RIL Q2 net profit falls 15% to ₹9,567 cr; GRM slumps to $5.7 per barrel1 min read . Updated: 30 Oct 2020, 08:10 PM IST
Revenue from operations declined 24% to ₹1.16 trillion as against ₹1.53 trillion a year ago
New Delhi: Mukesh Ambani-led Reliance Industries on Friday reported 15% decline in consolidated net profit for the quarter ending 30 September, 2020 at ₹9,567 crore on weak oil business amid coronavirus pandemic. The company's net profit was ₹11,262 crore a year ago.
The consolidated revenue from operations of the refining-to-retail conglomerate declined 24% to ₹1.16 trillion as against ₹1.53 trillion a year ago.
On an annual basis, refining revenue dipped 36%, said Reliance, which operates the world's biggest oil refining complex and petrochemicals revenue fell 23%.
However, operational performance for petchem business saw a big jump on a sequential basis.
Its gross refining margin - the profit earned on each barrel of crude oil processed - slumped to $5.7 per barrel, lower than the $6.3 in the previous quarter and the $9.4 a year earlier.
"The outbreak of coronavirus pandemic globally and in India is causing significant disturbance and slowdown of economic activity. The Group’s operations and revenue during the quarter were impacted due to COVID-19. The Group has taken into account the possible impact of COVID-19 in preparation of the unaudited consolidated financial results, including its assessment of recoverable value of its assets based on internal and external information upto the date of approval of these unaudited consolidated financial results and current indicators of future economic conditions," the company said in a regulatory filing.
Reliance Jio continued to be a bright spot as revenue surged 33%.
Reliance's retail division that sells everything from groceries to apparel suffered a 4.9% drop in revenue as the health crisis kept shoppers away. Still, the decline was less worse than the 17% fall recorded in the previous quarter.
On Friday, RIL's scrip on NSE closed 1.85% higher at ₹2,064.35.