RIL reports 22 pc jump in Q4 net profit to Rs 16,203 cr

Mumbai, May 6 (Agency) On the back of strong performance across various segments, Mukesh Ambani-led oil-to-telecom behemoth Reliance Industries Ltd (RIL) on Friday reported 22.49% rise in consolidated net profit at Rs 16,203 crore for the quarter ending March, 2022 as compared to Rs 13,227 crore in the corresponding period of financial year 2020-21. The company’s revenue from operations during the January-March quarter (Q4) of the financial year 2021-22 jumped 37% to Rs 2.11 lakh crore as against Rs 1.54 lakh crore in the corresponding quarter of 2020-21.

RIL reported highest-ever quarterly EBITDA (earnings before interest, taxes, depreciation and amortisation) of Rs 33,968 crore in the last quarter, up 27.7% year-on-year. For the full financial year, RIL reported a net profit of Rs 60,705 crore as against Rs 49,128 crore in FY21. The total revenue from operations during this period stood at Rs 7.21 lakh crore as against Rs 4.86 lakh crore registering 48% growth. Reliance Industries’ gross revenue in FY22 crossed $ 100 billion mark making it the first corporate to achieve the milestone. Reliance Industries’ Board of Directors recommended a dividend of Rs 8 per equity share for the financial year ended March, 2022. The company said that it has delivered a robust performance despite the ongoing challenges of the pandemic and heightened geo-political uncertainties. RIL shares closed 0.74% lower on the BSE on Friday at Rs 2,621 a piece. Commenting on the quarterly and annual performance, RIL Chairman and Managing Director Mukesh Ambani noted the growth witnessed by the group in the digital services and retail segments. He stressed that the oil-to-chemical (O2C) business had proven its resilience and had demonstrated strong recovery despite volatility in the energy markets.

“Our relentless focus on customer satisfaction and service has led to higher engagement and increased footfalls, driving robust revenue and earnings figures across our consumer businesses. The gradual opening up of economies coupled with sustained high utilization rates across sites and the improvement in transportation fuel margins and volumes have bolstered our O2C earnings,” he said. The RIL top boss mentioned that the company had been able to generate significant employment opportunities over the year. “Over the past year, we added over 2.1 lakh new employees across our businesses with our consumer and technology business creating a large part of these new jobs,” Ambani said. He also highlighted the progress made in the New Energy and New Materials business saying that ‘Reliance will create sustainable and affordable new energy solutions for India to help her meet growing energy needs, while ensuring that we achieve our ambitious target of Net Carbon Zero by 2035.’ Meanwhile, RIL’s digital arm Jio Platforms saw quarterly operating revenue (net of GST) at Rs 22,261 crore ($ 2.9 billion), growth of 21.7%, driven by higher average revenue per user (ARPU) and ramp-up of wireline services.

In a media statement, the company said that Jio Platform’s net profit for the quarter was Rs 4,313 crore ($ 569 million), higher by 22.9% Y-o-Y. The company said that SIM consolidation post the December 2021 tariff hike led to a net reduction of 10.9 million in customer base in Q4FY22. RIL said that its retail business delivered its best-ever quarterly revenues even surpassing the festive quarter performance despite the challenges posed by the spread of Omicron wave and coming out from the festive quarter. The business recorded gross revenue at Rs 58,017 crore ($ 7.7 billion), a growth of 23.3% Y-o-Y with broad based double-digit growth across all consumption baskets. Net profit for the quarter was, however 4.8% lower YoY at Rs 2,139 crore. As regards O2C segment, the company said that its quarterly revenue for 4Q FY22 increased by 44.2% Y-o-Y to Rs 145,786 crore primarily on account of higher realization on the back of sharp increase in crude oil prices – Brent crude prices were up 66.5% Y-o-Y to $ 101.4 /bbl.

Product volumes was also higher by 4.2%, with steady recovery in demand, it said. Segment revenue for the oil and gas (exploration and production) in Q4 FY22 increased by 136.8% Y-o-Y to Rs 2,008 crore. Reliance group’s media business also registered higher operating revenue during the quarter ending March, 2022. “Operating revenue grew 14.6% Y-o-Y to Rs 1,621 crore, driven by movies business and growth in ad revenues,” it said. Reliance Jio Infocomm reported 24% increase in net profit to Rs 4,173 crore in quarter ending March, 2022 as compared to Rs 3,360 crore in the same period last financial year.