Reliance Industries Q2 Results: Mukesh Ambani-led Reliance Industries Ltd (RIL) released its financial performance for the second quarter of the fiscal year 2024-25 (Q2FY25) on October 14. The conglomerate experienced a modest growth during the quarter, primarily due to challenges in its oil-to-chemicals (O2C) segment.
RIL posted a profit decline of 4.8 per cent on-year at Rs 16,563 crore in comparison to Rs 17,394 crore during the corresponding quarter of FY24. It posted revenue from operations at Rs 235,481 crore, marginally higher than Rs 234,956 crore posted during the second quarter of previous financial year.
During Q1, Reliance Industries had posted profit at Rs 15,138 crore, down 5.5 per cent on-year in comparison to Rs 16,011 crore posted during Q1FY24. The revenue, meanwhile, was at Rs 236,217 crore.
Earlier on Oct 7, RIL had announced that the conglomerate is scheduled to hold its board meeting on October 14 to consider and approve the standalone and consolidated unaudited financial results of the company for the quarter and half year ended September 30, 2024.
RIL’s Media business posted quarterly revenue at Rs 3,650 crore. This was down 3.7 per cent as against Rs 3,790 crore during the corresponding period of last year. It had posted Q1 loss at Rs 221 crore. While IPL and general elections helped record one of the strongest quarters for the Network18 Group in terms of consumer reach and engagement, the company said that the drop in revenue was due to IPL revenue being distributed across two quarters this year.
Reliance Industries’ Oil And Gas (Exploration And Production) segment reported a revenue growth of 33.4 per cent on-year to Rs 6,179 crore. This was in comparison to Rs 4,632 crore recorded during the first quarter of FY24. The company said that the growth was mainly on account of higher volumes partly offset by lower price realisation from KG D6 and CBM Field. EBITDA, meanwhile, increased to Rs 5,210 crore. EBITDA margin was at 84.3 per cent for Q1FY25.
Reliance’s Oil to Chemicals(O2C) segment posted Q1 revenue at Rs 157,133 crore, up 18.1 per cent on-year. This was primarily on account of higher product prices tracking around 9 per cent increase in Brent crude oil prices, and higher volumes supported by strong domestic demand. The O2C segment EBITDA for Q1 was at Rs 13,093 crore, down 14.3 per cent. The company had attributed this to lower transportation fuel cracks, particularly gasoline cracks which was down 30 per cent YoY.
Reliance Retail Ventures Ltd (RRVL) had posted Q1 profit at Rs 2,549 crore, up 4.6 per cent in comparison to Rs 2,436 crore during the same period last year. It had posted revenue from operations at Rs 66,260 crore, posting a growth of 6.6 per cent as against Rs 62,159 crore during the first quarter of FY24. Reliance Retail’s EBITDA came in at Rs 5,664 crore, up 10.5 per cent YoY. This was led by increase in footfalls and expansion of store footprint, streamlining of operations driving margin improvement.
Reliance Retail opened 331 new stores during the quarter, taking the total store count to 18,918 with area under operation at 81.3 million sqft.
During the fiscal first quarter, Reliance Jio had recorded a profit of Rs 5445 crore, up 12 per cent in comparison to Rs 4863 crore. The revenue from operations stood at Rs 6,478 crore for the quarter ended June 30, 2024 from Rs 24,042 crore during the corresponding quarter of previous fiscal year. The company EBITDA stood at Rs 13,920 crore, up 10.7 per cent on-year as against Rs 12,578 crore during Q1FY24. EBITDA margin came in at 52.6 per cent.
During the first quarter of FY25, Reliance Industrial Infrastructure Limited (RIIL) had reported profit at Rs 2.90 crore, up 2.8 per cent in comparison to Rs 2.82 recorded during the corresponding quarter of previous financial year. It had recorded a total income of Rs 18.43 crore, down 10.7 per cent as against Rs 20.63 during the same period last year, on account of lower utilisation of infrastructure assets.
In July, Reliance Industries had released its Q1FY25 earnings report with profit at Rs 15,138 crore, down 5.5 per cent on-year in comparison to Rs 16,011 crore posted during Q1FY24. It had posted revenue from operations at Rs 236,217 crore, up 12 per cent as against Rs 210,831 crore during the corresponding quarter of previous fiscal year. Reliance Industries posted EBITDA at Rs 42,748 crore, up 2 per cent on-year.
Earlier last week, the fiscal second quarter earnings season kickstarted with many like Tata Consultancy Services (TCS), IREDA, Tata Elxsi, Just Dial, Lotus Chocolate Company, DMart, and others already having released their Q2 numbers.
On October 10, TCS had announced that the company posted its Q2 profit at Rs 11,909 crore, up 5.0 per cent in comparison to Rs 11,342 crore during the corresponding quarter of previous financial year. Its revenue from operations came in at Rs 64,259 crore.
Just Dial, on October 11, posted a 114.6 per cent growth in profit at Rs 154.07 crore. The company recorded revenue from operations at Rs Rs 284.83 crore, up 9.3 per cent as against Rs 260.61 crore during the second quarter of previous fiscal year.
On October 12, Avenue Supermarts, which runs the DMart chain of stores, reported a 5.8 per cent year-on-year growth in net profit at Rs 660 crore. The company posted revenue from operations at Rs 14,445 crore, up 14.4 per cent YoY.
Earlier, Reliance Industrial Infrastructure Ltd (RIIL) reported its Q2 performance with total income recorded during Q2FY25 at Rs 18.37 crore, down 11.9 per cent in comparison to Rs 20.85 crore during the corresponding quarter of FY24, on account of lower utilisation of infrastructure assets. It posted profit for the quarter at Rs 3.12 crore, down 1.9 per cent as against Rs 3.18 crore during the same period of previous year.
“The company continues to provide infrastructure support services which includes transportation of petroleum products and raw water through pipelines and other support services mainly to Reliance Industries Limited,” it said in a statement, while maintaining that the company presently does not have any expansion plans on the anvil.
Reliance Industries is expected to post weak numbers today due to a subdued growth in the refining and petchem businesses. “RIL may see a 5 per cent consolidated Ebitda decline y-o-y due to a 31 per cent standalone Ebitda decline (refining, petchem and E&P), partly offset by an Ebitda growth of 9 per cent in retail and 10 per cent in digital services (telecom),” said a report by Elara Capital.
Greetings! With the fiscal second quarter earnings season already started, investors and market participants are looking forward to Reliance Industries all set to announce its Q2 earnings today. We, at FinancialExpressl.com, will keep you updated on all the updates on RIL numbers and factors that helped or pulled back the conglomerate’s quarter numbers. Stay tuned.