Reliance Retail, part of Reliance Industries will be reporting results on Friday, January 20. The unit is likely to benefit from high festive demand, strong store additions and business tie-ups.

Broking firm Nomura expects high-double-digit growth in both revenue and EBITDA (earnings before interest, taxes, depreciation, and amortization) — a widely used measure of core corporate profitability — as compared to the corresponding period a year ago.

The revenue is expected to rise to Rs 70,330 crore, up 22 percent, while EBITDA is estimated to be at Rs 4,640 crore, rising 21 percent from the corresponding period a year ago. On a quarterly basis, the revenue is expected to increase 8.3 percent from Rs 64,936 crore and the EBITDA is expected to grow 5.1 percent from Rs 44,14 crore in the previous quarter.

Also read: Reliance Retail earnings beat driven by revival in footfalls, digital integration

During the quarter, Reliance Consumer Products, the FMCG arm of Reliance Retail launched its made-for-India consumer packaged goods brand 'Independence.'

Reliance Industries acquired brands from Campa maker Pure Drinks Group, and also soft drink brand Sosyo from Surat-based Hajoori in August, 2022. Also, last month, Reliance Consumer Products Ltd (RCPL), the FMCG division and a wholly-owned subsidiary of Reliance Retail Ventures Ltd (RRVL), announced acquiring a 51 percent stake in Lotus Chocolate Company Limited for an estimated total of Rs 74 crore.

Reliance Retail Ventures in December also signed definitive agreements to acquire 100 percent stake in METRO Cash & Carry India Pvt Ltd for a total cash consideration of Rs 2,850 crore. The acquisition will add multi-category large format stores to Reliance Retail's overall footprint and further strengthen its new commerce business.

The transaction is expected to be completed by March 2023, subject to other regulatory and customary closing conditions.

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(Edited by : Shoma Bhattacharjee)

First Published:Jan 19, 2023 6:55 AM IST