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Reliance Infra's Stock Soars 144% Amidst Defense Partnerships and Record Profits

Reliance Infra's Stock Soars 144% Amidst Defense Partnerships and Record Profits

Reliance Infrastructure Limited (Reliance Infra), Anil Ambani's company which once struggled financially, has made a remarkable comeback in the stock market. Its shares have delivered a 144% return in a year, enriching investors.

Business: Once engulfed in financial distress, Anil Ambani's Reliance Infrastructure Limited (Reliance Infra) has staged a spectacular comeback in the stock market, dramatically improving investor fortunes. Those who showed faith in the company's shares are now counting themselves lucky. The company's stock has not only regained its former trust but also set new milestones, signaling its triumphant return to the stock market.

Shares Set New Record

Reliance Infra's share price surged from ₹155 to ₹380.50 in the last year. On Wednesday, it saw an 11.27% increase, reaching a yearly high of ₹385.90.

  • 1-year return: 144%
  • 6-month return: 28%
  • 3-month return: 84%
  • 1-month return: 51%
  • 1-week return: 23%

Significant Surge in Company Profits

In the March 2025 quarter, the company reported a net profit of ₹4,387 crore, compared to a loss of ₹3,298 crore in the previous quarter. This reversal reflects renewed investor confidence. Rheinmetall AG is a world-renowned defense company specializing in combat equipment, ammunition, and advanced technology.

Under this partnership, both companies will jointly manufacture and supply defense products in India, further bolstering the 'Make in India' initiative. Previously, Reliance Defense also signed agreements with France's Dassault Aviation and Thales Group, both specializing in fighter jets like the Rafale and advanced defense technology.

These partnerships will not only provide Reliance Defense with technological advantages but also create new employment and investment opportunities in India's defense manufacturing sector. Furthermore, it will boost investor confidence, which could positively impact the share value.

Strong Entry into the Defense Sector: Boosting 'Make in India'

Reliance Infra's subsidiary, Reliance Defense, is strengthening its position in the defense sector. Its partnership with Germany's leading defense company, Rheinmetall AG, will promote defense production in India. This collaboration will particularly focus on the manufacturing of combat equipment, ammunition, and advanced technology.

In addition, Reliance Defense has already established agreements with France's Dassault Aviation and Thales Group, giants in the Rafale jet and modern defense technology sectors. These alliances will provide Reliance Defense with significant technological, strategic, and global strength.

Anticipation of Large Orders in the Future

The prospect of securing defense orders worth ₹10,000 crore is attracting significant investor interest in the company's shares. Reliance Infra's performance demonstrates how a struggling company can make a remarkable comeback through strategic changes and technological advancements. If the company's defense deals progress, further share price appreciation cannot be ruled out.

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