S&P maintains 'A-' rating on Reliance, backed by Jio listing

S&P Global Ratings has reaffirmed its investment-grade 'A-' credit rating on Reliance Industries Ltd, attributing the decision to the conglomerate's resilient earnings trajectory and enhanced funding capacity from the recent public listing of Jio Platforms Limited. The rating agency maintained a stable outlook on the ratings, signalling confidence in the company's medium-term credit profile.

The rating agency expects Reliance to sustain above-industry growth in its digital services segment while generating adequate cash flows to support elevated capital expenditure and strategic investments in emerging sectors. The company is positioned to invest in artificial intelligence-related infrastructure, data centres, and renewable energy initiatives without straining its balance sheet.

S&P projects Reliance's consolidated EBITDA to expand between 19-23 per cent to reach Rs 2.15 lakh crore to Rs 2.25 lakh crore by the financial year ending March 2027. The rating agency expects the energy-related and digital services businesses to contribute nearly 45 per cent each to group EBITDA, with the oil-to-chemicals division playing a key stabilising role in the earnings mix.

The affirmation underscores investor confidence in Reliance's diversified business model and its ability to navigate the energy transition while scaling its digital and new-energy ventures. The company's strong market position across hydrocarbon, petrochemical, and digital platforms provides multiple growth avenues and earnings stability.