, consumer electronics, grocery and consumer goods, reported a 11.3% jump in FY25 profit to ₹12,388.
RRVL increased its store count by 2,659 during the year, taking its total to 19,340. However, owing to store rationalisation, the total store area under operations shrunk to 77.4 million sq ft from 79.1 million sq ft a year ago. The registered customer base expanded to 349 million in FY25, a 14.8% year-over-year increase. During the quarter, the business opened 1,085 new stores.
Isha M. Ambani, executive director, Reliance Retail Ventures Limited, said, “Reliance Retail delivered strong growth in revenue and profits, powered by improved efficiencies, innovative formats, a sharper product mix, and continued investments in technology and customer experience. We remain focused on shaping the future of retail with agility and purpose”.
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