Reliance Retail positioned for industry leadership with impressive growth: Annual report

According to the company’s annual report, Reliance Retail is well-positioned to be at the forefront of the industry in the next decade due to its leading store count and expanding online platforms, investments throughout the purchasing and selling process, and history of effective execution.

Sales are up 30.4% year-over-year, while earnings before interest, taxes, depreciation, and amortisation (EBITDA) are up 44.7%. This expansion was fueled by higher sales of a wide variety of goods.

The firm predicted that there would be a continuing uptick in Indian consumers’ propensity to spend for a variety of reasons. Some examples are the country’s young population, its increasing average income, the rise in ambitions spurred by inexpensive internet access, and the improvement in rural areas’ access to both brick-and-mortar shops and online marketplaces. There will be less of a divide between urban and rural consumers thanks to this expansion of brand-name product availability.

The increase in clients who shopped at the stores directly translated into a healthy increase in same-store sales for the company. As the company put more resources into growing its retail footprint, it raised its profile in several markets. This year, the corporation expanded its retail footprint by opening over 3,300 additional outlets. A whopping fifty percent more space was devoted to retail this year, with an additional twenty-five million square feet added to stores.

One of the main objectives was to continue funding supply chain infrastructure improvement projects. With the intention of increasing storage and shipping capacity, 12.6 million square feet of warehouse space was constructed last year alone.

Purchasing habits are shifting as a result of developments in retail layout and technology, the growth of urban populations, and the democratisation of disposable income. An increase in discretionary spending is anticipated as average salaries rise above the pivotal $2,000 threshold, the firm noted.

Disclaimer: Moneypoise is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.

Also Read : Bank of Baroda Q1 Results: Net profit grows 88% to Rs 4,070 crore; asset quality improves