Reliance Industries (NS:RELI) Limited (RIL) reported quarterly consolidated revenue at Rs 2.58 lakh crore for Q2 FY25. O2C revenues better due to higher volumes and increased domestic placement of products. Digital services revenue increased with the impact of revised telecom tariffs on mobility services and at scale homes and digital services businesses. Lower gas price realisations led to 6% lower revenue in the Oil and Gas segment.
EBITDA of RIL stood at Rs 43,934 crore in FY22, a decline of 2 per cent year over year. In contrast, EBITDA of JPL rose 17.8 per cent year over year due to a mix of better subscribers, increased scale of digital services, and rising telecom tariffs.
EBITDA/ EBITDA margin rose 18.4 per cent for RRVL, up 30 basis points, with continued operations and a calibrated approach in B2B.
O2C EBITDA declined 23.7 per cent, largely due to steep product margin falls. Fuel cracks came down about 50 percent year on year. Downstream chemicals came down also due to muted demand internationally in an over-supplied market. However, RIL gained because of superior ethane cracking economics, driven by a steep fall in prices for ethane.
The Oil and Gas segment reported EBITDA of Rs 4,998 crore, up 11 per cent YoY, led by sustained volume growth and one-time provisioning for cost of decommissioning Tapti field in Q2 FY 24.
Mr. Mukesh D. Ambani, Chairman and Managing Director, Reliance Industries Limited said: "I am happy to mention that for this quarter Reliance once again showed an example of resilience in its diversified business portfolio. Our performance reflects robust growth in Digital Services and Upstream business. This helped partially offset weak contribution from O2C business which was impacted by unfavourable global demand-supply dynamics.
Ambani said, "Growth in Digital Services was led by increases in ARPU and improving customer engagement metrics which reflect the strong value proposition of our services. The home broadband segment is witnessing accelerated momentum on the back of our unique industry-leading JioAirFiber offering. Jio's broad spectrum of offerings enables it to digitally empower every village, town, and city in India as well as the country's small and medium-scale enterprises. The digital services business continues to focus on innovative deep-tech solutions on a national scale and is on track to deliver the path-breaking benefits of Artificial Intelligence to all Indians.
"The retail segment continues to enhance its consumer touch points and product offerings across physical as well as digital channels. The innovative omni-channel retail model allows the business to cater to diverse needs of a large, heterogeneous customer base. The retail business continues to ally with prominent domestic as well as international players, enhancing its basket of quality product offerings. The emphasis on strengthening our Retail operations will enable us to grow this business exponentially in the coming quarters and years and maintain our industry-leading growth pace," he added.
"The first of our New Energy Giga-factories is on course to start producing solar PV modules by the end of this year. With a whole gamut of renewable solutions from solar, energy storage systems, green hydrogen, bio-energy, and wind, we expect the New Energy business to play a significant role in global clean energy transition," Ambani said.
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