Reliance Industries 3Q FY23 profit remains flat at Rs 178bn

Reliance Industries Limited (RIL) has reported a 0.6% increase in its net profit for the quarter ended 31 December 2022 (3Q FY23) to INR 17,806 crores, compared to INR 17,703 crores in net profit for the same period in the previous fiscal year.

The diluted earnings per share (EPS) of Reliance Industries Limited for the reported quarter was INR 12.38 per share, compared to INR 15.22 in 3Q FY22.

The gross revenue of the Indian conglomerate in 3Q FY23 was INR 240,963 crores, an increase of 14.8%, compared to revenue of INR 209,823 crores in 3Q FY22.

Reliance Industries said that its digital services division registered a 20.4% year-over-year (YoY) growth. Its retail business saw a growth of 17.2% YoY in revenue.

The Indian conglomerate said there was higher realization in its oil to chemicals (O2C) business with hike in energy prices while there was approximately two folds growth in its oil and gas business, which also helped increase revenue.

Jio Platforms contributed revenue of INR 29,195 crores in 3Q FY23, which is a 20.8% increase YoY. The digital technology arm of Reliance Industries posted a net profit of INR 4,881 crores, a YoY growth of 28.6%.

In the reported quarter, Reliance Retail reported revenue of INR 67,623 crores, a 17.2% increase YoY. The retail unit of Reliance Industries had a net profit of INR 2,400 crores, which is an increase of 6.2% YoY.

Reliance Retail is said to have grown its physical store network during the reported quarter with 789 new store openings.

Reliance Industries’ O2C business reported revenue of INR 144,630 crores, a 10% growth YoY. The refinery throughput for the reported quarter was at 18.8 MMT, compared to 19.7 MMT in 3Q FY22.

Reliance Industries 3Q FY23 profit remains flat at Rs 178bn. Photo courtesy of Nellore city/Wikimedia Commons.

Mukesh D. Ambani — Reliance Industries Chairman and Managing Director said: “Our teams across businesses have done an excellent job in delivering strong operating performance through a challenging environment. All segments contributed to the robust growth in consolidated EBITDA on Y-o-Y basis.

“In O2C business, middle distillate product fundamentals remain strong with firm demand, constrained supply, and high natural gas prices in Europe. Downstream chemical products witnessed margin pressure with excess supply and relatively weak regional demand. Our focus remains on operating safely and reliably producing vital fuel and materials for consumers.

“Jio delivered record revenues and EBITDA driven by strong momentum in customer growth and data consumption. This quarter we launched True 5G services. It is now available in 134 cities and towns in India, enhancing customer experience while enabling next generation services.

“It is heartening that customers recognise the great value and world class connectivity that Jio offers on its 4G and 5G networks.

“Retail business had another quarter of strong progress with more Indians choosing to shop at Reliance Retail stores. We are focused on delivering superior products and value to customers while improving profitability.

“Our upstream business delivered robust growth with sustained production from KG D6 block along with a higher realization. We are on track to reach 30 MMSCMD of gas production in FY 24 after the commissioning of MJ field.”