Reliance O2C earnings reached a quarterly record in the three months through September 2026, as tighter fuel supplies and stronger refining margins helped the company’s oil-to-chemicals business offset higher procurement and transport costs.

Key Takeaways

  • Segment EBITDA rose 67.9% year over year to ₹25,203 crore.
  • Reliance attributed the increase to strong transportation fuel cracks and improved chemical margins.
  • The company sourced crude from several regions as disruption affected supplies through the Strait of Hormuz.

Reliance O2C earnings and revenue

Revenue at the oil-to-chemicals business rose 44.2% from a year earlier to ₹2.32 lakh crore in Reliance Industries’ fiscal second quarter. The company attributed the increase primarily to higher crude and product prices.

Crude prices rose 40.6% year over year, transportation fuel prices increased 50%–78%, and prices of most downstream chemical products gained 25%–35%, Reliance said.

The company’s oil-to-chemicals portfolio includes transportation fuels, polymers, elastomers, intermediates and polyesters. Its refining and petrochemical operations are integrated across sites.

Fuel margins and higher costs

Reliance said transportation fuel cracks—the difference between refined fuel prices and the cost of the crude used to produce them—rose to three to 3.7 times their year-earlier levels. Disruptions through the Strait of Hormuz, refinery outages in the Middle East and Russia, and lower inventories tightened global fuel availability.

The earnings benefit was tempered by higher crude premiums and freight rates, costs associated with the special additional excise duty, and under-recoveries in domestic fuel retailing, the company said.

Crude sourcing and group results

Reliance said it achieved record crude runs by sourcing oil from the affected region and other markets, including Latin America, North America and the Mediterranean. It said the approach helped limit the impact of wider Arab Gulf crude differentials and a 15- to 20-fold surge in freight rates.

For Reliance as a whole, consolidated revenue rose 27.8% year over year to a record ₹3.62 lakh crore, while consolidated EBITDA increased 23.9% to ₹62,409 crore.

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