RIL bonus share record date announcement today? Stock in focus ahead of Reliance Q2 results

Reliance Industries Ltd is seen announcing the record date for its 1:1 bonus share issue, along with the September quarter results, today. The oil-to-telecom major had announced its sixth bonus issue, the largest-ever in Indian history, on September 5.

Since its last bonus shares in 2017, the RIL scrip has delivered 277.89 per cent return and stood at Rs 2,742.20 on Friday against Rs 725.65 on September, 7, 2017, the ex-date. The preceding four bonus issues were announced in 2009, 1997, 1983 and 1980.

RIL shares have fallen nearly 7 per cent in the past one month. The scrip is up 6 per cent year-to-date against a 12.60 per cent rise in the BSE Sensex during the same period.

Reliance Industries had in 2009 announced bonus shares in the 1:1 ratio, with the stock turning ex-date on November 26 that year. The 1997 bonus issue too was declared in the 1:1 ratio. The 1983 bonus shares were offered in the 6:10 ratio and 1980 in the 3:5 ratio.

Besides this, RIL announced a total five rights issues, the last one in May 2020. In July 2023, Jio Financial Services Ltd was demerged.

Systematix Institutional Equities in its Q2 preview note expects Reliance’s core O2C business to be affected negatively due to weak refining and petchem business resulting in 25.9 per cent YoY reduction in O2C Ebitda.

This, it said, will be partially offset by better results in the digital platform business due to the tariff hike and it’s Ebitda is estimated to grow 16.9 per cent YoY. "We expect ARPU to grow by 5 per cent to Rs 190.80. We anticipate the upstream oil and gas segment to rise 8.7 per cent YoY (flattish QoQ) due to improved production from KG-D6 block," the brokerage said.

Nuvama estimated 6 per cent YoY fall in RIL’s consolidated Ebitda mainly hurt by weak O2C, partly offset by healthy performance from the consumer businesses.

"We anticipate O2C Ebitda to fall 27 per cent YoY on weak refining (Singapore GRMs down 62 per cent YoY), weak petchem. O&G Ebitda to rise 4 per cent YoY on 3 per cent YoY production rise. Retail Ebitda to grow 7 per cent YoY on 10 per cent YoY rise in retail area. Jio Ebitda to rise 12 per cent YoY on higher ARPU (up 5 per cent YoY). We are cutting target price for RIL to Rs 3,660 as we factor in recent weakness in O2C segment," it said.