信实工业有限公司（RELIANCE.IN,RIGD.LI）：信实工业（RIL）2025财年第四季度广泛增长，前景乐观，表现优于大盘

Price Target RELIANCE.IN1,520.00RIGD.LI83.10 USD Reliance (RIL) 4QFY25: Broad-Based growth. Positive outlook.Outperform Reliance reported a strong quarter with consolidated net profit of INR 194 Bn (+2.4% YoY),beating estimates. The outperformance was broad-based:Jio:Strong subscriber additions(+6.1 Mn QoQ) with ARPU improving to INR 206 (+1.5% QoQ).Retail:Growth returned todouble-digits (+15.7% YoY), driven by positive like-for-like sales in Fashion & Lifestyle.O2C:Remained resilient despite macro uncertainties, with volumes expanding 3% YoY. We believethe improving growth outlook (Link) , supportive valuations, and a better retail performanceare key positives that could drive stock re-rating. Net Debt to EBITDA remained flat in FY25,indicating continued balance sheet strength. Remain OP Jio - ARPU growth & rebound in subs.Jio reported consolidated revenue for Q2FY25 at INR398.5 Bn (+17.8% YoY), driven by the tariff hikes and an improved subscriber mix. ARPU grew1.4% QoQ to INR 206.2/month. Total subscribers stood at 488.2 Mn (+1.3% QoQ), with churnrates normalizing. Jio Platforms reported EBITDA of INR 170.16 Bn (+2.6% QoQ, +18.5% YoY),with EBITDA margins stable at 50.1% (flat QoQ). Retail strong recovery.Reliance Retail reported robust revenue growth at INR 886 Bn(+15.7% YoY), supported by: Fashion & Lifestyle: Continued momentum as customersshopped for local festivals and weddings. JioMart: Continued scale-up, with average ordervalue increasing by 62% YoY. Operating margin remained stable at 8.5% (flat QoQ). OperatingEBITDA came in at INR 67.11 Bn (+14.3% YoY), while the Digital/New Commerce contributionremained steady at 18%. O2C expanded, New energy.The O2C segment remained resilient despite macrouncertainty, with volumes expanding 3% YoY. However, EBITDA margin declined to 9.2%,impacted by a fall in transportation fuel cracks. In E&P, EBITDA stood at INR 51.24 Bn (-8.6%YoY). On the New Energy front, Reliance commissioned 1 GW of solar panel capacity duringthe quarter, with 10 GW currently under development. Company is also building a greenhydrogen value chain, having acquired 2,000 acres of land for the project. LINKS OF OUR RECENT REPORTS ON RELIANCE INDUSTRIES Reliance: 2025 Outlook - Favourable set-up (Jan 2025)Reliance (RIL) 2QFY25: Earnings miss. ARPU beat. Retail soft. O2C margins weak (Oct 2024)India Telecom: "Bharat 1.0" - The Jio way - Measuring "time" in GBs (Oct 2024)India Telecom: Spotlighting the leaders - Reliance Jio & Bharti (Aug 2024)Reliance Industries : Growth engine led by Jio. Raising TP (Aug 2024)Reliance (RIL) 1QFY25: Earnings miss. Jio Steady. Retail soft (Jul 2024)Quick Take: Reliance Jio - Jio takes the lead. Announces tariff hike (Jun 2024)India Telecom: A sustained 'Monetization' cycle (Jun 2024)Reliance Jio - Proving out the 'Platform approach' (Apr 2024)India Telecom: How will the tariff hike play out ? (Mar 2024)Quick Take: Reliance Jio - Reliance and Disney to merge India media operations (Feb 2024)Reliance Industries: Multiple growth engines to sustain earnings momentum (Jan 2024) EARNINGS SUMMARY •Profits: Reliance reported 4QFY25 consolidated net profit of INR 194.1 bn (+4.6% q-o-q and +2.4% y-o-y) which was abeat on consensus INR 184.71bn. 4QFY25 EBITDA was at INR 487.37 bn (+1.5% q-o-q/+3.6% y-o-y). •Capex and Net Debt:Q4FY25 capex was INR 360Bn (+11.7% QoQ) excluding spectrum charges driven by normalization intelecom capex. Reported Net Debt was INR 1,170.83 Bn. Net Debt to EBITDA was flat QoQ at 0.60x in 4QFY25 from 0.65xin 3QFY25. JIO - STRONG ARPU &SUBSCRIBER GROWTH •Jio, Strong ARPU growth. Jio reported consolidated revenue for Q4FY25 at INR 398.5 Bn (+17.8 YoY), driven by continuedimpact of tariff hike with ARPU growth of 1.2% QoQ at 206.2/month and better subscription mix party impacted by lowernumber of days in the quarter. Subscriber stood at 488.2 Mn (+6.1 Mn QoQ) as customer addition has rebounded the tariffhike. Jio Platforms EBITDA was at INR 170.16 Bn (up +2.6% QoQ, 18.5% YoY) at a margin of 50.1% (+40 bps YoY). Weexpect focus to shift to 5G monetization as the 5G roll out is complete and tariff hikes in place. •ARPU was up 1.2% QoQ at INR 206.2/month (+13.5% YoY) driven by tariff hikes and from better subscriber mix. Dataconsumption remained strong, up 19.6% YoY at 48.9 billion GB. The total subscriber base expanded to 488.2 Mn (+1.3%QoQ), net addition of +6.1 Mn. Monthly churn was 1.8% lowest in the industry. New additions were driven by rebound ofmobility additions post tariff hike and steady ramp-up of connected home. •191 Mn 5G subscribers (+21 Mn QoQ) now carries ~40% of Jio's mobility data traffic on Jio’s 5G+4G core in less thantwo years of launch and continues to be the largest 5G operator outside China. Jio Air Fiber services continues to seestrong uptake and engagement pan India due to bundled offering, with +70% of Jio Air Fiber additions coming from theseunderserved cities/ towns. •Reported standalone EBITDA of ~ INR 157.