Reliance Retail, with its leading number of stores and growing online platforms, investments throughout the buying and selling process, and history of successful execution, is well positioned to be at the forefront of the industry in the next decade, the company said in its annual report.
The company’s revenue has increased by 30.4 percent compared to last year and EBITDA has gone up by 44.7 percent in the same period. This growth was driven by an increase in sales across different product categories.
The company said that the spending habits of people in India are set to keep increasing due to many long-lasting factors. These include a young population, rising average income, growing aspirations fuelled by cheap internet access, and better access to both physical stores and online shopping in rural areas. This means more people can buy branded items, bridging the gap between city and countryside consumers.
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The business saw strong growth in same-store sales, thanks to more customers visiting and buying from the stores. With a focus on expanding the network of stores, the business increased its presence across different product categories. This year, the company opened more than 3,300 new stores, representing an extraordinary increase in the size of the retail business. They added 25 million square feet of store area, which is more than a 50 percent increase from last year.
Investing in improving the supply chain infrastructure remained a key goal. The aim was to expand warehousing and delivery capabilities, and during the year, they added 12.6 million square feet of warehouse space.
New retail formats, digital technologies, more people moving to cities, and easier access to money for spending are changing the way people buy things. As average incomes cross the important $2,000-mark, people will likely spend more on non-essential items, the company added.
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