Mukesh Ambani, Isha Ambani’s BIG decision, merges this company with…, to streamline operations before…

Mukesh Ambani, Isha Ambani are always working on a better plan to take Reliance Retail forward, now they have come up with a new one.

Reliance Retail arm Reliance Brands will be merging its operations with its parent company prior to its preparations for a potential listing. This is mainly done to streamline operations, eliminate redundancies, and improve efficiency in its retail business, reported by Economic Times.

This initiative is part of a broader strategy to bring efficiency in the retail business, which was going through a consolidation process after multiple points of sale over less consumer demand.

What Is Reliance Brands?

Reliance Brands was established in 2007 as a different division within Reliance Retail. The restructuring is to unify overlapping functions like property management, operations, and back-end teams under one umbrella. This will reduce duplication and streamline organization.

Reliance Brands has partnered more than 85 global luxury and lifestyle brands like Burberry, Bottega Veneta, Tiffany & Co., and Pret A Manger, among others. It has played a big role for Reliance Retail to develop it as a fashion and global brand distribution in India.

Reliance Retail Performance

In FY25, Reliance Retail closed 2,155 stores in FY25 which was double than a year ago. They had 77.4 million sq ft of retail space as of March-end and recorded an 8% increase in net revenue to 2,90,979 crore in FY25 with net profit of 12,392 crore which was higher by 12%.

But Reliance Brands had sales of 2,684 crore it also had growth of 12% but net losses widened to crore in FY24.

For Reliance Industries, the retail segment contributes 15% of its earnings before interest, taxes, depreciation, and amortisation (EBITDA) compared with 10% four years ago.