On Friday, Reliance Jio Infocomm announced impressive financial results for the fourth quarter, highlighting a remarkable 25.7% increase in consolidated net profit, reaching ₹7,022 crore compared to ₹5,587 crore in the same period last year. The company also reported a 17.7% rise in revenue from operations, totaling ₹33,986 crore, up from ₹28,871 crore in the corresponding quarter of the previous fiscal year.
Strong Earnings and Margins
For the quarter ending in March, Reliance Jio’s Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) soared to ₹17,016 crore, a notable rise from ₹14,360 crore reported in Q4 FY24. The EBITDA margin was recorded at 50.1%, reflecting a modest increase of 40 basis points year-over-year.
The company attributed this double-digit revenue growth to several factors:
- Tariff hikes for mobility services
- Enhanced subscriber mix through increased home connectivity
- Growth in digital services
Rising Average Revenue Per User (ARPU)
In a positive trend, the company’s average revenue per user (ARPU) rose by 13.5% year-on-year, reaching ₹206.2. Reliance Jio noted that this increase was influenced by the recent tariff adjustments and an improved subscriber mix, although it was slightly affected by a shorter number of days in the quarter.
Subscriber Growth and Churn Rate
Reliance Jio’s monthly churn rate remained impressively low at 1.8%, marking it the best in the industry. During this quarter, the company added 6.1 million new subscribers, primarily driven by a surge in mobility additions following the tariff increase, alongside a steady rise in connected home services.
Enhanced Customer Engagement
Customer interaction has remained robust, with users averaging 33.6 GB of data usage per month and an overall data traffic increase of 19.6% year-over-year during Q4 FY25. Akash M Ambani, Chairman of Reliance Jio Infocomm, stated, “Jio continues to excel in customer engagement thanks to our cutting-edge network technologies and a diverse range of digital services. We take pride in having served millions during the Mahakumbh mela, showcasing our network’s scalability. Furthermore, we are advancing our AI infrastructure to enhance all Jio services.”
Market Performance
Despite these positive developments, Reliance Industries Limited (RIL) shares closed down by 0.12%, settling at ₹1,300.05 on the BSE.
As the company looks ahead, it is clear that its strategic initiatives in mobility and digital services are positioning Reliance Jio for continued growth in the competitive telecom landscape.
