Reliance Industries’ Reliance Retail still group’s fastest growing entity, first quarter revenues soar
Reliance Retail was again Reliance Industries’ fastest growing sector in the first quarter of the 2020 financial year, the business reported as part of its first quarter financials. The business also opened a large number of brick-and-mortar fashion stores during the quarter, contributing to growth.
Reliance Industries’ organised retail business as a whole reported segment revenue of Rs 38,196 crore ($5.74 billion) for the first quarter of the 2020 financial year, compared to Rs 25,890 crore during the same time period in the 2019 financial year, representing a 47.5 percent increase.
The retail business also saw its segment earnings before interest, tax, depreciation, and amortisation increase by 69.9 percent, from Rs 1,206 crore in the first quarter of the 2019 financial year, to Rs 2,049 crore in the first quarter of the 2020 financial year.
Reliance Retail opened 265 stores for its various brands during the first quarter of the 2020 financial year, which ended on June 30. The business also launched the children’s wear store, 'Trends Junior', during the quarter to cater to India’s expanding children’s wear market, contributing to growth.
“Fashion and Lifestyle category led by Trends continued its journey of democratising fashion,” read Reliance Industries’ press release on its first quarter results.
“Trends strategy of early entry into tier 3 and tier 4 towns coupled with strategic investments in fashion value chain are driving a sustainable and profitable growth. Strengthening its offering to deliver on fashion for women western wear, Trends has launched fast fashion range 'Trending Now' and has received overwhelming response.”
The group also saw its Reliance Jewellery section expand with nine standalone store openings and 32 store-in-store openings during the quarter. Reliance Brands also expanded its brand portfolio with the acquisition of the British footwear and accessories brand Kurt Geiger, as well as the toy retailer Hamleys.
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