Home / Companies / News /  Reliance posts 12,273 crore net profit in June quarter

Mumbai: Reliance Industries Ltd (RIL) on Friday said fiscal first-quarter profit fell 7.25% as the second wave of covid-19 impacted businesses.

Profit fell to 12,273 crore for the quarter to June from 13,233 crore a year ago. Revenue from operations rose 58% to 1.44 trillion from 91,238 crore a year ago. A Bloomberg survey of analysts estimated a consolidated net profit of 13,022.90 crore on net sales of 1.47 trillion.

Earnings before interest, taxes, depreciation and amortization, (Ebitda) for the quarter rose 27.6% to 27,550 crore. Ebitda is a measure of a company’s profitability.

“Our company has delivered robust growth despite facing a highly challenging operating environment caused by the second wave of the covid pandemic," said Mukesh Ambani, RIL’s chairman and managing director, adding that the company’s oil-to-chemicals business generated strong earnings through its integrated portfolio and superior product placement capabilities. “Along with our partner BP, we commissioned the satellite cluster in KG D6 and continued to ramp up production, contributing to 20% of gas production in India. This will be a major contribution to our country’s energy security," Ambani added.

RIL shares closed 0.74% lower at 2,105.20 on BSE ahead of its earnings announcement.

On the telecom front, RIL’s Jio Platforms’ unit saw its consolidated revenue from operations rise 9.8% to 18,952 crore. While profit for the segment rose 50% to 3,651 crore, Ebitda increased 21.3% to 8,892 crore. The subscriber base peaked at 440.6 million, with a “net addition of 14.3 million subscribers", RIL said.

The quarterly traffic is at over 20 exabytes or 20 billion GB, a growth of 38.5%. Total voice traffic during the quarter was of 1.06 trillion minutes, marking a 19.5% growth.

The average revenue per user (Arpu) during the quarter stood at 138.4 per month, while total data traffic was 20.3 billion GB during the quarter, up 38.5%.

Jio and Microsoft have operationalized an initial 10MW capacity of Jio-Azure cloud data centres across Jamnagar and Nagpur. Onboarding of pilot customers across SMEs and startups is underway, with further enhancement in capacity would be done in subsequent quarters.

“Necessary approvals and trial 5G spectrum in 3GPP band n78 have been received for initiating 5G field trials. Jio 5G Standalone Network has been installed in our data centres across the country," the company said.

The company’s retail segment delivered gross revenues of 38,547 crore, an increase of 22%. Net profit for the quarter more than doubled to 962 crore.

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