Oil-to-telecom conglomerate Reliance Industries Ltd on Thursday reported a 31 percent year-on-year rise in consolidated net profit at Rs 13,248 crore for the quarter ended June 30, 2020, despite the disruption caused in the wake of the COVID-19 pandemic. The number was ahead of street expectations
In the corresponding quarter last year, the Mumbai-headquartered company posted a net profit of Rs 10,104 crore.
Consolidated income from operations for the quarter stood at Rs 91,238 crore compared to Rs 1,62,353 crore during the same period last year. Gross revenues stood at a little over Rs 1,00,000 crore.
The company's technology arm Jio Infocomm turned in a strong performance because of a massive surge in data consumption. Revenues rose 34 percent to Rs 19,513 crore, EBITDA spiked 55 percent year-on-year to Rs 7281 crore, and net profit nearly trebled to Rs 2520 crore.
Commenting on the performance, Mukesh Ambani, Chairman and Managing Director Reliance Industries said: "The severe demand destruction due to global lockdowns impacted our hydrocarbons business but the flexibility in our operations enabled us to operate at near-normal levels and deliver industry-leading results.
Our consumer-facing businesses became the life-line for individuals and businesses with our Retail and Jio teams working hard to ensure millions got essential goods and services through the lockdown."
RIL's consolidated operating profit or EBITDA came in at Rs 21,585 crore. Cash profit rose around 17 percent year-on-year to Rs 18,893 crore.
The company said its refining and petrochemical business operated at over 90 percent capacity during lockdown. This was three times the industry average of 30 percent. The efficiency was achieved through feedstock optimisation and higher exports. During the quarter, the company logged exports of Rs 32,681 crore.
Standalone revenue for the quarter was Rs 52,263 crore and EBITDA was Rs 11,339 crore. Net Profit including exceptional items for the quarter was `Rs 9753 crore, up 8 percent over the same period last year. Cash profit for the quarter was Rs 10,350 crore.
The company spent Rs 284 on various initiatives to fight the COVID-19 pandemic, and these included providing personal protective equipment,masks and other safety gear.
During the quarter, Reliance Foundation’s Mission Anna Seva became the largest meal distribution programme undertaken by a corporate foundation anywhere in the world, providing over 5 crore meals to COVID-affected people across 78 districts, 17 states and 1 union territory.
The company's retail arm, Reliance Retail reported a strong performance despite 50 percent of its stores being fully shut because of the lockdown and 29 percent operating partially. Reliance Retail clocked revenues of Rs 31,633 crore and an EBITDA of Rs 1083 crore in the quarter. EBITDA was positive and resilient despite the limitations in the quarter, with cost management initiatives leading to fixed cost savings, which helped cushion the impact of lower profits from lower sales, the company said.
During the quarter, the grocery and connectivity business grew 21 percent.
The results came after close of the market hours. Shares of Reliance Industries Ltd settled at Rs 2,108.65 apiece, up 0.61 percent on the BSE.
Disclaimer: Reliance Industries Ltd. is the sole beneficiary of Independent Media Trust that controls TV18 Broadcast Ltd, which publishes CNBCTV18.com.
In the corresponding quarter last year, the Mumbai-headquartered company posted a net profit of Rs 10,104 crore.
Consolidated income from operations for the quarter stood at Rs 91,238 crore compared to Rs 1,62,353 crore during the same period last year. Gross revenues stood at a little over Rs 1,00,000 crore.
The company's technology arm Jio Infocomm turned in a strong performance because of a massive surge in data consumption. Revenues rose 34 percent to Rs 19,513 crore, EBITDA spiked 55 percent year-on-year to Rs 7281 crore, and net profit nearly trebled to Rs 2520 crore.
Commenting on the performance, Mukesh Ambani, Chairman and Managing Director Reliance Industries said: "The severe demand destruction due to global lockdowns impacted our hydrocarbons business but the flexibility in our operations enabled us to operate at near-normal levels and deliver industry-leading results.
Our consumer-facing businesses became the life-line for individuals and businesses with our Retail and Jio teams working hard to ensure millions got essential goods and services through the lockdown."
RIL's consolidated operating profit or EBITDA came in at Rs 21,585 crore. Cash profit rose around 17 percent year-on-year to Rs 18,893 crore.
The company said its refining and petrochemical business operated at over 90 percent capacity during lockdown. This was three times the industry average of 30 percent. The efficiency was achieved through feedstock optimisation and higher exports. During the quarter, the company logged exports of Rs 32,681 crore.
Standalone revenue for the quarter was Rs 52,263 crore and EBITDA was Rs 11,339 crore. Net Profit including exceptional items for the quarter was `Rs 9753 crore, up 8 percent over the same period last year. Cash profit for the quarter was Rs 10,350 crore.
The company spent Rs 284 on various initiatives to fight the COVID-19 pandemic, and these included providing personal protective equipment,masks and other safety gear.
During the quarter, Reliance Foundation’s Mission Anna Seva became the largest meal distribution programme undertaken by a corporate foundation anywhere in the world, providing over 5 crore meals to COVID-affected people across 78 districts, 17 states and 1 union territory.
The company's retail arm, Reliance Retail reported a strong performance despite 50 percent of its stores being fully shut because of the lockdown and 29 percent operating partially. Reliance Retail clocked revenues of Rs 31,633 crore and an EBITDA of Rs 1083 crore in the quarter. EBITDA was positive and resilient despite the limitations in the quarter, with cost management initiatives leading to fixed cost savings, which helped cushion the impact of lower profits from lower sales, the company said.
During the quarter, the grocery and connectivity business grew 21 percent.
The results came after close of the market hours. Shares of Reliance Industries Ltd settled at Rs 2,108.65 apiece, up 0.61 percent on the BSE.
Disclaimer: Reliance Industries Ltd. is the sole beneficiary of Independent Media Trust that controls TV18 Broadcast Ltd, which publishes CNBCTV18.com.
First Published: Jul 30, 2020 7:22 PM IST
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