RIL Q2 results: Consolidated net profit jumps 27% to ₹17,394 cr; revenue flat at ₹2.35 lakh cr

Billionaire Mukesh Ambani-led Reliance Industries Ltd (RIL) has reported 27.4% year-on-year growth in its consolidated net profit (attributable to owners of the company) at ₹17,394 crore in the second quarter ended September 30, 2023, driven by consumer businesses. The oil-to-telecom conglomerate had posted consolidated net profit of ₹13,656 crore in the year-ago period. Sequentially, the profit rose 8.6% from ₹16,011 crore in June quarter of FY24.

The consolidated revenue from operations increased marginally from ₹2.32 lakh crore in Q2 FY23 to ₹2.35 lakh crore in Q2 FY24. On quarter-on-quarter, revenue rose 11.4% from ₹2.11 lakh crore in the quarter ended June 30, 2023.

Mukesh Ambani, Chairman and Managing Director, Reliance Industries Limited says, “Strong operational and financial contribution from all business segments has helped Reliance deliver another quarter of robust growth.”

Earnings before Interest, Taxes, Depreciation, and Amortisation (EBITDA) grew 30.2% to ₹44,867 crore in Q2 FY24 as compared to ₹34,447 crore in the same period last year. In the June quarter of FY24, the EBITDA stood at ₹41,982 crore.

The EBITDA margin improved by 390 basis points YoY to 17.5% from 13.6% in the year-ago period. However, the margin dropped sequentially from 18.2% in Q1 FY24.

As of September 30, 2023, the outstanding debt of RIL stood at ₹2.95 lakh crore as compared to ₹3.19 lakh crore in the same period last fiscal and ₹2.95 lakh crore in Q1 FY24.

The capital expenditure increased YoY to ₹38,815 crore amid continued accelerated investments in pan-India 5G roll-out by Jio, the telecom arm of the group.

“I am happy that Jio remains committed to the vision of a digital India through the launch of two innovative and transformative offerings, JioAirFiber and JioBharat phone. Based on our state-of-theart standalone 5G network, JioAirFiber significantly expands the reach and benefit of high-speed connectivity to millions of households across India. JioBharat phone will enable digital inclusion for millions of Indians and catalyse India’s transformation to next-gen connectivity solutions,” says Ambani.

“By December 2023, we will also complete Pan-India rollout of 5G services and set a new global benchmark for the fastest roll-out of a 5G network across a large nation,” he adds.

Segment-wise, revenue for Jio Platforms increased by 10.6% YoY to ₹31,537 crore, led by 7.5% rise in subscriber base and higher Average revenue per user (ARPU). Retail Ventures Limited reported 18.8% YoY rise in revenue at ₹77,148 crore, aided by growth momentum across consumption baskets, led by food & grocery which grew by 33%.

Meanwhile, revenue from the oil and gas segment increased significantly by 71.8% YoY to ₹6,620 crore with incremental production of gas and condensate from MJ field. O2C revenue declined by 7.3% YoY to ₹1.47 lakh crore with 14% decrease in crude oil prices leading to lower price realization for products.

Ahead of Q2 results, RIL shares ended 1.75% higher at ₹2,265.25 with a market capitalisation of ₹15.32 lakh crore on the BSE on Friday.