Reliance Industries, Jio Platforms Q2 Results: 2 Key Stocks in Focus on November 2 After Strong Earnings Performance

Reliance-industries-ltd-100325">Reliance Industries Ltd (RIL) and Jio Platforms Ltd (JPL) are likely to remain in focus on Monday, November 2, as investors assess their Q2 FY27 financial results. Both companies reported growth in revenue and profitability, although their respective business performances reflected different growth drivers. The market reaction will provide an indication of how investors are evaluating the latest quarterly performance of the two companies.

The results mark an important milestone for Jio Platforms, which recently completed its initial public offering (IPO) and became the second-largest listed entity in the Reliance Group by market capitalisation, after Reliance Industries.

Reliance Industries reported a record consolidated profit after Tax (PAT) of Rs 29,550 crore for the July-September quarter (Q2 FY27), registering a 33.8 per cent increase compared to Rs 22,092 crore in the corresponding quarter of the previous financial year. Revenue increased 27.8 per cent year-on-year (YoY) to Rs 3,62,268 crore, while EBITDA rose 23.9 per cent to a record Rs 62,409 crore.

The strong performance was primarily driven by a recovery in the oil-to-chemicals (O2C) business. O2C EBITDA surged 67.9 per cent YoY to Rs 25,203 crore, supported by higher global fuel margins and improved petrochemical spreads. Revenue from the segment increased 44.2 per cent to Rs 2,31,601 crore. Supply disruptions in West Asia and other regions contributed to higher transportation fuel cracks, supporting the segment's profitability.

Digital services also contributed to Reliance Industries' overall earnings performance. However, the retail business remained a relative weak spot during the quarter. Reliance Retail Ventures reported a 24.3 per cent decline in PAT to Rs 2,611 crore, despite a 6.4 per cent increase in revenue to Rs 91,716 crore. Its EBITDA, before a one-time impairment charge, declined 8.6 per cent to Rs 6,228 crore.

Commenting on the results, Chairman Mukesh Ambani said the company's businesses delivered a strong performance despite volatile commodity markets and geopolitical tensions. He highlighted the strong performance of the O2C business, supported by tight fuel markets, improved downstream petrochemical margins and firm domestic demand.

Meanwhile, Jio Platforms reported an 11.3 per cent YoY increase in revenue to Rs 47,485 crore for Q2 FY27. EBITDA increased 16.6 per cent to Rs 21,879 crore, while its EBITDA margin expanded by 250 basis points to 54.1 per cent. Profit after tax rose 13.7 per cent YoY to Rs 8,387 crore.

The company's average revenue per user (ARPU) increased to Rs 218.8 per month from Rs 211.4 in the corresponding quarter last year. Jio Platforms' subscriber base reached 542.4 million, including 300 million 5G users. Additionally, its fixed broadband connections crossed 30 million homes, highlighting continued expansion in its digital connectivity business.

The Quarterly Results come three days after Jio Platforms completed its Rs 30,188-crore IPO. The shares made a strong market debut, listing at a 26.7 per cent premium to the issue price. Following the listing, the company's market capitalisation stood at around Rs 13.1 lakh crore, making it the second-most valuable listed company in the Reliance Group after Reliance Industries.

Chairman Mukesh Ambani described Jio Platforms' listing as a historic moment in Reliance's value-creation journey and highlighted the strong investor response to the IPO, which was subscribed more than 22 times.

With both companies reporting growth in their Q2 FY27 financial performance, investors will track their respective share price movements on November 2. For Reliance Industries, the recovery in the O2C business, alongside the performance of its retail and digital services segments, will remain key factors to watch. For Jio Platforms, revenue growth, improving ARPU, subscriber additions and expansion in 5G and fixed broadband services will be among the important parameters influencing investor sentiment.

Disclaimer: The article is for informational purposes only and not investment advice.