RIL dips 1% on BSE after muted Q2 results

RIL dips 1% on BSE after muted Q2 results

Mumbai: Shares of Reliance Industries on Friday fell by nearly 1% on the Bombay Stock Exchange, a day after the company reported a 6.4% drop in its net profit for the second quarter of the fiscal.

At 10:32am, the scrip of RIL was quoted at Rs1,984 on BSE, down by 0.99% over the previous close. In early trade RIL had fell by 1.89% to Rs1,966.

On the National Stock Exchange, RIL fell by 0.93% to Rs1,963. It had declined by 1.82% to Rs1,963 in early trade. On the volume front, over 14.82 lakh shares were traded on both the bourses.

RIL, after the close of the market yesterday, reported a 6.4% drop in net profit at Rs3,852 crore for the second quarter, as refining margins tumbled following crude oil’s fall from a record.

“With the refining margins continuously showing signs of volatility and weakness in the past few months, we need to review our estimates," domestic brokerage firm Sharekhan said in its research note.

The company earned $6 on processing of every barrel of crude oil at its giant refining complex at Jamnagar, less than half of $13.3 per barrel gross refining margin (GRM) in the second quarter of previous fiscal.

The stock markets were trading higher by 300 points at 16,353 points, riding on the back of optimism of a recovery in the US economy, index heavyweight RIL lagged.