Mumbai, January 19, 2024: In a remarkable financial performance, Reliance Industries (RIL) has announced a consolidated net profit of Rs 17,265 crore for the quarter ending December 2023, marking a significant 9.3% year-on-year (YoY) growth. This achievement exceeded the anticipated figure of Rs 16,944 crore, as per an ETNow poll.
Consolidated Revenue and Operations
The Mukesh Ambani-led conglomerate also witnessed a commendable 3.6% YoY growth in its consolidated revenue from operations, reaching Rs 2.28 lakh crore. While this figure was slightly lower than the estimated Rs 2.36 lakh crore, the overall financial performance underscores the resilience of Reliance Industries in the current economic landscape.
Sequential Performance
On a sequential basis, Reliance Industries experienced a marginal 0.7% decline in its bottom line. The company also faced a nearly 3% fall in its topline, emphasizing the importance of considering both year-on-year and sequential metrics for a comprehensive evaluation.
Operational Margins
Despite the sequential dip in certain financial indicators, Reliance Industries showcased robust operational efficiency. The consolidated earnings before interest, taxes, depreciation, and amortization (EBITDA) or operating margin expanded by 210 basis points YoY, reaching an impressive 18%. Additionally, on a sequential basis, the operating margin increased by 50 basis points.
Financial Metrics and Outlook
The consolidated finance cost experienced a notable 11% YoY increase, amounting to Rs 5,789 crore. At the same time, the capital expenditure for the quarter stood at Rs 30,102 crore, reflecting a decline from the previous quarter’s Rs 38,815 crore, as reported by ET.
| Financial Metrics | Amount (in Crore) |
|---|---|
| Consolidated Revenue | Rs 2.28 Lakh Crore |
| Consolidated Net Profit | Rs 17,265 Crore |
| Operating Margin (EBITDA) | 18% |
| Finance Cost | Rs 5,789 Crore |
| Capital Expenditure for the Quarter | Rs 30,102 Crore |
Liquidity and Debt Position
As of December end, Reliance Industries displayed a healthy financial position with cash and cash equivalents standing at Rs 1.92 lakh crore, up from Rs 1.78 lakh crore in the preceding quarter. However, the outstanding debt at the consolidated level reached Rs 3.12 lakh crore, compared to Rs 2.96 lakh crore in the previous quarter and Rs 3.03 lakh crore a year ago. The net debt-to-EBITDA ratio was 0.67 times as of December end, a slight increase from 0.66 times in the previous quarter.
