Latest news with #MukeshAmbani-owned
Mint
2 days ago
- Business
- Mint
After groceries and electronics, fashion is the next quick-commerce battleground
New Delhi: After getting urban Indians hooked on to 10-minute groceries to electronics, Indian online retailers will now battle for quick delivery of a category tailored to fuel instant gratification: fashion. On Friday, Reliance Retail Ltd, India's largest retailer, rolled out Ajio Rush, the online commerce platform's four-hour delivery service that is live in six cities. Earlier this year, Myntra expanded its quick commerce offerings with its M-Now services in Delhi and Mumbai. Brick-and-mortar retailer Libas is also increasing investments in quick commerce, using its own dark stores and partnering with third-party platforms to offer faster shipments on select items. Also read | Myntra aims to stream glamour through stories, stars and songs Fashion retailers aim to tap the preference for same-day deliveries among consumers, driven by the explosion of rapid shipping of milk, eggs, bread, fruits and vegetables. India's quick commerce market has grown 150% year-on-year, reaching $10 billion in gross merchandise value and a monthly run rate of $900-950 million, according to Redseer estimates. However, it still accounts for only 15% of the e-commerce market, estimated at $70 billion, with significant headroom to grow. Retailers have started by offering select and high-selling fashion items through quick commerce. Ajio's Rush has seen an encouraging response in its initial days, with customers placing high-value orders and initiating fewer returns, according to a senior company executive. Launched in the June quarter, Rush offers 130,000 products that can be delivered in four hours, leveraging Reliance Retail's existing store network for deliveries. "We launched Ajio Rush—the equivalent of a quick commerce service—in the top six cities. We have carved out space in our stores, and we are delivering from those stores where the promise is within four hours. That is live in six cities with 130,000-plus options," said Dinesh Taluja, chief financial officer atReliance Retail Ventures Ltd (RRVL), during the company's post-earnings call Friday evening. "These are curated options in those stores because we have a lot of data for those pincodes in terms of what's selling, and what we see are initial signs; it's still relatively young." RRVL, a subsidiary of Mukesh Ambani-owned Reliance Industries Ltd, owns e-commerce platforms Ajio and JioMart. Ajio sells brands such as Gap, M&S, H&M, and Asos. Of these, RRVL holds rights to Gap, M&S, and Asos in India. Fewer returns, larger bill sizes Taluja said orders placed via this offering lead to fewer returns and larger bill sizes. 'Average bill value is 50 to 60% higher compared to a normal transaction. In close to 12-15% of bills where we are offering this service, customers are adopting Ajio Rush; returns are significantly lower because it is addressing a need that the customer has…With better bill values and lower returns, the unit economics will improve substantially," he said. Since its launch in Bengaluru in December, Flipkart-backed online fashion platform Myntra's M-Now (30-minute platform) has been witnessing demand from customers across categories and products. M-Now has since expanded into metros like Mumbai and Delhi. Also read | Flipkart Group-owned Myntra rejigs commission to drive low-ticket sales Currently live in Bengaluru, Mumbai, and Delhi—with pilots underway in other cities— M-Now's daily orders doubled last quarter. Key spikes include a four-time jump on the first day of the End of Reason Sale, and a 4.5x surge in orders alongside a 5x increase in new customers around Valentine's Day, according to a top company executive. On Mother's Day, beauty and personal care saw a 1.4X spike, led by gifting. 'Emerging consumption trends include dressing up, grooming, home décor, and gifting," said Sharon Pais, chief business officer, Myntra in an emailed response to Mint. 'With a rich M-Now assortment featuring 600 brands,premium brands that are witnessing strong traction include MANGO, L'Oréal, Maybelline, Fossil, Calvin Klein, and Hidesign." Fashion fast delivery pioneer Over the past few years, Myntra has pioneered fast deliveries in fashion and lifestyle through M-Express, enabling 24 to 48-hour fulfilment, said Pais. Today, nearly 50% of Myntra orders are delivered within 48 hours across 600+ cities, reflecting growing consumer preference for speed-led access to premium fashion, beauty, and lifestyle, he said. Quick commerce is still dominated by sales of daily essentials such as milk, eggs, bread, fruits, and vegetables. Growth is primarily led by grocery, beauty, general merchandise, and small-ticket electronics, while traction for fashion, appliances, and furniture remains limited. And demand is largely limited to large metro cities. Queries emailed to Zepto and Instamart, India's two largest quick-commerce platforms, remained unanswered. Also read | Reliance Retail's AJIO launches D2C-focused interactive e-com platform AJIOGRAM Analysts said the move makes little commercial sense and that heightened competition is why companies are willing to tweak their business models to adapt to this change in consumer behaviour. 'At the end of the day, if consumers are willing to pay for it and companies are willing to fund this (by cash burn), then there will always be demand even if not urgent," said Harminder Sahni, managing director and partner at consulting firm Wazir Advisors. 'However, it doesn't add up or make commercial sense bringing more products on a quick service platform." Sahni said the labour arbitrage or low-cost labour in India enables newer players to enter the market and offer such services. Experiment in faster deliveries Still, Ethnic fashion retailer Libas has also rolled out its own small dark stores as an experiment to ramp up faster deliveries. It recently launched a campaign with Zepto to roll out a select range of clothing such as kurtas and leggings pan-India. "We're scaling that up. It's about cracking what products are required," said Sidhant Keshwani, founder and CEO, Libas. A few years ago, two-day delivery was the norm, but today it is seen as a curse, highlighting the consumer shift underway, he said. Also read | Ajio accounts for 25% of Reliance Retail's apparel biz 'We're setting up our own dark stores, and are pushing and convincing all the (quick commerce) partners to pick up stock from our dark stores," Keshwani said. 'We have convinced Myntra, and our pilot went live in June. Before Diwali, we are planning to set up 20 such dark stores in Delhi, Mumbai, Bengaluru." However, the rollout will not come without its challenges, he said, especially given the inventory churn retailers typically experience each season. The retailer, according to Keshwani, is being selective with inventory and opening dark stores in high-transaction areas like Delhi's Dilshad Garden.
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Business Standard
3 days ago
- Business
- Business Standard
Sensex jumps 400 pts, Nifty above 25,000; ICICI Bank, HDFC Bank lead gains
Stock market today: The Indian stock market started the week on a robust tone on Monday, July 21, banking sector giants -- HDFC Bank and ICICI Bank -- announced healthy earnings for the first quarter of the financial year 2025-2026 (Q1FY26) over the weekend. At 11:42 AM, Sensex was up by 337 points or 0.41 per cent, quoting at 82,095. The index hit an intra-day high of 82,161.55, up by 403 points. Whereas, Nifty was trading above the key psychological 25,000 level, up by 50 points or 0.20 per cent. The index hit an intra-day high of 25,079.50. From the Sensex pack, Eternal (Zomato), ICICI Bank, HDFC Bank, UltraTech Cement and Kotak Mahindra Bank were among the top gainers. On the flip side, Reliance, Hindustan Unilever, HCL Tech, TCS and Axis Bank were among the top laggards. Broader markets signalled mixed trends. The Nifty midcap 100 was trading at 59,307, up by 0.34 per cent. However, the Nifty smallcap index struggled to trade in the green territory, down by 0.19 per cent, quoting 18,924. Sectorally, Nifty Bank was among the top-performing indices, up by 0.74 per cent and trading at 56,700. Nifty Metal also showcased strength and was trading at 9,556, up by 1.04 per cent. On the other hand, Nifty PSU Bank was among the worst-performing indices, down by 0.66 per cent, quoting 7,115. Nifty IT followed suit and declined by 0.45 per cent, trading at 36,973. Sector Play After experiencing subdued investor interest last week, banking stocks came out on top once again as sector giants reported their earnings for the quarter. Despite reporting a slight decline in the consolidated net profit figure to ₹16,258 crore in Q1FY26, analysts are upbeat on HDFC Bank's outlook. Meanwhile, ICICI Bank's profit after tax (PAT) for the quarter under review stood at ₹12,768 crore, up by 15.5 per cent year-on-year (Y-o-Y). HDFC shares were trading at ₹1,989.50, up by 1.64 per cent on the National Stock Exchange, at the time of writing this report. ICICI Bank shares followed a similar trend and were trading at ₹1,457.6, up by 2.23 per cent. However, shares of the Mukesh Ambani-owned conglomerate, Reliance Industries (RIL) failed to impress D-street investors despite a 78.3 Y-o-Y rise in net profit. The overall results for Q1FY26 came-in below D-street expectations, which eventually pushed the shares of the company in the red territory, down by 2.5 per cent. "Weekend Q1 results were good with ICICI Bank reporting the best numbers, particularly in PAT and credit growth. HDFC Bank also reported steady set of numbers. In the banking results, so far, Axis Bank's numbers are the most disappointing. Flow of institutional funds from some banks to ICICI Bank is a possibility, going forward," said VK Vijayakumar, chief investment strategist at Geojit Investments. FPIs on selling spree That said, the upside in the markets remain capped amid sticky sell-off by foreign investors. After three consecutive months of buying, foreign portfolio investors (FPIs) became net sellers in the Indian stock market in July 2025. Last week, the pace of selling was accelerated as FPIs sold equities worth ₹10,775 crores in the Indian stock market, as per data from NSDL. Interestingly, FPIs remained buyers in the primary market. "The important take away from this dualistic behaviour of the FPIs is that whenever valuations get stretched in the secondary market, they sell but consistently buy in the primary market (QIP), where valuations are fair. So long as valuations remain elevated this trend will continue," Vijaykumar said. That apart, India's underperformance as compared to other emerging markets might have contributed to the selling spree, according to D-street analysts.
Mint
3 days ago
- Business
- Mint
Reliance vs Jio Financial Services: Which Mukesh Ambani-owned share is better placed on tech chart after Q1 results?
Reliance vs Jio Financial Services: Last week, Mukesh Ambani-owned Reliance Industries Ltd (RIL) and Jio Financial Services Ltd (JFSL) reported their Q1 2025 results, and hence, both Mukesh Ambani-owned stocks are expected to remain in focus on Monday. While Jio Financial Services reported strong Q1 2025 results, Reliance missed its O2C earnings. However, RIL has given strong guidance post-Q1 results. According to stock market experts, Reliance shares and Jio Financial share prices will remain under the lens of both bulls and bears after their respective Q1 results were declared on the weekend. They said that fundamentally, both stocks are good for long-term investors, but for short-term investors, the RIL share price may trump the Jio Financial share price rally. On what the technical chart suggests about these Mukesh Ambani-owned stocks, Anshul Jain, Head of Research at Lakshmishree Investment, said, 'Jio Financial is currently trading within a key resistance zone of ₹ 324 to ₹ 347. Despite strong overhead pressure, the stock isn't backing down — instead, it's showing signs of bullish accumulation. Volume is steadily declining, which often precedes a breakout after consolidation. That said, price action suggests a range-bound phase could continue for the next 8–10 weeks.' 'Reliance share price, on the other hand, has clearly rejected the resistance zone around ₹ 2,532. With no strong buying interest at these levels, the stock is likely heading to test major liquidity between ₹ 2,414 to ₹ 2,392. This makes RIL share price a more attractive buy on dips bet, especially as it approaches that demand zone,' Anshul Jain said. Reviewing the RIL Q1 results for the first quarter of the current fiscal, Sabri Hazarika, Senior Research Analyst at Emkay Global Financial Services, said, 'RIL saw a 5%/7% consol EBITDA/APAT miss in Q1FY26 at Rs429/181bn, resp. This is due to 6%/5% lower than expected O2C/retail EBITDA, while Jio and Upstream EBITDA came at a 2% beat each. O2C was mainly hit by turnaround activity, while retail saw seasonal impact on electronics with overall revenue/EBITDA up 11%/13% YoY, albeit on a low base. Jio subs addition was better at 9.9mn, while ARPU grew 1% to Rs208.8. Net debt was stable QoQ at Rs1.18trn, and capex stood at Rs299bn. Against the weak results, the mgmt gave a healthy outlook, with O2C supported by refinery closures in the West, Retail and Jio likely to accelerate (to achieve 2x EBITDA in 4-5Y across the group), and the new energy ecosystem to fully operationalize in 4-6 quarters with partnerships, and a self-funded model in a few years. We factor in a tariff hike in Jio for Q3FY26E and raise O2C earnings, building in higher GRM. We raise FY26/27E EPS by 4/7% and TP by 10% to Rs1,600, with some expansion in the target multiple of Other segments/New Energy. The stock performance has been strong in the last 3M; we retain BUY, albeit seek better entry points.' Speaking on the Jio Financial Services Q1 results 2025, Seema Srivastava, Senior Research Analyst at SMC Global Securities, said, 'Jio Financial Services Limited (JFSL) delivered a strong performance in Q1 FY26, with consolidated total income rising 48% YoY to ₹ 619 crore, driven by robust growth across its diversified business segments. Notably, Net Income from Business surged nearly 4x YoY to ₹ 219 crore, contributing about 40% of total net income, reflecting improved core operating efficiency. The company's Profit After Tax stood at ₹ 325 crore, growing 4% YoY, while Pre-Provisioning Operating Profit rose 8% YoY to ₹ 366 crore, indicating disciplined cost management. The standout performer was Jio Credit Limited (JCL), whose AUM skyrocketed to ₹ 11,665 crore from just ₹ 217 crore a year ago, aided by a credit-conscious approach and successful market borrowings at competitive rates.' Disclaimer: The views and recommendations made above are those of individual analysts or brokerage companies and not of Mint. We advise investors to check with certified experts before making any investment decisions.
Time of India
5 days ago
- Business
- Time of India
Reliance Jio Q1FY26 net profit up nearly 25% on year
Mumbai: Jio Platforms Ltd (JPL), which houses Reliance Industries' telecom and digital businesses, posted a nearly 25% year-on-year rise in fiscal first quarter net profit, boosted by continued addition of data users. JPL's consolidated net profit stood at ₹7,110 in the June quarter from ₹5,698 crore a year earlier, and ₹7,022 crore crore in the previous three months, the Mukesh Ambani-owned company said in a statement Friday. 'I am happy to share that Jio has scaled newer heights during the quarter including crossing 200 million 5G subscribers and 20 million home connections. Jio AirFiber is now the largest FWA (fixed wireless access) service provider in the world, with a base of 7.4 million subscribers,' said Mukesh Ambani , chairman and managing director, Reliance Industries, the parent of JPL. During the quarter, Jio reached 20 million connected premises with fixed broadband, up from 17.4 million in the preceding quarter. Its FWA subscriber base touched 7.4 million - the largest number of any global telecom operator. This was driven by its self-developed multi-point UBR technology which enables multiple home connections through a single 5G cell site, bringing down deployment costs. The company also fulfilled its target of 1 million home connections in a quarter - for the first time - during Q1FY26, it said. The telco has set a target of connecting 100 million homes across the country. Jio's average revenue per user (ARPU) rose 1.3% sequentially to ₹208.8 from ₹206.2 in FY4Q25, with the strong addition of FWA users and the residual impact of last July's tariff hikes. Mukesh Ambani-owned Jio reported a 19% on-year growth in revenue from operations at ₹35,032 crore for the just-ended quarter, reflecting continued data usage and ramp-up of 5G-based FWA services. Revenue in the fiscal fourth quarter was ₹33,986 crore. Reliance Jio Infocomm, the telecom unit under JPL, reported an over 23% on-year growth in net profit for the June quarter at ₹6711 crore, on revenue from operations of ₹30,882, up nearly 17% on year. This compares with revenue of ₹30,354 crore in FYQ425. Jio Infocomm, the country's top telecom operator, comprises the bulk of JPL's operations. During the three-month period, Jio gained 9.9 million users, boosting its overall base to 498.1 million, as the telco continued to gain users mainly from Vodafone Idea and state-run Bharat Sanchar Nigam Ltd. (BSNL). The company had taken the lead in raising tariffs by 12-25% for most of its users with the aim of shoring up ARPU due to the lack of monetisation of 5G services so far where the company has made large investments in buying airwaves and rolling out a pan-India 5G network. It ended the quarter with 212 million 5G subscribers (versus 191 million in January-March). 'Jio continues to create unparalleled technology infrastructure and is extending its leadership in 5G and fixed broadband. This will be pivotal in driving AI adoption in the country,' said Akash Ambani, chairman, Reliance Jio. JPL's FY1Q earnings before interest, tax, depreciation and amortisation (Ebitda) margin expanded to 518% sequentially from 50.1% in the fiscal fourth quarter and 49.7% a year ago. Per capita data consumption grew to 37 GB per month at June end, from 33.6 GB per month at March-end, due to an expansion of Jio's 5G services and increased consumption by fibre-to-home users. Total wireless data consumption rose to 54.7 billion GB from 48.8 billion GB in the preceding quarter, while voice consumption remained flat at 1.49 trillion minutes.
Economic Times
5 days ago
- Business
- Economic Times
Jio Platforms Q1 profit rises 25% to Rs 7,110 crore as 5G, broadband user base grows
Jio Platforms Ltd (JPL), which houses Reliance Industries' telecom and digital businesses, posted a nearly 25% year-on-year rise in fiscal first quarter net profit, boosted by continued addition of data users. ADVERTISEMENT JPL's consolidated net profit stood at Rs 7,110 in the June quarter, up from Rs 5,698 crore a year earlier, and Rs 7,022 crore crore in the previous three months, the Mukesh Ambani-owned company said in a statement Friday. 'I am happy to share that Jio has scaled newer heights during the quarter including crossing 200 million 5G subscribers and 20 million home connections. Jio AirFiber is now the largest FWA (fixed wireless access) service provider in the world, with a base of 7.4 million subscribers,' said Mukesh Ambani, chairman and managing director, Reliance Industries, the parent of JPL. During the quarter, Jio reached 20 million connected premises with fixed broadband, up from 17.4 million in the preceding quarter. Its FWA subscriber base touched 7.4 million - the largest number of any global telecom operator. This was driven by its self-developed multi-point UBR technology which enables multiple home connections through a single 5G cell site, bringing down deployment costs. The company also fulfilled its target of 1 million home connections in a quarter - for the first time - during Q1FY26, it said. The telco has set a target of connecting 100 million homes across the average revenue per user (ARPU) rose 1.3% sequentially to Rs 208.8 from Rs 206.2 in FY4Q25, with the strong addition of FWA users and the residual impact of last July's tariff Ambani-owned Jio reported a 19% on-year growth in revenue from operations at Rs 35,032 crore for the just-ended quarter, reflecting continued data usage and ramp-up of 5G-based FWA services. Revenue in the fiscal fourth quarter was Rs 33,986 crore. ADVERTISEMENT Reliance Jio Infocomm, the telecom unit under JPL, reported an over 23% on-year growth in net profit for the June quarter at Rs 6711 crore, on revenue from operations of Rs 30,882, up nearly 17% on year. This compares with revenue of Rs 30,354 crore in Infocomm, the country's top telecom operator, comprises the bulk of JPL's operations. ADVERTISEMENT During the three-month period, Jio gained 9.9 million users, boosting its overall base to 498.1 million, as the telco continued to gain users mainly from Vodafone Idea and state-run Bharat Sanchar Nigam Ltd. (BSNL).The company had taken the lead in raising tariffs by 12-25% for most of its users with the aim of shoring up ARPU due to the lack of monetisation of 5G services so far where the company has made large investments in buying airwaves and rolling out a pan-India 5G network. ADVERTISEMENT It ended the quarter with 212 million 5G subscribers (versus 191 million in January-March).'Jio continues to create unparalleled technology infrastructure and is extending its leadership in 5G and fixed ADVERTISEMENT broadband. This will be pivotal in driving AI adoption in the country,' said Akash Ambani, chairman, Reliance FY1Q earnings before interest, tax, depreciation and amortisation (Ebitda) margin expanded to 518% sequentially from 50.1% in the fiscal fourth quarter and 49.7% a year capita data consumption grew to 37 GB per month at June end, from 33.6 GB per month at March-end, due to an expansion of Jio's 5G services and increased consumption by fibre-to-home users. Total wireless data consumption rose to 54.7 billion GB from 48.8 billion GB in the preceding quarter, while voice consumption remained flat at 1.49 trillion minutes. (You can now subscribe to our ETMarkets WhatsApp channel)
