Behemoth Reliance Industries (RIL) will be in focus next week for declaring its June 2025 quarterly earnings report on July 18. Accordingly, the largest oil and gas company's share price will play a key role in swaying the market. Alongside Reliance, its subsidiaries Reliance Jio and Reliance Retail will also declare Q1FY26 results. However, will the Mukesh Ambani company declare its first dividend for 2025, after one of the largest bonuses 1:1 that was delivered during Diwali?
Reliance Industries (RIL) Q1 Results Date:
In its regulatory filing, Reliance Industries said, " a meeting of the Board of Directors of the Company is scheduled to be held on Friday, July 18, 2025, inter alia, to consider and approve the standalone and consolidated unaudited financial results of the Company for the quarter ended June 30, 2025."
Accordingly, Reliance Retail and Reliance Jio will also declare their quarterly report on July 18.
Reliance Industries (RIL) Q1 Results Preview:
Mukesh Ambani's megatron is expected to report double-digit growth in its operating profit in Q1FY26 on a consolidated basis, with EBITDA likely to surge in O2C, digital and retail segment. Meanwhile, the bottom line is expected to be driven by one-off gains.
"We expect consolidated EBITDA to rise 15.4% yoy (up 2.1% qoq) with 19-20% yoy EBITDA increase for O2C, digital and retail segments, partly offset by oil & gas (down 7.5% yoy). Despite the refinery shutdown in 1Q, O2C EBITDA will rise 3.5% qoq (19% yoy on low base) on better margins," said Kotak Institutional Equities in its note.
Analysts note added, "With tail benefits of the July 2024 tariff hike and better transmission to margins, we expect R-Jio's EBITDA to rise 4.2% qoq (18.6% yoy). We assume blended ARPU of Rs209.5 (1.6% qoq, ~15% yoy). We forecast retail EBITDA to grow ~21% yoy (up 1.1% qoq) on a low base."
They said, "Reported PAT will be boosted by one-off gains of ~Rs90 bn (post-tax) on Asian Paints stake sale."
Also, after a muted FY25, CLSA anticipates a notable improvement across all Reliance's businesses from 1Q onwards, which could trigger excitement in the stock. The drag in performance last year was partially due to operational streamlining in its retail operations, which is now over.
For FY25, Reliance posted gross revenue of Rs 1,071,174 crore, rising by 7.1% YoY. Moreover, for the fiscal, the giant's Profit After Tax and Share of Profit/(Loss) of Associates & JVs increased by 2.9% Y-o-Y to Rs 81,309 crore ($ 9.5 billion).
Is There Any Dividend Announcement?
Reliance has a strong track record of delivering dividends to its investors from its profitability. However, since it turned ex-bonus last year during Diwali, the company has not paid any dividends or other listed benefits.
Will Reliance announce a dividend or any other incentives for shareholders on July 18? Not at the moment!
As per the regulatory filing, the company has only intimated about the Q1FY26 result date, and no further information on dividends or other rewards. However, any such announcement will be keenly watched.
Since May 2003, Reliance has distributed 24 dividends so far, as per Trendlyne. In 2024, the company paid a final dividend of Rs 10 per share for FY25, which was the highest in seven years. Adjusted for bonuses and splits, Reliance's dividend yield is around 0.33%. Without adjustment, the dividend yield comes at 0.67%.
The last reward to investors was of 1:1 bonus issue, for which the ex-date was on October 28, 2024. 1:1 bonus ratio meant Reliance rewarded 1 free share to eligible investors for existing 1 equity share.
Reliance Industries (RIL) Share Price:
Last week, on Friday, Reliance stock closed at Rs 1494.85 apiece on BSE, down by 1.5% with a market cap of Rs 20,22,901.67 crore. On the current valuation, Reliance is still the largest company in India. From July 7th to July 11th trading session, Reliance stock dropped by 2.5%. However, in a month, the stock has gained by 4.7%.
Despite the latest decline, year-to-date, Reliance shares are up more than 22.3% on BSE.
Reliance Industries Share Price Recommendation:
Global brokerages are bullish on Reliance.
CLSA said, "Most listed retail sector stocks have outperformed the benchmark by 4-17% on a YTD basis driven by steady growth. This, along with return of strong profit growth from 1Q onwards, should positively rub-off on valuations for Reliance Retail. We maintain our O-PF rating with a target price of Rs1,650, implying a 14% upside. A faster pick-up in Jio's subscriber additions is a key upside risk to our estimates."
" Along with falling capex intensity, rising FCF generation, and improving ROCE, we argue that higher nearer-term multiples are warranted to capture the ensuing upside. Buy; TP Rs1,690," said CITI's note.
Reliance Industries Limited is a Fortune 500 company and the largest private sector corporation in India.
Disclaimer: The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.
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