Reliance Industries Q1 profit rises 4% to Rs 9,459 crore

Oil-to-telecom behemoth Reliance Industries on Friday posted 3.85 per cent rise in net profit at Rs 9,459 crore for the quarter ended June. It had posted a net profit of Rs 9,108 crore in the corresponding quarter last year.
ETNow poll had predicted a profit of Rs 9,554 crore for the quarter under review.
Consolidated revenue from operation increased 46.98 per cent year-on-year basis to Rs 1,33,069 crore for the quarter under review against Rs 90,537 crore in the same period last year.
Commenting on the results, Mukesh Ambani, Chairman and Managing Director, Reliance Industries Limited said: “Our petrochemicals business generated record EBITDA with strong volumes and an upswing in polyester chain margins. Refining business performance remained steady despite the seasonal weakness in cracks. Continuing strength in global demand for oil products and implementation of more stringent environmental norms for marine fuels augurs well for our refining business.”
Gross revenue margins stood at $10.5 per barrel as against $11.90 per barrel in the same quarter last year. The figure was at $11 per barrel in the sequential quarter ended March 2018.
June quarter revenue from refining and marketing segment increased by 42.9 per cent YoY to Rs 95,646 crore while segment EBIT declined 16.8 per cent YoY to Rs 5,315 crore. Lower crude throughput due to planned turnaround of one crude distillation unit and softer refining margins led to decline in segment EBIT on YoY basis.
R&M performance was also impacted by higher flat price and adverse movement in Brent-Dubai differentials on YoY basis.

Reliance Jio reported net profit of Rs 612 crore in Q1FY19 over net profit of Rs 510 crore in the sequential quarter ended March 2018. Average revenue per user (ARPU) fell to Rs 134.50 from Rs 137 QoQ per subscriber per month.

EBITDA of Reliance Jio increased by 16.80 per cent QoQ to Rs 3,147 crore for the quarter under review against Rs 2,694 crore in the previous quarter ended March. EBITDA margins increased by 1.01 per cent to 38.80 per cent from 37.80 per cent on QoQ basis.

Jio continued its strong subscriber growth trend with net addition of 28.7 million against 26.5 million in March quarter, firm’s highest in any quarter since the launch of commercial services.

“Retail business revenues have more than doubled and EBITDA has trebled on a YoY basis. Jio added a record number of subscribers, highlighting the compelling technology and value proposition that Jio offers vis-à-vis other networks. The scalability of our consumer business platforms is driving unprecedented value generation for our customers, our country and our shareholders,” he added.

For the quarter ended June, revenue from the petrochemicals segment increased by 58.2 per cent YoY to Rs 40,287 crore due to 35 per cent increase in volumes and about 24 per cent higher realisations.

Petrochemicals segment EBIT was at a record level of Rs 7,857 crore supported by strong YoY volume growth led by successful stabilization of the world’s largest ROGC, its downstream units and PX-4.

Reliance Retail recorded a sharp 124 per cent increase in revenue to Rs 25,890 crore and digital services business contributed Rs 9,653 crore for the quarter. “Rapid store expansion along with superior customer value proposition across all consumption baskets supported revenue growth. The benefits of strong focus on cost control, scalability and operating leverage is reflecting in 3x EBITDA growth on YoY basis. Retail EBIT margin expanded YoY to 4.1 per cent,” RIL said in a release.