RIL down 2%; quarter result fails to enthuse investors

Shares of Reliance Industries fell by two per cent even as the firm had posted a 16 per cent jump in earnings for the January-March quarter.

The stock opened with gains but failed to hold on to the momentum and ended the day with a loss of 2.2 per cent at Rs 1,016.15 on BSE. During the day, it dipped 2.5 per cent to Rs 1,012.75. At NSE, the stock went down by 2.12 per cent to close at Rs 1,016.90.

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The market valuation fell by Rs 7,323 crore to Rs 3,29,271 crore.

In terms of volume, 629,000 shares changed hands at BSE and over 10 million shares were traded at NSE during the day.

Experts said lack of clarity on launch of Jio services weighed on RIL shares.

RIL on Friday posted its highest quarterly net profit in over eight years.

Consolidated net profit was at Rs 7,398 crore or Rs 25.1 a share was 15.9 per cent higher than Rs 6,381 crore or Rs 21.7 per share profit a year ago.

Standalone net profit was 17.25 per cent higher at Rs 7,320 crore.

This is the highest quarterly net profit for RIL since it clocked Rs 8,079 crore net profit in the third quarter of 2007-08.

Sales, however, dropped 12 per cent to Rs 64,569 crore in January-March.

RIL Chairman and Managing Director Mukesh Ambani said the much-talked about 4G telecom and high-speed broadband services will be launched this year. But he did not give a specific date.

Meanwhile, in the broader market the Sensex ended the day with a loss of 159.21 points at 25,678.93.