The FMCG business is housed under Reliance Consumer Products Ltd (RCPL), a subsidiary of Reliance Industries. RCPL executive director Ketan Mody told analysts that while the company’s immediate focus remains on gaining market share, the business has already broken even at the earnings before interest, taxes, depreciation and amortisation (EBITDA) level.
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“The EBITDA will improve as we scale and all the supply chain is kind of put across. Right now, the focus is more on (gaining) market share,’” Mody said while addressing analyst queries on Friday after Reliance announced its first quarter results.
RCPL, which owns brands such as Campa Cola, posted a net loss of Rs 125 crore during the four months ended March 2026—the first reporting period after its demerger in December. Gross revenue more than doubled to Rs 8,600 crore in the June quarter, although the company did not disclose EBITDA or net profit for the period.
“The target continues to grow leadership in all categories as we have announced the long-term target is to make this business Rs 1,00,000 crore in FY 2030. We continue to build on capacities, working to gain leadership,” said Mody. RCPL is investing Rs 30,000 crore to build supply chain and manufacturing infrastructure, with Rs 10,000 crore already invested.
Separately, Reliance Retail chief financial officer Dinesh Taluja said the company will continue expanding its network of dark stores over the next 9-12 months to deepen market penetration, while maintaining a disciplined approach to investments. He said the expansion will not require significant capital expenditure as most dark stores will be housed within existing brick-and-mortar outlets.Taluja said Reliance Retail will be “disciplined” in its dark store expansion. “We are taking a view on which markets make sense, where there’s enough demand, markets are ready. Where our assumptions on the profitability don’t hold up, we will scale back from those markets,” he said.
A relatively late entrant to e-commerce, Reliance has reported over 100% growth in order volumes for the past three to four quarters. Taluja said the rising contribution of online channels would accelerate overall revenue growth even as investments in e-commerce and quick commerce continue to weigh on margins in the near term.
As of last quarter, online accounted for over 13% of grocery sales and 27% for apparel and footwear sales.
Taluja said while the e-commerce and quick commerce business investments are reflecting short-term pressure on margins, it will double the absolute EBITDA number for retail business in three years. Reliance Retail reported a contraction in EBITDA margins for the third consecutive quarter due to the higher contribution of e-commerce in revenue and associated infrastructure investments increasing fixed cost.
“In today’s world, we don’t need to necessarily set up a lot of stores everywhere to serve the customer. We can have a few stores and then supply to customers at their home. Revenue growth will come, and as scale comes up, operating leverage will come. That should lead to incremental positive EBITDA,” said Taluja. He said while setting up brick-and-mortar stores takes time, the online business can be scaled up much faster.