The oil-to-telecom giant reported a 58.2 per cent growth in its consolidated revenues to Rs 1.44 lakh crore, which was slightly below Street’s estimates.
MUMBAI: Reliance Industries today reported a 7.3 per cent year-on-year fall in consolidated net profit to Rs 12,273 crore for the quarter ended June, which was above analysts’ expectations.
The oil-to-telecom giant reported a 58.2 per cent growth in its consolidated revenues to Rs 1.44 lakh crore, which was slightly below Street’s estimates.
RIL’s consolidated earnings before interest, tax, depreciation and amortization for the quarter was up 27.6 per cent year-on-year at Rs 27,550 crore, a record quarterly performance.
“I am happy that our company has delivered robust growth despite facing a highly challenging operating environment caused by the second wave of the Covid pandemic. The results clearly demonstrate the resilience of Reliance’s diversified portfolio of businesses that cater to large parts of the consumption basket,” said chairman and managing director Mukesh Ambani in an earnings filing to the bourses.
While the year-on-year performance of the company was firm, the sequential performance suffered due to the second wave of Covid-19 infections in the country. RIL’s consolidated revenues slumped 7 per cent on-quarter, while its net profit also fell 7 per cent.
Jio Platforms posts steady quarter The telecom operations of RIL saw a steady quarter as net profit of the vertical rose 4 per cent sequentially to Rs 3,651 crore. The revenue from operations also posted a near 4 per cent on-quarter growth to Rs 18,952 crore aided by net addition of around 14 million new subscribers.
The operating profit rose 3.7 per cent on-quarter to Rs 8,892 crore, while margins remained flat at 46.9 per cent. The ARPU performance was also muted as it came in flat on-quarter at Rs 138.4.
Reliance Retail shows signs of recovery Reliance Retail posted a handsome 19 per cent year-on-year rise in revenue from operations to Rs 33,566 crore for the reported quarter. The vertical’s operating profit jumped 80 per cent on-year to Rs 1,941 crore, while operating margins expanded 200 basis points to 5.8 per cent.
The net profit of RIL’s retail business more than doubled on-year to Rs 962 crore.
Oil-to-chemicals business shines The oil-to-chemical business of the conglomerate posted a strong show for the quarter as revenues jumped 75.2 per cent on-year to Rs 1.03 lakh crore. The segment’s operating profit soared 50 per cent year-on-year to Rs 12,231 crore aided by strong show from the petrochemical business.
However, operating margin of the segment declined 200 basis points on-year due to continued weakness in the refining operations of the company.
Oil & gas business sees strong rebound Revenues of the segment jumped 153.2 per cent year-on-year to Rs 1,281 crore as productions expanded rapidly despite challenges created by the second wave.
The segment posted an operating profit of Rs 797 crore in the reported quarter as against an operating loss a year ago. “This was primarily due to smooth ramp up of gas production from R-Cluster and commencement of production from SatCluster field in KG D6 block,” RIL said.
The segment posted operating margins of 62.2 per cent in the quarter aided by a 16 per cent jump in gas prices to $6.01 mmBtu
Media business recovers Revenues of the media vertical of the conglomerate rose 50.4 per cent on-year to Rs 1,214 crore as advertisement revenues recovered compared to the year-ago quarter, which was affected by the national lockdown.
The segment’s operating profit skyrocketed 596 per cent year-on-year to Rs 188 crore, while margins expanded 12.2-percentage points to 15.5 per cent. “On the back of a full roster of compelling content, the portfolio was able to re-scale advertisement revenue to the same levels as in 1QFY20,” RIL said.
Get Unlimited Access to The Economic Times
