INSUBCONTINENT EXCLUSIVE:
4 min read Last Updated : Oct 15 2024 | 12:54 AM IST
Oil-to-telecom conglomerate Reliance Industries Ltd (RIL) reported a 4.8 per cent
year-on-year (Y-o-Y) decline in consolidated profit (attributable to the owners) at Rs 16,563 crore for the July-September quarter (Q2) of
2024-25, missing analysts' expectations by a wide margin
Revenues, too, disappointed.
This marks the third straight quarter of declining profits on a Y-o-Y basis, of which the last two were
primarily due to its weak oil-to-chemicals (O2C) business
Had it not been for the consumer businesses and a surge in other income, the performance would have been even worse.Click here to connect
Robust growth in digital services and upstream business helped partially offset the weak performance in O2C, which was impacted by
this year.
A Bloomberg poll of 13 analysts had projected revenue at Rs 2.34 trillion, while four analysts estimated a net income (profit)
The O2C business saw revenue growth due to higher volumes and increased domestic placement of products, but revenue from the retail business
declined 3.5 per cent Y-o-Y.
The oil and gas division saw a 6 per cent drop in revenue from a year earlier
depreciation, and taxes (PBIDT) declined 2 per cent Y-o-Y to Rs 43,934 crore
Reported profit after tax for Q2 FY25 stood at Rs 19,101 crore, down 3.6 per cent from the previous year, according to a press release by
posted a 5.1 per cent increase in revenue Y-o-Y at Rs 1.55 trillion, but Ebitda for the segment dropped 23 per cent to Rs 12,413 crore, with
a 300 basis point reduction in Ebitda margins.
Company executives said weak O2C business weighed on strong growth in the digital and
declined with muted global demand in a well-supplied market
Exports from the O2C division were down 15.7 per cent to Rs 70,631 crore.
Jio Platforms reported an 18 per cent Y-o-Y increase in revenue,
while PBDIT grew by 17.8 per cent to Rs 15,931 crore.
The retail business saw revenue from operations fall 3.5 per cent Y-o-Y to Rs 66,502
consolidated gross debt at Rs 3.36 trillion, up from Rs 2.95 trillion a year ago
However, net debt-to-Ebitda was steady at 0.66 times, both sequentially and Y-o-Y
Capital expenditure for the quarter was Rs 34,022 crore.
RIL Chief Financial Officer V Srikanth said the capex was fully covered through
There had been a significant decline in Jio capex, while the FY25 capex so far was higher on O2C and new energy businesses, Srikanth said,
adding that escalation in geopolitical conflicts and a possible change in Opec+ cuts policy would keep crude prices volatile.First
Published: Oct 14 2024 | 8:07 PMIST
