Reliance Retail’s net profit increased 45 per cent to Rs 2,247 crore in the fourth quarter of this financial year. The company’s revenues rose to Rs 46,099 crore from Rs 38,242 in the same period last year. It recorded Rs 157,629 crore revenues throughout FY21, lower by 3.3 per cent compared to last year.
Its net profit for the fiscal was marginally higher by 0.6 per cent and reached Rs 5,481 crore. However, its cash profit for the year declined by 3.1 per cent to Rs 7,457 crore lower by 3.1 per cent. Despite the pandemic, the company added 1,456 stores during the year, and 12,711 of its physical stores were operational.
The company’s apparel and footwear business delivered a strong quarter with double-digit growth, led by higher conversions and bill values. Trends registered a 2x growth in revenues from smaller towns, which contributed to 55 per cent of revenues. Whereas AJIO, too, sustained its strong momentum with 4x growth in revenues and a marked improvement across customer metrics and operating parameters over last year.
However, the emergence of the second wave of COVID-19 in March has adversely impacted footfalls, sentiment and operations. The business is well positioned and committed to relentlessly serve its customers in this volatile and uncertain environment. It has raised Rs 47,265 crore for 10.09 per cent stake from marquee global investors.