Mumbai: Reliance Industries (RIL) on Thursday reported a consolidated net profit of Rs 7,206 crore for the quarter ended September 30, which was higher by 43.1 percent over the corresponding quarter year ago. The company reported a net profit of Rs 5,035 crore in second quarter of previous year after excluding exceptional item of Rs 4,310 crore.
On standalone basis, the company's quarterly net profit stood at Rs 7,704 crore, up 17.9 per cent over the corresponding period of the previous year.
The main surprise was in the gross refining margin -- the difference between the crude oil price and the value of petroleum products coming out of a refinery -- of $10.1 per barrel, which was below $11.5 per barrel for the previous quarter, but well above market expectations.
Commenting on the results, Mukesh D Ambani, Chairman and Managing Director, Reliance Industries Limited said in a statement: “The Company has achieved outstanding second quarter results with strong refining business performance and record petrochemicals segment earnings. Refining business sustained high profitability in a tough environment highlighting our exceptional refining assets, dynamic response to market trends and robust operations."
"Petrochemicals segment gained significantly from higher volumes, integration and supportive product margins, Our projects in the hydrocarbon chain are at advanced stages of mechanical completion and precommissioning activities. These projects will further strengthen our position as a leading operator in the energy and materials businesses. We are delighted and humbled by the enthusiastic adoption of Jio by India. Jio is built to empower every Indian with the power of data,” Ambani said in a press release.
On a consolidated basis, Reliance Industries achieved a turnover of Rs 81,651 crore, an increase of 9.6 percent over the corresponding period of the previous year. "Increase in revenue is primarily on account of increase in volumes in refining, petrochemical and retail businesses."
The company also spoke about its latest venture -- Jio 4G services -- in the results statement.
It took exception to incumbent players not providing enough interconnect points for Jio calls to go through, and said its customers, as a result, continued to face severe quality of service issues.
"Call failure rates continue to be severe with over 75 calls failing out of every 100 call attempts on the networks of some of the operators. This is in breach of quality of service regulation that not more than 5 calls out of every 1,000 call attempts can fail."
Nonetheless, Ambani said: "We are delighted and humbled by the enthusiastic adoption of Jio by India. Jio is built to empower every Indian with the power of data."
With IANS inputs
(Disclosure: Firstpost is part of Network18, owned by Reliance Industries Limited.)
Updated Date: Oct 20, 2016 19:11 PM