Reliance Industries Limited reported a strong fourth-quarter performance, with profitability increasing by 2% year-on-year to ₹19,407 crore. This figure exceeded market expectations, which were around ₹18,471 crore. Additionally, revenue from operations surged by 10% year-on-year, reaching ₹2.64 lakh crore.
The growth was primarily driven by the telecom and retail sectors, which helped counterbalance the weaker oil-to-chemicals cycle and softer gas realizations. This trend was consistent with the previous quarter, as the retail and Jio divisions have significantly contributed to the company’s earnings.
The Jamnagar complex, which includes two refineries with a combined capacity of about 1.4 million barrels per day, remains a crucial part of Reliance’s oil-to-chemicals operations and a key profit generator.
Alongside these results, the company announced a ₹5.5 dividend and a major fundraising plan, indicating plans for continued expansion. Despite a challenging global economic environment, Reliance maintained operational discipline and continued investing in growth initiatives, with management expressing optimism about the future.
On the trading front, Reliance shares closed slightly down at ₹1,301 on Friday before the results. Despite this, the stock has risen nearly 7% this year. Analysts agree that the stock is currently moving sideways within a narrow range, without showing significant directional movement.
Technical analyst Mileen Vasudeo from Arihant Capital Markets noted the absence of a clear trend on the daily chart. At present, Reliance faces immediate resistance at the ₹1,341 level. A close above this threshold could boost upward momentum, potentially reaching ₹1,410 to ₹1,460 levels.
Riyank Arora, a technical analyst at Mehta Equities, mentioned that a move above ₹1,320 could result in a quick rise to ₹1,345–1,360, while falling below ₹1,280 may lead to a drop to ₹1,250. The RSI is neutral, indicating no strong trend. Until a decisive move occurs, traders are advised to employ range-bound strategies.
Vasudeo recommended buying the stock at current levels with a stop loss of ₹1,250, targeting ₹1,410 – ₹1,460 in the coming weeks.
The company also announced a dividend and a significant fundraising plan, signaling continued expansion in its future sectors.
(Disclaimer: Recommendations, suggestions, views, and opinions expressed by analysts are their own and do not represent the views of the Economic Times.)
