Reliance Industries sees net profit of Rs.21,984 crore in 2013-14

The Mukesh Ambani-led Reliance Industries Ltd (RIL) Friday said it closed fiscal 2013-14 with a net profit of Rs.21.984 crore on a turnover of Rs.401,302 crore, up from a net profit of Rs.21,003 crore on a turnover of Rs.371,119 crore earned during the previous fiscal.

In a statement issued here, the company said higher prices accounted for 7.7 percent growth in revenue while increase in volumes accounted for 0.4 percent growth in revenue.

Exports were higher by 15.3 percent at Rs.275,825 crore ($ 46.0 billion) as against Rs.239,226 crore in 2012-13, it said.

Higher crude oil prices resulted in 7.6 percent increase in cost of raw materials from Rs.306,127 crore to Rs.329,313 crore on year-on-year basis.

"FY 2013-14 was a satisfying year for RIL. Refining business delivered the highest-ever profits with a sharp recovery in GRMs (gross refining margin) towards the end of the year. Petrochemical earnings grew sharply with margin expansion across polymers and downstream polyester products," chairman and managing director Mukesh D.Ambani was quoted as saying in the statement.

"While we continue to face technical challenges in growing domestic upstream production, the US shale gas business grew significantly during the year and has become a material contributor to our earnings," he added.

Ambani said the retail business has turned around and is now India's largest retail chain while efforts have been accelerated to roll out 4G services in the telecom segment.

According to the statement, the outstanding debt at the end of the fiscal was Rs.89,968 crore as compared to Rs.72,427 crore at the end of the previous fiscal.