Reliance Industries Ltd Stock Analysis Part 1

Published on 03 August 2020
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Reliance Industries Ltd.’s quarterly profit rose even as demand for fuel and refining margins fell due to Covid-19-related disruptions. Net profit of India’s largest company by market value rose 31% year-on-year to Rs 13,233 crore in the quarter ended June, according to its exchange filing. Profit rose mainly as RIL recorded a one-time gain of Rs 4,966 crore from the transfer of its petrol marketing business to the joint venture between RIL and BP Plc. Revenue fell 44% over last year to Rs 88,253 crore—much lower than the Rs 1.03-lakh-crore estimate. Operating profit fell 21% to Rs 16,875 crore. Operating margin widened to 19.1% from 13.6%. Gross refining margins—what RIL earns for refining one barrel of crude oil—dropped to $6.3 per barrel.

About Reliance Industries

Reliance Industries Limited (RIL) is an Indian multinational conglomerate company and owns businesses across India engaged in energy, petrochemicals, textiles, natural resources, retail, telecommunications, digital services & financial services.

Reliance Industries: Quarter Performance & Analysis

The video offers detailed Reliance Industries stock analysis with an in-depth study of Reliance Industries results. It provides a thorough report on Reliance Industries quarterly results for Q1 FY21, while comparing it with previous results, both annually & quarterly. Due to the covid impact, a fall in the revenue & EBITDA figures can be observed, when compared with the previous year & quarter results. The reason for such a fall can be incurred due to the sharp fall in crude oil prices & the high volatility across Global oil markets. However, an increase in the EBITDA margin is observed.

Reliance Industries Financial Analysis

The video draws light to the inclusion of the exceptional item in revenue which is due to the sale of 49% stake in retail fuel joint with British Petroleum. The gain from such exceptional revenue is considered while comparing the Net Profit results from the previous year & quarter. The revenue figures across reliance industries subsidiaries like the retail business, refining business, oil & gas business, etc. are also discussed in the video. Thus, the video offers a detailed Reliance Industries segment analysis, by thoroughly analysing the Reliance Industries balance sheet. You can check out the financial statements & quarterly results of the company, along with Reliance Industries share price, on the stock-o-meter feature of our website.

Make A Viable Investment Decision With RIL Stock Analysis

The investors will get an in-depth understanding of the Reliance Industries stock with this video offering Reliance Industries analysis. The users will gain an understanding of various fundamentals of the company with a proper study from various reliance industries financial statements. Moreover, the study of the business verticals of Reliance Industries & the EBITDA mix will offer a broader view of the company, for the investors. Furthermore, the users will get a detailed calculation as to how the company is virtually debt-free.

All in all, through this video of Reliance Industries Fundamental Analysis, the investors will be able to make a viable investment decision.