Refining, petrochemicals margins lift RIL profit by 7%

Telecom arm Jio, however, posts loss of ₹2.71 billion

Giant leap: Profit on a standalone basis rose to ₹82.65 billion in the quarter ended September 30, its highest ever.

Indian oil-to-telecoms conglomerate Reliance Industries Ltd. posted a 7.3% rise in its second-quarter standalone net profit, buoyed by higher margins from its core refining and petrochemicals businesses.

Profit on a standalone basis, which includes refining, petrochemicals and oil and gas exploration businesses, rose to ₹82.65 billion($1.27 billion) in the quarter ended September 30, its highest ever. But that was below analysts’ average estimate of ₹88.05 billion, Thomson Reuters data showed. Refining, petrochemicals and oil and gas exploration businesses, which account for more than 90% of the company’s overall revenue and profit, delivered an 11.5% rise in quarterly revenue from operations to ₹717.61 billion.

Outperforms Singapore

Gross refining margin, the profit earned on each barrel of crude processed, was $12 for the quarter, outperforming the benchmark Singapore complex margins by $3.7 per barrel. On a consolidated basis, which also includes Reliance Industries’ U.S. shale gas, retail and other operations, profit came in at ₹81.09 billion, the company said in a filing on Friday. Its telecoms arm Jio Infocomm Ltd., which upended the telecom industry with its free calls and cheaper data plans, posted a loss of ₹2.71 billion. Ahead of the results, shares in Reliance hit a record high of ₹890.7, rising 2.1%.