- While the Mukesh Ambani-led
Reliance Industries reported lower than expected net profit and revenue for the March quarter, profitability fell for the first time in FY22. - The oil-to-retail and now digital conglomerate reported a net profit of ₹18,000 crore with revenue of ₹2.11 lakh crore in the March quarter.
- The company has planned a dividend of ₹8 per share for the financial year ending March 2022.
The oil-to-telecom conglomerate company owned by
It posted net profit of ₹18,000 crore with a revenue of ₹2.11 lakh crore in the March quarter – this is a decline of 12.25% in profit sequentially, while revenue is up 10.77%. Analysts expected a growth of 4.7% in profit and 14.5% in revenue.
Some of the impact is because of weak margins in its strongest suit – the oil-to-chemicals and gas segments. This was not a complete surprise as $4weaker margins in the petrochemicals business because of higher crude oil prices.
The company in its March quarter earnings reported that downstream product margins in oil-to-chemicals were impacted by weak naphtha cracking economics and supply overhang in fibre intermediates.
Also, petrochemicals and oil to gas segments reported a fall in EBITDA margin.
In other segments, like $4 and $4, the company reported strong performance.
The company has also declared a dividend of ₹8 per share for the financial year ending March 31, 2022.
“I am particularly happy with the progress our Company is making in the New Energy and New Materials business. We are forging ahead with the development of our New Energy Giga Factories complex across 5,000 acres in Jamnagar,” said Mukesh D. Ambani, chairman and managing director at Reliance Industries.
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