Reliance Q4 results: Billionaire Mukesh Ambani-backed oil-to-telecom conglomerate Reliance Industries on Monday reported a consolidated net profit of Rs 18,951 crore in the January-March quarter, marking a marginal decline of 1.80 per cent, from Rs 19,299 crore during the same period last year, the company said in a regulatory filing.

Reliance Industries' revenue from operations rose 11.30 per cent to Rs  2,40,715 crore as against Rs 2,16,265 crore in the year-ago period. Revenue growth in the March quarter was supported by double-digit growth in O2C and consumer business. Oil & gas segment revenues increased sharply by 42.0% with higher volumes from the KG D6 block, the country's most valuable company said.

“Initiatives across RIL’s businesses have made a remarkable contribution towards fostering the growth of various sectors of the Indian economy. It is heartening to note that alongside strengthening the national economy, all segments have posted robust financial and operating performance. This has helped the Company achieve multiple milestones. I am happy to share that this year, Reliance became the first Indian company to cross the ₹ 100,000-crore threshold in pre-tax profits," said Mukesh Ambani, Chairman and Managing Director, of Reliance Industries.

The company announced dividend of Rs 10 per share.

Reliance Jio Platforms

Reliance Industries' telecom venture’s net profit rose 12 per cent annually to Rs 5,583 crore and its  earnings before interest, taxes, depreciation, and amortisation (EBITDA) also known as operating profit rose 12.5 per cent to Rs 14,260 crore.

The company added 42.4 million subscribers during FY2024, and added of 10.9 million during March quarter outpacing competition. Its average revenue per user (ARPU) per month, a key metric of telecom company's profitability, came in at Rs 181.70.

"Performance of the digital services segment has been boosted by accelerated expansion of subscriber base, supported by both mobility and fixed wireless services. With over 108 million True 5G customers, Jio truly leads the 5G transformation in India. From upgrading the hitherto 2G users to smartphones, to leading the effort of producing AI-driven solutions, Jio has proved its capability in strengthening the nation’s digital infrastructure," Ambani said on performance of Jio.

Reliance Retail

Reliance Retail, the retail arm of Reliance Industries, crossed Rs 3 lakh crore mark in revenue in financial year 2024 and revenue in March quarter rose 10.6 per cent to Rs 76,627 crore driven by growth in Consumer Electronics and Fashion & Lifestyle segments.

Retail expanded its store network with 562 new store openings with gross area addition of 7.8 million sq. ft. during the March 2024 quarter.  Total store count stood at 18,836 with total area of 79.1 million sq. ft. at the quarter end. The quarter recorded footfalls of over 272 million across formats, a growth of 24.2 per cent Y-o-Y, the company said.

"Reliance Retail continued to provide customers endless choices through its robust omni-channel presence. We continue to offer product differentiation and superior offline experience through stores remodelling and revamping of layouts. Our digital commerce platforms also provide newer solutions to users with a broad brand catalogue. Reliance Retail also works towards strengthening millions of merchants through its unique initiatives in new commerce space," Ambani said.

Oil-to-chemicals (Q2C) business

In the fiscal year FY24, O2C segment revenue witnessed 5 per cent year-on-year decrease, amounting to Rs 5,64,749 crore ($67.7 billion). The decline was primarily attributed to lower product price realisation, which followed a substantial 13.5 per cent year-on-year drop in average Brent crude oil prices. However, this decrease was partially offset by higher volumes.

Despite the revenue dip, segment EBITDA for FY24 saw a marginal increase, reaching Rs 62,393 crore ($7.5 billion). This uptick was attributed to optimised feedstock sourcing, advantageous ethane cracking, and a reduced SAED (Special Additional Excise Duty) impact. However, the margin environment across transportation fuel and downstream chemicals remained weak throughout the year.

In the quarterly performance comparison between the fourth quarter of FY24 and the same period of the previous fiscal year (4Q FY23), there were notable shifts.

In 4Q FY24, segment revenue surged by 10.9 per cent year-on-year, totalling Rs 1,42,634 crore

Additionally, segment EBITDA for 4Q FY24 experienced a marginal 3.0 per cent year-on-year increase, reaching  Rs16,777 crore ($2.0 billion). This growth was supported by advantageous feedstock sourcing, ethane cracking, and higher domestic product placement.

“Strong demand for fuels globally, and limited flexibility in refining system worldwide, supported margins and profitability of the O2C segment. Downstream chemical industry experienced increasingly challenging market conditions through the year. Despite headwinds, maintaining leading product positions and feedstock flexibility through our operating model that prioritises cost management, we delivered a resilient performance. The KG-D6 block has achieved 30 MMSCMD of production and now accounts for 30 per cent of India’s domestic gas production,” Ambani added.

Reliance Industries shares ended 0.65 per cent higher at Rs 2,960 ahead of its earnings announcement.