Source Name: Reliance Industries Limited

Reliance Industries Ltd. 4Q FY15 Financial Results

Apr 17, 2015 16:55 IST

Mumbai, Maharashtra, India

- Consolidated Revenue Of Rs. 388,494 Crore ($ 62.2 Billion), Down 13.0%

- Record Consolidated PBDIT Of Rs. 45,977 Crore ($ 7.4 Billion), Up 5.0%

- Consolidated Segment EBIT Of Rs. 28,674 Crore ($ 4.6 Billion), Up 12.0%

- Record Consolidated Net Profit Of Rs. 23,566 Crore ($ 3.8 Billion), Up 4.8%

- Record Quarterly Consolidated Net Profit Of Rs. 6,381 Crore ($ 1.0 Billion), Up 8.5%

Reliance Industries Limited (RIL) today reported its financial performance for the quarter / year ended 31st March, 2015. Highlights of the audited financial results as compared to the previous year are:

CONSOLIDATED FINANCIAL PERFORMANCE

(In Rs. Crore)

4Q FY15

3Q FY15

4Q FY14

Change wrt 3Q FY15

Change wrt 4Q FY14

FY15

FY14

Change wrt FY14

Turnover

70,863

96,330

106,208

(26.4%)

(33.3%)

388,494

446,339

(13.0%)

PBDIT

11,973

11,109

11,536

7.8%

3.8%

45,977

43,800

5.0%

Profit Before Tax

8,509

7,018

7,648

21.2%

11.3%

31,114

28,763

8.2%

Net Profit

6,381

5,256

5,881

21.4%

8.5%

23,566

22,493

4.8%

EPS (Rs.)

21.7

17.8

20.0

21.4%

8.5%

80.1

76.5

4.7%

HIGHLIGHTS OF QUARTER’S PERFORMANCE (CONSOLIDATED)

Revenue (turnover) decreased by 33.3 % to Rs. 70,863 crore ($ 11.3 billion)
PBDIT increased by 3.8 % to Rs. 11,973 crore ($ 1.9 billion)
Profit Before Tax increased by 11.3 % to Rs. 8,509 crore ($ 1.4 billion)
Cash Profit increased by 6.0 % to Rs. 9,516 crore ($ 1.5 billion)
Net Profit increased by 8.5 % to Rs. 6,381 crore ($ 1.0 billion)

HIGHLIGHTS OF QUARTER’S PERFORMANCE (STANDALONE)

Revenue (turnover) decreased by 39.7 % to Rs. 59,013 crore ($ 9.4 billion)
Exports decreased by 44.0% to Rs. 37,480 crore ($ 6.0 billion)
PBDIT increased by 3.8 % to Rs. 10,762 crore ($ 1.7 billion)
Profit Before Tax increased by 12.8 % to Rs. 8,226 crore ($ 1.3 billion)
Cash Profit increased by 7.7 % to Rs. 8,658 crore ($ 1.4 billion)
Net Profit increased by 10.9 % to Rs. 6,243 crore ($ 1.0 billion)
Gross Refining Margin of $ 8.6/bbl for the year and $ 10.1/bbl for the quarter
Dividend of 100%, payout of Rs. 3,559 crore ($ 569 million)

CORPORATE HIGHLIGHTS FOR THE QUARTER (4Q FY15)

In January 2015, RIL priced a Rule 144A/Regulation S offering of US$ 1,000 million 4.125% Senior Unsecured Notes due 2025 (the “10-year Notes”).The 10 Year Notes have been assigned a rating of BBB+ (S&P) and Baa2 (Moody’s). The 10-year Notes have been priced at 240 basis points over the 10-year US Treasury Note, at a price of 98.998 to yield 4.249%. The proceeds will be utilized for its ongoing capital expenditure.

In February 2015, RIL priced a Rule 144A/Regulation S offering of US$ 750 million 4.875% Senior Unsecured Notes due 2045 (the “30-year Notes”).The 30-year Notes have been assigned a rating of BBB+ (S&P) and Baa2 (Moody’s). The 30-year Notes have been priced at 262.5 basis points over the 30-year US Treasury Note, at a price of 98.865 to yield 4.948%. The funds will be utilized for its ongoing capital expenditure.

In February 2015, RIL has applied for a Payments Bank license. RIL will be the Promoter and State Bank of India (“SBI”) will be the joint venture partner with equity investment of up to 30 per cent. This partnership brings together the combined strengths of two of India’s Fortune 500 corporations committed to making a transformative impact on India’s financial inclusion landscape.

In March 2015, Reliance Jio Infocomm Ltd (“RJIL”), a subsidiary of RIL, announced that it has successfully acquired the right to use spectrum in 13 key circles across India in the 800MHz and 1800MHz bands in the recently concluded spectrum auction conducted by DoT, Government of India. RJIL plans to provide seamless 4G services using LTE in 800MHz, 1800MHz and 2300MHz bands through an integrated ecosystem. With this investment, in addition to the pan- India 2300MHz spectrum, RJIL has spectrum in either 800MHz or 1800MHz or both in 20 out of total 22 circles in the country. This combined spectrum footprint across frequency bands provides significant network capacity and deep coverage. Through this acquisition, RJIL’s total equivalent spectrum footprint has increased from 597.6MHz to 751.1MHz (including uplink and downlink), strengthening its position as the largest holder of liberalized spectrum.

In March 2015, RIL and Myanma Oil & Gas Enterprise (MOGE), an enterprise of the Government of Myanmar, have signed production sharing contracts for two offshore blocks (M17 and M18).RIL will be the operator of the blocks with a 96 per cent participating interest. United National Resources Development Services Co. Ltd. (UNRD), a Myanmar company, will hold the remaining interest in the block. RIL’s participation is in line with its strategy to expand its international asset base by investing in internationally attractive oil and gas destinations.

Commenting on the results, Mukesh D. Ambani, Chairman and Managing Director, Reliance Industries Limited said: “FY 2014-15 has been a very successful and important year for Reliance. In a time when the collapse of crude oil prices unsettled the hydrocarbons markets, our refining business delivered record earnings. The earnings power demonstrated by our hydrocarbon businesses in this environment validates our philosophy of investing in world-scale, cost competitive assets, cutting-edge technology and the talent of people. This year we also made giant strides in our quest to sustain Reliance’s growth momentum with the highest-ever capital investment into our hydrocarbon business and our next-generation digital services initiative. Our organized retail business maintained its high growth trajectory with a wider pan-India footprint. Particularly gratifying, we achieved this, while maintaining our track-record of adhering to highest standards of safety and operational excellence.”

FY 2014-15: FINANCIAL PERFORMANCE REVIEW (CONSOLIDATED)

RIL achieved a turnover of Rs. 388,494 crore ($ 62.2 billion) for the year ended 31st March 2015, a decrease of 13.0%, as compared to Rs. 446,339 crore in the previous year. The decline in turnover reflects sharp fall in crude oil prices during the second half of the year. Crude oil price averaged at $ 85.4/bbl in FY15, a fall of 21% on Y-o-Y basis. With decrease in oil and product prices, exports from India were lower by 17.1% at Rs. 228,651 crore ($ 36.6 billion) as against Rs. 275,825 crore in the previous year.

Strong operating performance from the refining business and stable petrochemicals business performance led higher operating profits. Operating profit before other income and depreciation increased by 7.3 % on a Y-o-Y basis from Rs. 34,799 crore to Rs. 37,364 crore ($ 6.0 billion). Profit after tax was higher by 4.8% at Rs. 23,566 crore as against Rs. 22,493 crore in the previous year.

4Q FY 2014-15: FINANCIAL PERFORMANCE REVIEW AND ANALYSIS (CONSOLIDATED)

For the quarter ended 31st March 2015, RIL achieved a turnover of Rs. 70,863 crore ($ 11.3 billion), a decrease of 33.3%, as compared to Rs. 106,208 crore in the corresponding period of the previous year. Sharp Y-o-Y fall in benchmark oil price of around 50% was the key factor for the decline in revenue. Exports from India were lower by 44.0% at Rs. 37,480 crore ($ 6.0 billion) as against Rs. 66,875 crore in the corresponding period of the previous year due to lower commodity oil prices.

Cost of raw materials declined by 52.0% to Rs. 40,220 crore ($ 6.4 billion) from Rs. 83,749 crore on Y- o-Ybasis.

Employee costs were at Rs. 1,659 crore ($ 265 million) as against Rs. 1,575 crore in corresponding period of the previous year.

Other expenditure increased by 27.7% on a Y-o-Y basis from Rs. 7,247 crore to Rs. 9,258 crore ($ 1.5 billion) primarily due to consolidation of Network 18 Media & Investments Limited from current year.

Operating profit before other income and depreciation increased by 4.7 % on a Y-o-Y basis from Rs. 9,426 crore to Rs. 9,868 crore ($ 1.6 billion)

Other income was higher at Rs. 2,172 crore ($ 348 million) as against Rs. 2,097 crore in corresponding period of the previous year, primarily on account of higher profit on sale of investments.

Depreciation (including depletion and amortization) was lower by 4.2% to Rs. 2,787 crore ($ 446 million) as compared to Rs. 2,910 crore in corresponding period of the previous year.

Interest cost was at Rs. 677 crore ($ 108 million) as against Rs. 978 crore in corresponding period of the previous year. Interest cost was lower due to lower average exchange rate during the quarter.

Profit after tax was higher by 8.5% at Rs. 6,381 crore ($ 1.0 billion) as against Rs. 5,881 crore in the corresponding period of the previous year.

Basic earnings per share (EPS) for the quarter ended 31st March 2015 was Rs. 21.7 as against Rs. 20.0 in the corresponding period of the previous year.

Outstanding debt as on 31st March 2015 was Rs. 160,860 crore ($ 25.7 billion) compared to Rs. 138,761 crore as on 31st March 2014.

Cash and cash equivalents as on 31st March 2015 were at Rs. 84,472 crore ($ 13.5 billion). These were in bank deposits, mutual funds, CDs and Government Bonds and other marketable securities.

The capital expenditure for the year ended 31st March 2015 was Rs. 100,247 crore ($ 16.0 billion) including exchange rate difference capitalization. Capital expenditure was principally on account of ongoing expansions projects in the petrochemicals and refining business at Jamnagar, Dahej and Hazira, Broad band Access and US Shale gas projects.

RIL retained its domestic credit ratings of AAA from CRISIL and FITCH and an investment grade rating for its international debt from Moody’s as Baa2 and BBB+ from S&P.

REFINING & MARKETING BUSINESS

(In ` Crore)

Change

wrt 3Q

wrt 4Q

Reliance Industries Ltd. - 4Q FY15 Financial Results

For press background on Reliance Industries Limited

click here

RSS News

Latest News

Reliance Industries Ltd. 4Q FY15 Financial Results

The Company

Press Releases

Services