Jun-26 Review: In Line; Retail Weakness Continues

研报英文原文证据摘录

Jun-26 Review: In Line; Retail Weakness Continues

Exhibit 1 - Core retail revenue growth trend

Beverages recorded Rs 29bn gross sales. 40%

31% Core retail revenue growth (% y/y)

30% 27% 25% 25%

17%O2C - Healthy performance: EBITDA rose 17% y/y and was 2% below JEFe. Margins are 20% 11% 11% 9% 13% 8% 8% 7% 10%very strong currently, with war-related impact on refining infrastructure in the Middle East and

Russia (~40% of refining capacity damaged). However, physical crude premiums, high freight -10%0% -8%

rates, and windfall taxes on refined products from its DTA refinery weigh on margin capture. -20%

Petrochemical feedstock supplies from the Middle East are yet to normalise, supporting 1QFY24 2QFY24 3QFY24 4QFY24 1QFY25 2QFY25 3QFY25 4QFY25 1QFY26 2QFY26 3QFY26 4QFY26 1QFY27

improvement in petchem spreads in FY27E. We expect 14% y/y EBITDA growth in O2C to Rs .Source: Company reports, Jefferies

691bn in FY27E.

Exhibit 2 - RIL 1-yr fwd EV/EBITDA band chart

Reliance 1-yr fwd EV/EBITDAData center taking shape: Reliance Intelligence, under Reliance Industries parent, is 16

steadfastly building India's sovereign AI backbone that will be fully operational in 2 years. 1412

Reliance is building MW-scale AI-ready data centres for Google (100MW) and Meta (168MW). 10

Access to capital, fibre connectivity, and cheap captive renewable-energy position Reliance 8

favourably to be a key player in the Indian data centre market. The first AI data center capacity 6

will commission by end-CY26. Jan-19 Jul-19 Jan-20 Jul-20 1-yrJan-21fwd EV/EBITDAJul-21 Jan-22 Jul-22 AvgJan-23 Jul-23+1 SDJan-24 Jul-24-1 SDJan-25 Jul-25 Jan-26 Jul-26

.

Source: Bloomberg, Jefferies

Net debt +5% y/y with consol capex +29% y/y: Consolidated capex in June quarter was Rs

387bn (+29% y/y).