Reliance Industries Reports 4.45% Rise in Net Profit; Jio Profits Beat Estimates

Reliance Industries Limited (RIL) reported a 4.47 percent increase in net profit at Rs 9,485 crore in the first quarter of the financial year 2018-19 from Rs 9,079 crore for the same period last year. Its standalone profits were at Rs 8,820 crore, which grew at 1.4 percent from the previous quarter, as per the company's stock exchange filing.

The conglomerate's consolidated revenue was up by 46.98 percent to Rs 1,33,069 crore from a year ago period against Rs 90,537 crore. RIL's operating profit grew 12.9 percent to Rs 15,154 crore.

The Mukesh Ambani-led company has expanded its business to other sectors. It has disrupted the telecom sector with its arm Reliance Jio which reported a net profit of Rs 612 crore for the June 2018 ended the quarter. It is a 20 percent rise from the previous quarter. Bloomberg analyst estimated the profits to be Rs 551 crore.

Its revenue per user, however, narrowed down to Rs 134.5, which is the lowest since the launch of Reliance Jio. The fall has been attributed largely to its waiver in tariffs for postpaid connections and Jio Prime membership. Its operating profits rose by 13.8 percent to Rs 8,109 crore.