Reliance Industries Ltd (RIL) reported a 9.79% increase in its quarterly profit, beating analysts’ estimates, boosted by its consumer-facing businesses of telecom (Reliance Jio Infocomm Ltd) and retail (Reliance Retail). Net profit rose to ₹10,362 crore for the quarter ended 31 March from ₹9,435 crore in the year earlier, RIL said in a statement on Thursday.

Revenue rose 19.4% to ₹1.54 trillion for the quarter ended 31 March from ₹1.29 trillion in the year earlier. Analysts estimated quarterly revenue at ₹1.48 trillion.

Ambani is relying on Reliance Jio and Reliance Retail to double RIL sales in about seven years and targeting that it will contribute nearly as much to the overall earnings of the company as its energy and petrochemical businesses.

RIL’s gross refining margin (GRM), or the amount a refiner earns by refining one barrel of crude oil, narrowed to a 17-quarter low at $8.2 per barrel. On a sequential basis, GRM declined 7%. It fell 25.5% from a year earlier. Analysts had expected RIL’s GRM in the range of $7-$8.5 per barrel.

RIL’s digital services businesses clocked an Ebitda (earnings before interest, tax, depreciation and amortization) of ₹4,329 crore in the March quarter.

Reliance Retail saw 89% growth in revenue to ₹1.31 trillion in the March quarter from ₹69,198 crore in the year earlier. Segment operating profit rose 168% to ₹5,546 crore to ₹2,064 crore.

RIL’s debt outstanding as on 31 March rose to ₹2.87 trillion from ₹2.18 trillion at the end of the previous year. The company held cash and cash equivalents of ₹1.33 trillion at the end of the fiscal year, compared with ₹78,063 crore as on 31 March 2018.

“Reliance Jio net profit largely remained flat quarter-on-quarter at ₹840 crore and average revenue per user declined to ₹126 per subscriber per month. We believe that likely strong subscriber additions in the telecom business, sustained high growth in retail business and likely deleveraging of the consolidated balance sheet would act as key re-rating catalyst for the stock”.

Reliance Industries Ltd (RIL) reported a 9.79% increase in its quarterly profit, beating analysts’ estimates, boosted by its consumer-facing businesses of telecom (Reliance Jio Infocomm Ltd) and retail (Reliance Retail). Net profit rose to ₹10,362 crore for the quarter ended 31 March from ₹9,435 crore in the year earlier, RIL said in a statement on Thursday.

Revenue rose 19.4% to ₹1.54 trillion for the quarter ended 31 March from ₹1.29 trillion in the year earlier. Analysts estimated quarterly revenue at ₹1.48 trillion.

Ambani is relying on Reliance Jio and Reliance Retail to double RIL sales in about seven years and targeting that it will contribute nearly as much to the overall earnings of the company as its energy and petrochemical businesses.

RIL’s gross refining margin (GRM), or the amount a refiner earns by refining one barrel of crude oil, narrowed to a 17-quarter low at $8.2 per barrel. On a sequential basis, GRM declined 7%. It fell 25.5% from a year earlier. Analysts had expected RIL’s GRM in the range of $7-$8.5 per barrel.

RIL’s digital services businesses clocked an Ebitda (earnings before interest, tax, depreciation and amortization) of ₹4,329 crore in the March quarter.

Reliance Retail saw 89% growth in revenue to ₹1.31 trillion in the March quarter from ₹69,198 crore in the year earlier. Segment operating profit rose 168% to ₹5,546 crore to ₹2,064 crore.

RIL’s debt outstanding as on 31 March rose to ₹2.87 trillion from ₹2.18 trillion at the end of the previous year. The company held cash and cash equivalents of ₹1.33 trillion at the end of the fiscal year, compared with ₹78,063 crore as on 31 March 2018.

“Reliance Jio net profit largely remained flat quarter-on-quarter at ₹840 crore and average revenue per user declined to ₹126 per subscriber per month. We believe that likely strong subscriber additions in the telecom business, sustained high growth in retail business and likely deleveraging of the consolidated balance sheet would act as key re-rating catalyst for the stock”.