Jio Platforms, the digital services arm of Reliance Industries, has delivered a robust performance in the July-September quarter, posting a 12.8% year-on-year rise in net profit to ₹7,375 crore. This impressive growth, coupled with a 14.6% increase in revenue from operations to ₹36,332 crore, comes at a crucial time as the company gears up for its highly anticipated stock market debut by the first half of 2026. The steady gains reflect a strategic push towards higher-value customers, burgeoning demand for home broadband, and an expanding subscriber base, setting a strong foundation for its upcoming Initial Public Offering (IPO).
The impressive Q2 results were primarily driven by several key factors. Jio's average revenue per user (ARPU) saw a sequential rise of 1.2% to ₹211.4, propelled by increased customer engagement and higher data consumption, even amidst promotional 5G offers. The company's steadfast focus on premiumization, including the recent removal of entry-level 1 GB plans from online recharge portals, underscores its strategy to boost profitability ahead of the IPO. Furthermore, the telecom giant expanded its subscriber base to 506.4 million, adding 8.3 million new users during the quarter, with 5G subscribers reaching 234 million and accounting for 50% of its total wireless traffic.
Looking ahead, Jio Platforms is not just focusing on telecommunications but also aggressively expanding its digital ecosystem. The company aims to upgrade approximately 215 million 2G users to 4G, further enhancing its ARPU. Its fixed broadband footprint is rapidly growing, adding over 1 million new homes each month and boasting 9.5 million JioAirFiber subscribers, solidifying its global leadership in this segment. Beyond connectivity, Jio is venturing into innovative digital products like Jio PC, which transforms televisions into AI-enabled computers, and Jio Frame, smart glasses with a multilingual AI voice assistant. These strategic initiatives, coupled with expected tariff rationalizations, are poised to bolster profitability and ensure a compelling valuation for investors as Jio Platforms prepares for its transformative IPO.
