Reliance Industries falls post Q4 earnings
RIL's net sales declined by 1.2% year-on-year to Rs 84,198 crore in March quarter mainly due to lower oil and gas segment sales.
Reliance Industries (RIL) is trading lower by almost 2% at Rs 790 after reporting a lower-than-expected top-line performance for the fourth quarter ended March 2013 (Q4).
RIL’s net sales declined by 1.2% year-on-year (yoy) to Rs 84,198 crore in March quarter mainly due to lower oil and gas segment sales. Analyst on an average expected revenues of Rs 93,058 crore.
However, on the profitability front the company reported better than expected results on account of higher than expected profitability from the refining segment. The company’s net profit grew by 31.9% yoy to Rs 5,589 crore above analyst estimate of Rs 5,503 crore.
“The operating profit margin (OPM) expanded by 159 basis points yoy to 9.3% during the quarter on account of an improvement in the gross refining margins (GRM), which came at $ 10.1/barrel in Q4FY2013 (as compared with $ 7.6/barrel in Q4FY2012 and $ 9.6/barrel in Q3FY2013),” says analyst at Sharekhan.
The stock opened at Rs 806 and hit a low of Rs 789 in early morning deals on NSE. A combined 1.18 million shares have changed hands on the counter till 0936 hours on NSE and BSE.
RIL’s net sales declined by 1.2% year-on-year (yoy) to Rs 84,198 crore in March quarter mainly due to lower oil and gas segment sales. Analyst on an average expected revenues of Rs 93,058 crore.
However, on the profitability front the company reported better than expected results on account of higher than expected profitability from the refining segment. The company’s net profit grew by 31.9% yoy to Rs 5,589 crore above analyst estimate of Rs 5,503 crore.
“The operating profit margin (OPM) expanded by 159 basis points yoy to 9.3% during the quarter on account of an improvement in the gross refining margins (GRM), which came at $ 10.1/barrel in Q4FY2013 (as compared with $ 7.6/barrel in Q4FY2012 and $ 9.6/barrel in Q3FY2013),” says analyst at Sharekhan.
The stock opened at Rs 806 and hit a low of Rs 789 in early morning deals on NSE. A combined 1.18 million shares have changed hands on the counter till 0936 hours on NSE and BSE.