S&P Global Ratings has upgraded Reliance Industries Ltd. from ‘BBB+’ to ‘A‑’, citing the company’s improving cash flows and strong earnings from its consumer-facing businesses. The rating on Reliance’s senior unsecured debt has also been raised to ‘A‑’, with the outlook kept stable, signaling confidence in the company’s financial stability over the next one to two years.
The upgrade comes as Reliance continues to diversify beyond oil and gas. Its digital services arm, Reliance Jio, and retail business are now contributing significantly to overall cash flow, making earnings more predictable. For the fiscal year 2026, S&P expects consumer and digital businesses to generate nearly 60% of Reliance’s operating cash flow.
Reliance Jio’s telecom segment remains a key profit driver, with projected growth in subscriber base and average revenue per user as more customers adopt higher-priced data plans. The company’s strong cash flow, even with ongoing capital expenditure and investments in renewable energy, supports its financial resilience and long-term expansion plans.
Analysts say the upgrade reflects S&P’s confidence in Reliance’s strategic shift from a traditional oil-and-gas company to a diversified conglomerate with robust digital and retail operations. The improved rating may help Reliance secure lower-cost financing for future projects while enhancing investor confidence.
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