Everyone is waiting for Reliance Industries‘ (RIL) Q2 FY25 results. This company, led by Mukesh Ambani, is a key player in the Indian economy. Its performance is watched closely by investors and analysts.
Today, we explore the latest updates and predictions. We’ll look at the important details that will shape RIL’s second-quarter story.
Key Takeaways of Reliance Industries Q2 Results Live
- Analysts predict a mixed performance, with the core oil-to-chemicals (O2C) business likely to be affected by weak refining and petrochemicals.
- The telecom arm, Reliance Jio, is expected to report healthy results, with a focus on average revenue per user (ARPU) growth.
- Reliance Retail’s performance is also closely watched, as the consumer-facing business aims to maintain its growth momentum.
- Investors will be keen to understand the company’s debt levels and cash flow management strategies.
- The upcoming bonus share issue announcement is another key highlight that will be closely monitored.
Reliance Jio’s Performance Highlights
Reliance Jio, a part of Reliance Industries, is set to see a 4-5% rise in average revenue per user (ARPU). This will be around Rs 188-194. The increase comes from higher tariffs and more subscribers upgrading their plans. Yet, the number of subscribers might not change much due to SIM consolidation.
ARPU Growth and Subscriber Base Updates
Experts are keeping a close eye on Jio’s ARPU growth and its effect on telecom earnings. The jio earnings are expected to jump by 7% to Rs 28,363 crore in Q2FY25. This is up from Rs 26,478 crore in the last quarter. The arpu growth is 6.2% higher, reaching Rs 193 from Rs 181.7 before.
But, the subscriber base for Reliance Jio is expected to stay the same at 48.84 crore in Q2FY25. This is the same as the previous quarter. It shows a slowdown in telecom updates for the company.
“Reliance Jio’s ARPU growth and its impact on the overall telecom earnings are closely watched by analysts as the company navigates the competitive landscape.”
As Reliance Jio works on its subscriber base and arpu growth, investors and analysts will watch closely. They will see how the company does in the next quarter. They will also look at its ability to keep up in the competitive telecom updates market.
Retail Segment Outlook
Reliance Industries’ retail segment is set to shine in the second quarter. It’s expected to see a 1% rise in EBITDA, reaching around Rs 5,700 crore. Investors will watch closely as the company expands its stores and streamlines its operations.
Store Expansion and Rationalization Strategies
Reliance Retail is growing fast. It’s using a smart plan to get better and reach more customers. The main parts of this plan are:
- Opening more stores to meet the demand for different products.
- Improving the performance of current stores to make more money.
- Using technology to make shopping better and supply chains smoother.
This plan is making Reliance Retail stronger. It’s helping the company keep up with changing consumer needs and market trends.
“We remain committed to our long-term growth plans for the retail business, with a focus on expanding our presence in both existing and new markets. Our store rationalization efforts will ensure that we optimize our operations and deliver enhanced value to our customers and shareholders.”
– Mukesh Ambani, Chairman and Managing Director, Reliance Industries
O2C Division: Refining and Petrochemicals
Reliance Industries’ core O2C (oil-to-chemicals) business is key to its success. It includes refining and petrochemicals operations. In the second quarter, the O2C division’s gross revenue was Rs 1.47 lakh crore, a 7.3% drop from last year.
Despite the revenue drop, the O2C segment’s EBITDA was strong at Rs 16,281 crore. This shows how vital refining and petrochemicals are to Reliance’s success. These divisions greatly contributed to the company’s strong financial results.
Investors watched the trends in refining margins and petrochemicals closely. The Singapore GRMs fell by 62% year-over-year, showing tough market conditions. But Reliance’s integrated model helped balance out the weak refining margins.
| Key Performance Indicators | Q2 FY24 | Q2 FY23 | Change (%) |
|---|---|---|---|
| Gross Revenue from O2C Division (Rs crore) | 1,47,000 | 1,58,000 | -7.3% |
| EBITDA from O2C Division (Rs crore) | 16,281 | 21,921 | -25.7% |
| Singapore GRM ($/bbl) | 5.0 | 13.3 | -62.4% |
The petrochemicals business also faced challenges, with lower product prices affecting performance. Yet, Reliance’s wide range of products and its reach in various sectors helped it stay on top in the petrochemicals market.
As Reliance Industries moves forward, the O2C division’s performance will be closely watched. The company’s success in refining and petrochemicals, along with its integrated model, will be key to its growth and profits.
Upstream Operations and Profit Petroleum Share
Reliance Industries’ upstream oil and gas segment is expected to see a slight decline in EBITDA, down 1% quarter-over-quarter. This is due to a marginal production decline and an increase in the government’s profit petroleum share. Analysts will be closely monitoring the production trends and any cost implications that may have affected the segment’s margins.
Production Trends and Cost Implications
According to industry reports, Reliance’s upstream operations have experienced a modest production decline in the recent quarter. This, coupled with an increase in the government’s profit petroleum share, has led to a marginal decrease in the segment’s EBITDA performance. Investors and analysts will be keen to understand the specific production trends and any cost implications that may have impacted the overall profitability of Reliance’s oil and gas revenue and upstream operations.
| Key Metrics | Q2 Estimates | Q1 Actuals | Change (Q-o-Q) |
|---|---|---|---|
| Upstream EBITDA | Rs. 2,500 crore | Rs. 2,525 crore | -1% |
| Profit Petroleum Share | 25% | 23% | +2% |
| Production Volumes | 17 mmscmd | 17.5 mmscmd | -2.9% |
The profit petroleum share increase and the slight dip in production volumes have contributed to the overall cost implications for Reliance’s upstream business. This has led to the anticipated 1% decline in EBITDA for the quarter. Investors will be keen to understand Reliance’s strategies to optimize production and mitigate the impact of rising government shares on their upstream operations.
“Reliance’s upstream segment is expected to witness a marginal decline in profitability, but the company’s diversified business model should help offset the impact and deliver a resilient overall performance.”
Financial Projections and Estimates
Reliance Industries is set to share its Q2 FY25 results soon. Analysts have made different predictions about the company’s financial performance. Some think net profit might drop a bit, while others believe revenue could go up slightly from last year.
Revenue, EBITDA, and Net Profit Forecasts
JM Financial predicts a 11% drop in net profit to Rs 15,518 crore. ICICI Securities and Nuvama also see a decline of 11% and 13%, respectively. But, they think revenue might stay the same or increase a little from last year.
Investors are eager to see the financial highlights. They want to know about revenue forecasts, EBITDA forecasts, and net profit forecasts for the quarter. This will help them understand Reliance’s financial health and make better choices.
| Metric | Estimate | YoY Change |
|---|---|---|
| Revenue | Rs 2,40,500 crore | 4% increase |
| EBITDA | Rs 39,800 crore | 6% decline |
| Net Profit | Rs 15,400 crore | 11% decrease |
As Reliance moves forward, it will focus on keeping its finances strong. The company aims to take advantage of new chances in the future.
Reliance Industries Q2 Results Live
Reliance Industries Ltd. (RIL) is set to share its Q2 FY25 results today after the market closes. Everyone is excited to see how the company did in its various sectors. The telecom, retail, and oil-to-chemicals (O2C) divisions are especially important to watch.
Experts think RIL’s Q2 results will show a mixed picture. Jio, the telecom arm, might see a 10.5% rise in EBITDA from the last quarter. This is thanks to a 6% jump in average revenue per user (ARPU). But, the O2C segment could see a 9% drop in earnings from the last quarter, due to lower refining margins.
- Antique Stock Broking predicts a small 2.8% rise in EBITDA for RIL, mainly thanks to Jio.
- Jio’s ARPU is expected to stay at Rs 181.7 in Q1 FY25, but EBITDA might go up by 6.6% from the last quarter.
- Reliance’s retail EBITDA is expected to stay the same as the last quarter. But, the company’s overall EBITDA and net profit might go up by 2% each from the last quarter in Q2 FY25.
Investors will also keep an eye on the company’s comments on the recent bonus share issue. They will also look for updates on new energy projects and green initiatives. This includes the progress on the Dhirubhai Ambani Green Energy Giga Complex.
| Metric | Estimate | YoY Change |
|---|---|---|
| Net Profit | Rs 15,518 crore | -11% |
| Sales | Rs 2,30,715 crore | -0.5% |
| Consolidated EBITDA | Rs 33,900 crore | -4% |
When Reliance Industries shares its Q2 FY25 results, everyone will be watching closely. They want to see how the company did and what it plans for the future.
Brokerages’ Viewpoints and Target Prices
Before Reliance Industries’ Q2 results, brokerages shared their views and target prices. They are cautious about the short-term, especially in O2C. But they are optimistic about the long-term, especially in new energy and consumer segments.
Analysts’ Perspectives on Key Segments
Antique Stock Broking expects a 2.8% EBITDA growth for Reliance in Q2. This growth comes mainly from telecom, with a 10.5% increase in telecom EBITDA. Reliance Jio’s ARPU was steady at Rs 181.7 per subscriber in the first quarter.
Morgan Stanley sees challenges in refining and retail but expects retail to improve by 2025. They set a price target of Rs 3,325 for the stock.
| Brokerage | Target Price | Percentage Change |
|---|---|---|
| Prabhudas Lilladhar | Rs 3,041.85 | -9.76% |
| BOB Capital Markets Ltd. | Rs 2,898.25 | -5.29% |
| Geojit BNP Paribas | Rs 3,026.30 | -9.29% |
| SMC Online | Rs 2,918.65 | -5.95% |
Investors will watch closely for updates on Reliance’s key segments and any changes to target prices during the Q2 results.
Debt Levels and Cash Flow Management
Reliance Industries is set to report its Q2 results. Investors will keep a close eye on the company’s debt and cash flow. A strong balance sheet and cash flow are key for funding growth plans, like the Dhirubhai Ambani Green Energy Giga Complex.
Reliance’s gross debt is Rs 2,51,811 crore (US$34.4 billion) as of March 31, 2024. This includes standalone debt and balances in key subsidiaries. The company must manage cash flow well to meet its debt and fund new projects.
| Metric | 2020 | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|
| Revenue From Operations (Rs. Cr.) | 366,177 | 278,940 | 466,425 | 565,347 | 574,956 |
| Net Revenue From Operations (Rs. Cr.) | 336,953 | 245,667 | 423,703 | 528,315 | 534,534 |
| Cost Of Materials Consumed (Rs. Cr.) | 237,342 | 168,262 | 320,852 | 391,508 | 376,418 |
| Employee Benefit Expenses (Rs. Cr.) | 6,067 | 5,024 | 5,426 | 5,691 | 7,807 |
| Profit Before Tax (Rs. Cr.) | 40,316 | 27,212 | 46,786 | 54,133 | 55,273 |
| Total Tax Expenses for Continuing Operations (Rs. Cr.) | 9,413 | -4,732 | 7,702 | 11,116 | 13,231 |
| Profit/Loss for the period (Rs. Cr.) | 30,903 | 31,944 | 39,084 | 44,205 | 42,042 |
| Equity Share Dividend (Rs. Cr.) | 3,852 | 3,921 | 4,297 | 5,083 | 6,089 |
| Equity Dividend Rate (%) | 65.00% | 70.00% | 80.00% | 90.00% | 100.00% |
The table shows Reliance Industries’ financial growth over five years. It highlights revenue, cost management, and profits. Despite high debt, the company’s cash flow and profits suggest it can handle its debt and fund growth.
Investors will watch Reliance’s debt and cash flow closely. The company is navigating the energy landscape and planning for the Dhirubhai Ambani Green Energy Giga Complex and other ventures.
New Energy Ventures and Green Initiatives
Reliance Industries is focusing on new energy ventures and green initiatives. The Dhirubhai Ambani Green Energy Giga Complex in Jamnagar is a key project. Investors are watching how this project is doing.
Progress on Dhirubhai Ambani Green Energy Giga Complex
The Dhirubhai Ambani Green Energy Giga Complex shows Reliance’s commitment to clean energy. It’s a top-notch facility in Jamnagar for making solar panels and energy storage batteries. It aims to help India move towards a greener future.
Reliance has made big steps in building the Giga Complex. It’s using the latest tech and infrastructure. The company has also teamed up with global leaders in renewable energy. This has helped it grow in the new energy ventures field.
| Key Highlights | Details |
|---|---|
| Capacity | The Giga Complex will start with 100 GW of solar energy, 100 GW of battery storage, and 100 GW of green hydrogen. |
| Investment | Reliance plans to spend Rs. 75,000 crore on the Dhirubhai Ambani Green Energy Giga Complex. |
| Timeline | The first part of the project will start in 2024. The whole Giga Complex will be ready by 2027. |
Reliance’s push for green initiatives and the Giga Complex shows its aim to lead in clean energy. Investors are watching this project closely. It could change Reliance’s energy focus and make it a top player in new energy ventures.
Investor Expectations and Market Reactions
Reliance Industries Ltd. is set to share its Q2 results soon. Investors are eagerly waiting to see how the company performs. They are expecting a lot, given Reliance’s past success and its big plans for the future.
Reliance Jio, the digital services division, is a key focus for investors. Jio has been a big reason for Reliance’s growth. Investors want to know about subscriber numbers, ARPU, and the 5G rollout progress.
The retail segment is also important. Investors will look at how Reliance plans to grow its stores and how well this division is doing.
| Metric | Value |
|---|---|
| 3-year stock return | 3.45% vs. Nifty 100’s 43.3% |
| Share price movement | 0.04% increase to Rs 2,745.05 |
| Key financial ratios | PE ratio: 27.02, EPS: ₹101.60, Market Cap: ₹18,57,363 Cr, PB ratio: 2.01, Dividend Yield: 0.36% |
| Beta range | -0.34 to 1.11 |
| Investing activities | ₹114,301.0 Cr, 25.28% YoY increase |
The market will watch Reliance’s Q2 results closely. Any guidance from the management will also be important. Investors want to see how different parts of the business are doing and if the company’s plans are working.
Reliance is focusing on new energy and green projects. Investors are interested in the progress of these initiatives. They see how these efforts could help the company grow in the long run.
“Reliance Industries’ Q2 results will be a crucial indicator of the company’s ability to navigate the current market conditions and deliver on its ambitious plans for the future.”
Bonus Share Issue and Record Date Announcement
Reliance Industries, a big name in India, is about to share big news. They will tell us when the record date for a major bonus share issue is. This event could be the biggest bonus share issue in India’s history.
The bonus share issue means each shareholder will get an extra share for every one they have. This is good news for investors. It could make more people want to buy Reliance’s stock.
| Metric | Details |
|---|---|
| Bonus Share Ratio | 1:1 |
| Previous Bonus Issues | 1983, 1980, 1997, 2009, 2017 |
| RIL Stock Performance | 277.89% return since the last bonus shares in 2017 |
| Market Performance | RIL shares up 6% YTD, BSE Sensex up 12.60% |
The market is waiting for the record date announcement. It will show who gets the extra shares. This shows Reliance’s success and its way of thanking its investors.
When Reliance Industries shares its Q2 results, everyone will be watching. They’ll look at Jio’s success, the retail division’s plans, and updates on the O2C division. They’ll also check the financial forecasts and how the company handles its debt. Plus, they’ll be interested in the progress on new energy projects and green initiatives.
Conclusion of Reliance Industries Q2 Results Live:
Reliance Industries’ Q2 FY25 results are eagerly awaited by the market. People will look closely at how well Jio, retail, and the O2C division are doing. They will also watch the company’s progress in new energy, debt levels, and any news about bonus shares.
The market will pay special attention to the telecom segment’s ARPU growth. They will also look at the retail division’s growth plans and the refining and petrochemicals businesses’ performance. The company’s upstream operations and profit petroleum share will also be scrutinized.
Brokerages’ views on Reliance’s key areas will be important. So will the management’s handling of debt and cash flow. The progress on the Dhirubhai Ambani Green Energy Giga Complex will also be key. The market’s response and Reliance’s success in its strategic plans will shape the stock’s future.
FAQ of Reliance Industries Q2 Results Live?
Q: What are the key highlights expected in Reliance Industries’ Q2 FY25 results?
A: Reliance Industries is expected to show mixed results in Q2 FY25. The core oil-to-chemicals (O2C) business might see a drop in net profit by 11-13% year-over-year. This is due to weak refining and petrochemicals.
However, the consumer-facing businesses like Reliance Jio and Reliance Retail are expected to perform well. This could help offset the weakness in the O2C business.
Q: What are the expectations for Reliance Jio’s performance in Q2 FY25?
A: Reliance Jio is expected to see a 4-5% increase in average revenue per user (ARPU) to Rs 188-194. This growth is due to recent tariff hikes and subscriber upgrades.
But, the company’s subscriber base is likely to stay flat. This is because of ongoing SIM consolidation.
Q: What are the expectations for Reliance’s retail segment in Q2 FY25?
A: Reliance’s retail segment is expected to see a 1% increase in EBITDA to around Rs 5,700 crore. Investors will be watching for updates on store expansion and rationalization.
They will also look for signs of a strong recovery in the retail business.
Q: How is the performance of Reliance’s core O2C (oil-to-chemicals) business expected to be in Q2 FY25?
A: Reliance’s core O2C business is expected to be a major drag. Analysts predict a 25-27% year-over-year decline in EBITDA.
This weakness is due to poor refining margins and weaker petrochemicals performance.
Q: What are the expectations for Reliance’s upstream oil and gas segment in Q2 FY25?
A: Reliance’s upstream oil and gas segment is expected to see a slight decline in EBITDA. It will be down 1% quarter-over-quarter.
This is due to a marginal production decline and an increase in the government’s profit petroleum share.
Q: What are the financial projections and estimates for Reliance Industries’ Q2 FY25 performance?
A: Analysts have different estimates for Reliance Industries’ Q2 FY25 performance. JM Financial expects a 11% year-over-year drop in net profit.
ICICI Securities and Nuvama estimate an 11% and 13% year-over-year decline, respectively. Revenue is expected to remain flat or see a small increase compared to last year.
Q: What are the key focus areas for investors in Reliance Industries’ Q2 results?
A: Investors will be watching for updates on Jio’s ARPU growth and the performance of the upstream oil and gas segment. They will also look at the company’s debt levels and cash flow management.
Investors will be interested in any progress on new energy ventures and green initiatives, especially the Dhirubhai Ambani Green Energy Giga Complex.
Q: What are the expectations around Reliance Industries’ bonus share issue announcement?
A: Reliance Industries is expected to announce the record date for its 1:1 bonus share issue with the Q2 results. This is seen as a positive move for shareholders and could boost investor sentiment.
