NEW DELHI: Beating Street estimates, Mukesh Ambani-led Reliance Industries Ltd (RIL), India’s largest company by market valuation, on Friday reported consolidated profit of Rs 15,479 crore, a surge of 46% Year on Year (YoY) for the second quarter of FY22 (Q2FY22).
Similarly, its consolidated gross revenue for the quarter jumped 49.2% YoY to Rs 1,91,532 crore and consolidated EBITDA (earnings before interest, taxes, depreciation, and amortization) grew by 30% to Rs 30,283 crore year-on-year, RIL said in the results statement.
“All our businesses reflect growth over pre-Covid levels. Our operational and financial performance reflects sharp recovery in the retail segment and sustained growth in oil-to-chemicals (O2C) and digital services business. Our O2C business benefited from sharp recovery in demand across products and higher transportation fuel margins,” said Mukesh D Ambani, CMD, RIL.
Reliance O2C segment’s revenue increased by 58.1% Y-o-Y to Rs 120,475 crore ($16.2 bn) primarily due to improved realisation on the back of increase in oil prices and higher volumes. This segment’s EBITDA for Q2 of FY22 improved by 43.9% Y-o-Y to Rs 12,720 crore ($1.7 billion) primarily on account of better transportation fuel cracks, higher intermediates product deltas, efficient product placement and yield management, the company said.
The company’s digital arm Jio Platforms (JPL) saw its consolidated profit surging by 23.5% to Rs 3,728 crore, while consolidated gross revenue stood 15.2% higher at Rs 23,222 crore with an adjusted interconnection usage charges. JPL reported ARPU (average revenue per user) at Rs 143.6 per subscriber per month, up 3.7% YoY, and total data traffic during Q2FY22 came at 23 billion GB, up 50.9% YoY. The company also informed that Jio and Google are working together to make the JioPhone Next available in time during Diwali.
The Group’s fast growing retail business- Reliance Retail- also delivered a strong performance with consolidated gross revenue recorded at Rs 45,426 crore for Q2 FY22, a growth of 10.5% Y-o-Y and higher than pre-Covid period. Net profit for this segment during the quarter came in at Rs 1,695 crore, higher by 74.2%. “Reliance Retail continues to grow on the back of rapid expansion of both physical stores and digital offerings resulting in healthy growth in revenues and margin expansion,” Ambani said.