One stock, three engines
Reliance Industries stopped being an oil stock years ago. Consolidated revenue crossed 10 lakh crore in FY24, spread across oil to chemicals, digital services and retail, and the consumer businesses now approach half of EBITDA. The investment question has shifted accordingly: not whether refining margins are firm this quarter, but how the three engines fund one another and how the market prices the combination. ThongMax tracks all three segments on a single page, which is the sensible way to watch this company.
O2C, the cash engine
The oil to chemicals segment converts crude into transport fuels and petrochemicals at Jamnagar, the largest single site refining complex in the world at roughly 1.24 million barrels per day. O2C threw off the cash that carried Jio and retail through their loss years, but it remains cyclical: downstream margins swing with global demand, and quarterly EBITDA can move thousands of crores on factors outside management control. Read the segment as a cash generator with a floor under it from domestic fuel demand, not as a growth story. Its remittances to the parent are what keep group capex honest.
Jio and the ARPU path toward 250
Jio launched in September 2016 with free voice and cut price data, rewired Indian telecom, and now serves roughly 480 million subscribers. The financial story since has been average revenue per user: ARPU crossed 200 in the June 2025 quarter, up from about 182 a year earlier after the July 2024 tariff repair. Analysts see a path toward 250 as tariffs normalize and users migrate to 5G plans, and each 10 rupees of ARPU flows through at close to full margin given the operating leverage in the network. Telecom is now the group's highest margin engine, running EBITDA margins near half.
JioMart and retail scale
Reliance Retail posted about 3.1 lakh crore of revenue in FY24 across more than 18,000 stores, making it India's largest retailer by a wide distance. JioMart, launched in 2019, extends that store network online, and the newer quick commerce push into ten to fifteen minute delivery attacks the one format where Reliance lacked an answer. Segment economics remain thin next to telecom, but the asset base, physical stores in every plausible catchment, is close to impossible to replicate. The strategic prize is distribution that consumer brands now must pay to access.
The revenue mix shift since 2016
In fiscal 2016, the year before Jio launched, refining and petrochemicals dominated revenue and profit alike. By FY24, digital services and retail together approached half of consolidated EBITDA, and the trend has continued each year in the direction that matters. That mix shift is the core of the bull case: cyclical cash flow is being converted into consumer annuities with pricing power. Jio Financial Services, demerged and listed separately in August 2023, extends the same playbook into lending and payments using the customer base as distribution.
The conglomerate discount debate
Sell side sum of the parts models routinely value the group 10 to 20 percent above the traded price, the classic conglomerate discount, and the argument is about why. One camp holds that the discount is information: refining cyclicality, telecom capex intensity and regulatory exposure deserve a haircut. The other camp holds that it is structural, and that listing each engine separately would close it, the Jio Financial template applied to telecom or retail. The practical read on ThongMax is to track the three engines on their own metrics each quarter, O2C margins, ARPU and retail revenue growth, rather than the consolidated headline. The gap between the parts and the price is the trade, and the quarterly prints decide which way it moves.