- The oil-to-chemicals giant’s net profit for the October-December quarter rose 32% sequentially to ₹20,539 crore.
- RIL’s consolidated revenue jumped 52.2% to ₹2.09 billion due to the strong performance of oil, chemical and retail businesses.
- Its oil and gas business saw the highest growth of 55%.
Asia’s richest man, conglomerate Reliance Industries (RIL), led by Mukesh Ambani, has posted strong profits over the past three months. India’s largest private company has more than tripled its net profit over the past eight quarters to $2.8 billion.
Strong performance in the retail, oil and digital businesses boosted the company’s overall profitability. “Retail activity has normalized with strong growth in key consumer baskets on the back of the festive season and as lockdowns ease across the country,” said Mukesh Ambani, President and Chief Executive Officer (MD) of RIL.
RIL’s oil and gas business saw the highest growth of 55% due to the ramp-up of gas production from Krishna Godavari Dhirubhai 6 (block KG D6). Block KG-D6 is located in the Krishna-Godavari basin of the Bay of Bengal on the east coast of India.
|Segment||Sequential revenue growth|
|From oil to chemicals||9%|
|oil and gas||55%|
|Digital Services (Jio)||3.4%|
Analysts had expected stronger revenue growth from the company, driven by strong refining, oil and gas businesses. Also, the stock is expected to gain due to the growth of these segments. “We believe rising oil prices, expectations of a refining margin recovery and JioMart’s ramp-up should continue to support the stock. We are not pricing in any holding company discounts at this stage,” said a JP Morgan report.
On January 21, shares of RIL closed down 0.1% at ₹2,476.05 per share.
SEE ALSO: Reliance Retail earns $1.3 billion more than its best quarter ever
Reliance Jio makes the most money he’s ever made from his followers