Reliance Industries Q3 results: Here are 10 key takeaways

Reliance Industries on Friday posted better-than-expected financial results for the third quarter ended December 31. A significant contribution from business verticals, including retail segment, oil-to-chemicals and digital services businesses supported the financials.

Earlier during the day, shares of the company closed almost flat at Rs 2,478. On the other hand, the benchmark BSE Sensex settled down 427.44 points or 0.72 per cent at 59,037. 

Here are some key takeaways from the company's quarterly results.

Bottomline: The energy-to-telecom behemoth reported 41.58 per cent year-on-year (YoY) growth in consolidated net profit (attributable to owners of the company) at Rs 18,549 crore. The company had posted a profit of Rs 13101 crore in the same period last year. 

Topline: Consolidated revenue from operations also jumped 52 per cent YoY to Rs 1.91 lakh crore.

Operating profit: Consolidated EBITDA increased 29.90 per cent YoY to Rs 33,886 crore.

Commentary from CMD: Mukesh Ambani, chairman and managing director, Reliance Industries said, "Reliance has posted best-ever quarterly performance in Q3 FY22 with a strong contribution from all our businesses. Both consumer businesses, retail and digital services have recorded highest ever revenues and EBITDA."

"During this quarter, we continued to focus on strategic investments and partnerships across our businesses to drive future growth. Retail business activity has normalised with strong growth in key consumption baskets on the back of the festive season and as lockdowns eased across the country. The recovery in global oil and energy markets supported strong fuel margins and helped our O2C business deliver robust earnings," he said.

Jio Platforms: Gross revenue for the segment increased by 13.80 per cent YoY to Rs 24,176 crore during the quarter under review. The average revenue per user or ARPU also grew by 8.4 per cent YoY and 5.6 per cent quarter-on-quarter (QoQ) to Rs 151.6 per subscriber per month. Net Profit for the quarter came at Rs 3,795 crore, up 8.9 per cent YoY.

Reliance Retail: The segment delivered a landmark quarter posting all-time high revenue and EBITDA as the operating environment returned to normalcy. Reliance Retail recorded 52.50 per cent YoY growth in consolidated gross revenue at Rs 57,714 crore.

Oil2Chemicals (O2C): Segment revenue for Q3FY22 increased by 56.8 per cent YoY to Rs 131,427 crore primarily on account of an increase in crude oil prices and higher volumes. EBITDA also improved by 38.7 per cent YoY to Rs 13,530 crore on the back of better transportation fuel cracks and a higher polyester chain delta. Segment EBITDA margin for the quarter declined by 130 basis points YoY to 10.3 per cent. "This was primarily due to base effect driven by higher feedstock and product prices," RIL said in a release.

Oil and Gas (Exploration & Production): Segment revenues for Q3FY22 increased by 494 per cent YoY to Rs 2,559 crore. Segment EBITDA sharply increased to Rs 2,033 crore, with an EBITDA margin of 79.4 per cent. This was primarily due to the ramp-up of gas production from KG D6 and improved price realisation.

Media business: Revenue from operations (net of GST) rose 16.5 per cent YoY to Rs 1,657 crore in Q3FY22. EBITDA grew 15.1 per cent YoY to Rs 373 crore.

Other updates: Outstanding debt stood at Rs 2,44,708 crore as of December 31, 2021. On the other hand, cash and cash equivalents as on stood at Rs 2,41,846 crore.

Also read: RIL Q3 results: Net profit rises 41.5% to Rs 18,549 cr

Also read: Jio posts 10% rise in net profit at Rs 3,615 cr in Dec quarter; ARPU grows 5.6%