NEW DELHI: Supported by double-digit growth in retail and telecom business, billionaire Mukesh Ambani’s Reliance Industries (RIL) reported a 9.3% year-on-year (YoY) increase in net profit at Rs 17,265 crore for the quarter ending December (Q3FY24).
The growth in profit after tax (PAT) was also aided by a near 50% EBITDA (earnings before interest, taxes, depreciation, and amortization) jump in oil and gas business.
However, on a sequential basis, RIL’s net profit fell almost 1% in Q3FY24. Revenue from operations for the country’s largest company grew 3.6% year-on-year to Rs 2.28 lakh cores in Q3FY24. On a sequential basis, the revenue registered a decline of 3%.
RIL’s core division, oil-to-chemical (O2C) business, reported a dip in topline and flat bottomline in Q3FY24. This segment’s revenue for Q3FY24 fell 2.4% YoY to Rs 141,096 crore, mainly on account of lower price realisation led by 5.3% YoY decline in average Brent crude oil prices, the company said. Dated Brent averaged $84 /bbl in 3Q FY24, lower by $4.7 /bbl. RIL said this segment’s EBITDA, which grew 1% Y-o-Y to Rs 14,064 crore, was partially offset by lower downstream chemical margins and planned maintenance and inspection shutdown. The O2C segment’s EBITDA was Rs 16,281 crore in Q2FY23.
Meanwhile, Reliance Retail (RRVL) reported a sharp rise in PAT as consumers spent lavishly in the festive heavy quarter. RRVL delivered gross revenue of Rs 83,063 crore for Q3FY24, a growth of 22.8% YoY while its net profit rose 31.9% to Rs 3,165 crore.
RRVL expanded its store network with 252 new store openings taking the total store count at the end of the quarter to 18,774 stores with an area of 72.9 million sq ft. The quarter recorded footfalls of over 282 million across formats, a growth of 40.3% Y-o-Y.Reliance’s digital arm, Jio Platforms, reported an 11.6% YoY growth in PAT to Rs 5,445 crore. Revenue registered a similar growth and stood at Rs 32,510 crore. Jio’s average revenue per user (ARPU) increased by 2% YoY this quarter to Rs 181.7 on the back of a better subscriber mix due to unlimited 5G plans launched by the company.Reliance’s oil & gas segment posted its highest-ever quarterly EBITDA at Rs 5,804, up 49.6% year-on-year.
Mukesh Ambani, Chairman and managing director of Reliance Industries, said that the strong uptake of the JioBharat phone and JioAirFiber services has resulted in continued expansion of Jio’s subscriber base, contributing to the stellar growth numbers of the digital services business.
Ambani added that the retail segment has delivered an impressive financial performance with its rapidly expanding physical as well as digital footprint. He also said that the New Energy Giga Complex is all set to be commissioned in the second half of CY24.
Jio Platforms’ PAT rises 11.6% to Rs 5,445 crore
Jio Platforms reported 11.6% YoY growth in PAT to Rs 5,445 crore. Revenue registered a similar growth and stood at Rs 32,510 crore. Jio’s ARPU rose 2% YoY in Q3 to Rs 181.7 on the back of a better subscriber mix due to unlimited 5G plans launched by it . RIL’s oil & gas segment posted its highest-ever quarterly EBITDA at Rs 5,804, up 49.6%