RIL Q2 results: Consolidated net profit jumps 43% to Rs 13,680 cr

RIL reported a 50% increase in revenue from operations at Rs 1.74 trillion

Oil-to-telecom conglomerate Reliance Industries Limited (RIL) on Friday reported a 43% rise in its consolidated net profit for the second quarter (Q2) ended September 2021. This, as higher demand for oil products boosted RIL's mainstay oil-to-chemicals business.

The company posted a net profit of Rs 13,680 crore in Q2 as against a profit of Rs 9,567 crore posted in the same period last year. In terms of quarter-on-quarter growth, RIL reported a 3% rise in its net profit in the period under consideration as compared to Rs 13,233 crore recorded in the previous quarter ended June 30, 2021.

Reliance -- which operates the world's biggest oil refining complex -- reported a 50% increase in revenue from operations at Rs 1.74 trillion as against Rs 1.16 trillion a year ago. Revenue from the oil-to-chemicals unit, home to both of RIL's refining and petrochemicals operations, rose 58.1%, benefiting from a sharp recovery in demand across products and higher transportation fuel margin, the company said.

On Friday, the company's scrip on NSE closed trading flat at Rs 2,625.75.

RIL's telecom unit, Reliance Jio Infocomm, reported 24% increase in net profit at Rs 3,528 crore as against Rs 2,844 crore a year ago. Its ARPU during the quarter was Rs 143.60. 

Revenue from operations rose 7% to Rs 18,735 crore as compared to Rs 17,481 crore in September 2020. 

Commenting on the results, Mukesh Ambani, Chairman and Managing Director, Reliance Industries Limited said: “As the pandemic retreats, I am pleased that Reliance has posted a strong performance in Q2FY22. This demonstrates the inherent strengths of our businesses and the robust recovery of the Indian and global economies. All our businesses reflect growth over pre-COVID levels. Our operational and financial performance reflects sharp recovery in the retail segment and sustained growth in Oil-to-Chemicals (O2C) and Digital Services business.

"Our O2C business benefited from sharp recovery in demand across products and higher transportation fuel margins. Reliance Retail continues to grow on the back of rapid expansion of both physical stores and digital offerings resulting in healthy growth in revenues and margin expansion. Jio continues to transform the broadband market in India and set new benchmarks for the industry.

"We continue to make steady progress in accelerating our foray into New Energy and New Materials business. Our partnership approach and the desire to bring India to the forefront of global transition to clean and green transition is underscored by our recent investments in some of the best companies in the world in the solar and green energy space. I am now even more confident of achieving our ambitious target of Net Carbon Zero by 2035."