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Tag: Reliance Jio Infocomm Limited

  • Jio and organised retail add to RIL’s growth in second quarter

    Jio and organised retail add to RIL’s growth in second quarter

    BENGALURU: Mukesh Dhirubhai Ambani’s largest startup in the world in the form of Reliance Jio Infocomm Ltd or Jio has only gone from strength to strength since its inception. The mobile and broadband subsidiary of Reliance Industries Ltd (RIL), which is already the largest mobile data carrier in the world with more than 25 crore subscribers, reported EBITDA growth of nearly 2.5 times for the quarter ended 30 September 2018 (Q2 2019, quarter under review) as compared to the corresponding year ago quarter. Jio’s operating revenue for Q2 2019 grew by a healthy 50.3 percent year-on- year (y-o-y).

    Some of the highlights of Jio’s performance in Q2 2019 include:

    Standalone revenue from operations for Q2 2019 was Rs 9,240 crore  with a 13.9 per cent q-o-q  growth as compared to Rs 8,109 crore in the previous quarter Q1 2019.

    Jio’s standalone EBITDA of Rs 3,573 crore for Q2 209 was 13.5 per cent higher q-o-q with EBITDA margin of 38.7 per cent as compared to Rs 3,147 crore and an EBITDA margin of 38.8 per cent in Q1 2019.

    Jio’s standalone Net Profit was Rs 681 crore.

    The company says that it closed Q2 2019 with a subscriber base  of 25.23 crore. Jio says in a press release that it had the lowest churn in the industry at 0.66 per cent per month. ARPU during the quarter was Rs 131.7 per subscriber per month.

    RIL’s organised retail arm’s revenue for Q2 FY19 grew by 121.5 per cent y-o-y to Rs 32,436 crore from Rs 14,646 crore. The segment’s EBIT rose by an unprecedented 272.5 per cent y-o-y to Rs 1,244 crore from Rs 334 crore.

    RIL chairman Amabani said in a press release, “Jio was conceived with a mission to connect everyone and everything, everywhere – always at the highest quality and the most affordable price. We, at Jio, are glad with our progress towards our mission with more than 250 million subscribers on our network within 25 months of commencement of services. We have enabled our customers to adopt the digital life, with record consumption of data and use of digital services. Our next generation FTTH and enterprise services are now being made available to our customers to further enhance our value proposition to our customers.”

    “We are making rapid progress on the growth of our digital platforms, across new commerce, media and entertainment, agriculture, education, healthcare and financial services, which will further enhance the quality of life and productivity of the people of India, ” added Ambani.

    In an RIL earnings release, Ambani said, “Our commitment to create consumer value is gathering momentum, with the robust scale-up of India- centric consumer facing businesses. The financial performance of both Retail and Jio reflect the benefits of scale, technology and operational efficiencies. Retail business EBITDA has grown three fold on y-o-y basis whereas Reliance Jio EBITDA has grown nearly 2.5 times. Jio has now crossed 250 million subscriber milestone and continues to be the largest mobile data carrier in the world.”

    RIL achieved revenue of Rs 156,291 crore ($ 21.6 billion), an increase of 54.5 per cent as compared to Rs 101,169 crore in the corresponding period of the previous year. RILs’ Profit after tax (PAT) was higher by 17.4 per cent at Rs 9,516 crore ($ 1.3 billion) as against Rs 8,109 crore in the corresponding period of the previous year. Operating profit before other income and depreciation increased by 35.6 per cent to Rs 21,108 crore ($ 2.9 billion) from Rs 15,565 crore in the corresponding period of the previous year.

  • Jio members now get 3 months services in Rs 399

    MUMBAI: Reliance Jio Infocomm Ltd. (Jio) announced today that Jio Prime Members can enjoy unlimited services for three months with Rs. 399 Plan. The earlier launched Rs 309 plan will provide two months of unlimited Jio services.

    The new set of plan benefits will be available from 11 July and will be applicable for all new as well as existing subscribers. As part of these unlimited benefit, customers can enjoy 1GB Data per day at 4G speed followed by unlimited at 128 kbps, unlimited local, STD and national roaming voice calls and unlimited national SMS. Over and above the Prime exclusive plans, Jio is introducing new Every Day More Value (EDMV) plans. These plans provide 20% more value than competitors’ best plans. It’s Jio’s solemn promise to always offer better value for the best price.

    Earlier this year, in the month of March, Jio introduced Jio Prime membership programme. Millions of customers enrolled into this membership. These founding members of Jio will also be special and they will continue to get industry-leading tariffs. With the introduction of EDMV plans, Jio customers no longer have to worry if they are getting the best value with Jio.

  • Airtel mobile & DTH subs up, Jio-hit data customers & rev drop

    BENGALURU: Saying that Bharti Airtel Limited (Airtel), once touted as the largest cellular operator in the country both in terms of revenue as well as subscriber numbers, has had a tough battle with Mukesh Dhirubhai Ambani’s Reliance Jio Infocomm would be making an understatement. Ambani’s largest startup in the world ever has given a run for the money to all its telecom and internet services provider peers in the country.

    As on 31 March 2017 (Q4-17, FY-17 – quarter and year ended 31 March 2017), the company had 273.6 million (27.36 crore) GSM customers in India as compared to 251.2 million (25.12 crore) in previous year, an increase of 8.9 percent. DTH subscribers for Airtel’s Digital TV Services segment (Airtel DTH) increased 9.3 percent to 12.815 million (1.2815 crore) at the end of the FY-17 from 11.725 million (1.1725 crore) at the end of FY-16. The company had 57.4 million (5.74 crore) data customers (21.0 percent of total customers) as on March 31, 2017, representing a decline of 1.5 percent as compared to 58.2 million (5.82 crore) (23.2 percent of total customers) at the end of the previous year.

    The total MBs on the network for the full year FY-17 increased by 47.3 percent to 733.1 billion (733,100 crore) MBs as compared to 497.7 billion (497,700 crore) MBs in the previous year. Mobile Data usage per customer for the full year FY-17 witnessed an increase of 31.0 percent to 1,049 MBs per month as compared to 801 MBs in the previous year. Data ARPU decreased by 4.5 percent to Rs 185 during Fy-17 from Rs 194 in the previous year.

    Revenue from operations (operating revenue) declined 12.1 percent year-on-year (y-o-y) to Rs 2,193.46 crore in Q4-17 from Rs 2,495.96 crore in the corresponding year ago quarter. FY-17 operating revenue declined 1.1 percent to Rs 95,468.3 crore from Rs 96532.1 crore in the previous year. PAT for Q4-17 declined 69.2 percent to Rs 470.6 percent (2.1 percent of operating revenue) from Rs 1,462 crore (5.7 percent of operating revenue) in Q4-16. PAT for FY-17 declined 38.5 percent to Rs 4,241.4 crore (4.4 percent of operating revenue) from Rs 6,893 crore (7.1 percent of operating revenue).

    In its earnings statement, Airtel’s MD and CEO, India & South Asia Gopal Vittal said, “The sustained predatory pricing by the new operator has led to a decline in revenue growth for the second quarter in a row. The telecom industry as a whole also witnessed a revenue decline for the first time ever on a full year basis. The deteriorating health of the industry was compounded by the tsunami of incoming voice traffic from the new operator as a result of which significant investments had to be made just to carry the incoming traffic on our network. The net result of this was a revenue decline of 7.1 percent in Q4 even as EBITDA margins eroded by 2.9 percent. FY-17 saw a muted top line growth of 3.6 percent vs the double digit growth witnessed in preceding years.

    Our long term commitment to provide the best experience to our customers continues to drive all our actions in every single aspect of the business. This belief coupled with brilliant execution of our people has led to acceleration in market share in an industry that is now rapidly consolidating,” he added.

    Airtel’s DTH segment reported 10.4 percent y-o-y growth in operating revenue to Rs 865.7 crore in Q4-17 from Rs 784 crore in the corresponding year ago quarter. Earnings before interest and taxes (EBIT) in Q4-17 increased 35.4 percent to Rs 97.5 crore from Rs 72 crore in Q4-16. The DTH segment’s revenue for fiscal 2017 increased 17.6 percent to Rs 3,430.6 crore as compared to Rs 2,917.8 crore in FY-16. Average revenue per customer (ARPU) in FY-17 increased to Rs 231 from Rs 226 in the previous year.

    The company’s capex in its DTH segment in FY-17 declined to less than half (declined by 52.9 percent) to Rs 138.6 crore as compared to Rs 294.3 crore in FY-16. Cumulative investments in the DTH segment at the end of FY-17 reached Rs 7,351.3 crore.

    Note: The unit of currency in this report is the Indian rupee – Rs (also conventionally represented by INR). The Indian numbering system or the Vedic numbering system has been used to denote money values. The basic conversion to the international norm would be:

    (a) 100,00,000 = 100 lakh = 10,000,000 = 10 million = 1 crore.

    (b) 10,000 lakh = 100 crore = 1 arab = 1 billion…

  • Reliance Jio capex at Rs 18k cr in Q1-18, Retail’s solid performance in FY-17

    BENGALURU: The Mukesh Dhirubhai Ambani headed Reliance Industries Limited (RIL) reported its financial performance for the quarter / year ended 31 March 2017 (Q4-17/FY-17, current quarter/current year). RIL’s digital venture Reliance Jio Infocomm Limited (Jio) has been touted as the largest startup in the world with investments announced to the tune of Rs 1,50,000 crore. The company plans capex at Rs 18,000 crore for Q1-18. The company says that capex investments will drop sharply from Q2-18 onward. This is indeed a huge sum, when one considers the fact that its nearest peer and the largest telecom operator in terms of subscriber base until Jio overtook it, Bharti Airtel Limited (Airtel), had capex of Rs 20,591.9 crore during the entire financial year 2016. It may be noted that Airtel has operations in other geographies besides India, and the capex number mentioned above includes those countries also. RIL claims that Jio contributes to more than 80 percent of data consumption in India.

    Further, RIL plans capex of Rs 2,500 crore for fiscal 2018 for its organized retail segment – Reliance Retail Limited (Retail segment) that had a phenomenal performance during FY-17. Reliance Retail reported revenue of Rs 33,765 crore for fiscal 2017, 60.2 percent more than the Rs 21,075 crore reported in the previous year. Quarter-on-quarter (q-o-q), the segment’s revenue in Q4-17 at Rs 10,332 crore was 18.9 percent more than the Rs 8,688 crore in Q3-17 and year-on-year (y-o-y) it was 83 percent more than the Rs 5,646 crore in Q4-16.

    The Retail segment’s EBIT in FY-17 at Rs 784 crore (2.3 percent EBIT margin) was 55.6 percent more than the Rs 504 crore (2.4 percent EBIT margin) in the previous year. Q4-17 EBIT at Rs 243 crore (2.4 percent EBIT margin) was 5.2 percent more that Rs 231 crore (2.7 percent EBIT margin) and 89.8 percent more y-o-y than Rs 128 crore (2.3 percent EBIT margin).

    The Retail segment’s Business PBIT in FY-17 at Rs 1,203 crore was 40.4 percent more than the Rs 857 crore in FY-16. Business PBIT in Q4-17 at Rs 366 crore was 9.9 percent more q-o-q than Rs 333 crore and 65.6 percent more y-o-y than Rs 221 crore.

    RIL’s Revenue (turnover) increased by 12.3 percent in FY-17 to Rs 3,30,180 crore from Rs 2,93,298 crore in FY-16. The company’s revenue increased 10.3 percent q-o-q to Rs 92,889 crore in Q4-17 as compared to Rs 84,189 crore and increased 45.2 percent y-o-y from Rs 63,954 crore.

    Overall RIL reported record annual consolidated net profit of Rs 29,901 crore in FY-17, up 18.8 percent as compared to the Rs 25,171 crore in FY-16. Consolidated net profit for Q4-17 at Rs 8,046 crore was 6.8 percent higher q-o-q as compared to Rs 7,533 crore and was 12.3 percent higher y-o-y than the Rs 7,167 crore.

    Note: The unit of currency in this report is the Indian rupee – Rs (also conventionally represented by INR). The Indian numbering system or the Vedic numbering system has been used to denote money values. The basic conversion to the international norm would be:
    (a) 100,00,000 = 100 lakh = 10,000,000 = 10 million = 1 crore.
    (b) 10,000 lakh = 100 crore = 1 arab = 1 billion.

  • Q1-17: Reliance Retail revenue up 46 percent; Jio subscriber base is 15 lakh

    Q1-17: Reliance Retail revenue up 46 percent; Jio subscriber base is 15 lakh

    BENGALURU: The Mukesh Dhirubhai Ambani led Reliance Industries Limited (RIL) organized retail segment – Reliance Retail,  continued its growth momentum and profitability in the quarter ended 30 June 2106 (Q1-17, current quarter). RIL’s organised retail segment contributes to less than 1 percent to gross revenues and yet, in terms of sheer numbers is bigger than most of other major players in the organised retail space in India. 

    Reliance Retail revenue for Q1-17 grew 45.8 percent year-over-year (y-o-y) to Rs 6,666 crore from Rs 4,572 crore in the corresponding year ago quarter (Q1-16). Quarter-over-quarter (q-o-q), the retail segment’s revenue also grew at double digits – a remarkable 18.6 percent from Rs 5,646 crore in the immediate trailing quarter (Q4-16). RIL says that the increase in turnover was led by growth in digital, fashion & lifestyle and petroleum products.

    Note: The unit of currency in this report is the Indian rupee – Rs (also conventionally represented by INR). The Indian numbering system or the Vedic numbering system has been used to denote money values. The basic conversion to the international norm would be:
    (a) 100,00,000 = 100 lakh = 10,000,000 = 10 million = 1 crore.
    (b) 10,000 lakh = 100 crore = 1 arab = 1 billion.

    Reliance Retail reported segment EBIT (Earnings before interest and taxes) of Rs 148 crore (2.2 percent EBIT margin), 31 percent higher y-o-y as compared to Rs 113 crore (2.5 percent EBIT margin) and 15.6 percent higher q-o-q than Rs 128 crore (2.3 percent EBIT margin).

    Reliance Jio Infocomm Limited (RJIL), a subsidiary of RIL, extended its trial services to all LYF devices users under the Jio LYF preview offer. (LYF is the mobile handset brand of Reliance Retail) This has enabled testing of all the services to customers outside the initial set of test users. RJIL now has over 15 lakh test users on its network claims an RIL release. The average monthly consumption per user is in excess of 26 GB and is increasing rapidly. Average voice usage per month is over 355 minutes. The test program will be progressively upgraded into commercial operations in coming months says RIL.

    RIL chairman and managing director Mukesh Ambani said, “At Reliance Jio, we have built an entire ecosystem that will allow Indians to live the digital life to the fullest. This transformational ecosystem consists of broadband connectivity, devices and powerful applications and services which will be available to every consumer in India.”

    RIL numbers

    For Q1-17, RIL achieved a turnover of Rs 71,451 crore ($ 10.6 billion), a decrease of 13.4 percent, as compared to Rs 82,509 crore in the corresponding period of the previous year. The company says that decline in revenue was led by the 26 percent y-o-y decline in benchmark (Brent) oil price which averaged at $ 45.6/bbl (bbl is oil barrel) in Q1-17 as compared to $ 61.9/bbl in the corresponding period of the previous year. Impact of lower prices was partially offset by higher volumes in refining and petrochemicals segments.

    Profit after tax including exceptional items was higher by 18.1 percent at Rs 7,113 crore ($ 1.1 billion) as against Rs 6,024 crore in the corresponding period of the previous year.

    Said Ambani, ““At Reliance, we continued to harness the power of our integrated energy and materials business portfolio. We maintained our earnings growth trajectory during this quarter, as the world grappled with new dimensions of economic uncertainty. Though regional refining margins trended downwards, our high-conversion refining system was able to take advantage of higher margins on middle distillates and wider discounts on sour crude oils. Our refining business delivered another record performance and achieved industry leading GRM (gross refining margin). Our petrochemicals business has a wide product portfolio, superior feedstock linkages and serves high-growth end-markets in India. As a result, we achieved yet another quarter of margin expansion in petrochemicals business and delivered EBIT growth of more than 20.5 percent y-o-y.”

  • Q1-17: Reliance Retail revenue up 46 percent; Jio subscriber base is 15 lakh

    Q1-17: Reliance Retail revenue up 46 percent; Jio subscriber base is 15 lakh

    BENGALURU: The Mukesh Dhirubhai Ambani led Reliance Industries Limited (RIL) organized retail segment – Reliance Retail,  continued its growth momentum and profitability in the quarter ended 30 June 2106 (Q1-17, current quarter). RIL’s organised retail segment contributes to less than 1 percent to gross revenues and yet, in terms of sheer numbers is bigger than most of other major players in the organised retail space in India. 

    Reliance Retail revenue for Q1-17 grew 45.8 percent year-over-year (y-o-y) to Rs 6,666 crore from Rs 4,572 crore in the corresponding year ago quarter (Q1-16). Quarter-over-quarter (q-o-q), the retail segment’s revenue also grew at double digits – a remarkable 18.6 percent from Rs 5,646 crore in the immediate trailing quarter (Q4-16). RIL says that the increase in turnover was led by growth in digital, fashion & lifestyle and petroleum products.

    Note: The unit of currency in this report is the Indian rupee – Rs (also conventionally represented by INR). The Indian numbering system or the Vedic numbering system has been used to denote money values. The basic conversion to the international norm would be:
    (a) 100,00,000 = 100 lakh = 10,000,000 = 10 million = 1 crore.
    (b) 10,000 lakh = 100 crore = 1 arab = 1 billion.

    Reliance Retail reported segment EBIT (Earnings before interest and taxes) of Rs 148 crore (2.2 percent EBIT margin), 31 percent higher y-o-y as compared to Rs 113 crore (2.5 percent EBIT margin) and 15.6 percent higher q-o-q than Rs 128 crore (2.3 percent EBIT margin).

    Reliance Jio Infocomm Limited (RJIL), a subsidiary of RIL, extended its trial services to all LYF devices users under the Jio LYF preview offer. (LYF is the mobile handset brand of Reliance Retail) This has enabled testing of all the services to customers outside the initial set of test users. RJIL now has over 15 lakh test users on its network claims an RIL release. The average monthly consumption per user is in excess of 26 GB and is increasing rapidly. Average voice usage per month is over 355 minutes. The test program will be progressively upgraded into commercial operations in coming months says RIL.

    RIL chairman and managing director Mukesh Ambani said, “At Reliance Jio, we have built an entire ecosystem that will allow Indians to live the digital life to the fullest. This transformational ecosystem consists of broadband connectivity, devices and powerful applications and services which will be available to every consumer in India.”

    RIL numbers

    For Q1-17, RIL achieved a turnover of Rs 71,451 crore ($ 10.6 billion), a decrease of 13.4 percent, as compared to Rs 82,509 crore in the corresponding period of the previous year. The company says that decline in revenue was led by the 26 percent y-o-y decline in benchmark (Brent) oil price which averaged at $ 45.6/bbl (bbl is oil barrel) in Q1-17 as compared to $ 61.9/bbl in the corresponding period of the previous year. Impact of lower prices was partially offset by higher volumes in refining and petrochemicals segments.

    Profit after tax including exceptional items was higher by 18.1 percent at Rs 7,113 crore ($ 1.1 billion) as against Rs 6,024 crore in the corresponding period of the previous year.

    Said Ambani, ““At Reliance, we continued to harness the power of our integrated energy and materials business portfolio. We maintained our earnings growth trajectory during this quarter, as the world grappled with new dimensions of economic uncertainty. Though regional refining margins trended downwards, our high-conversion refining system was able to take advantage of higher margins on middle distillates and wider discounts on sour crude oils. Our refining business delivered another record performance and achieved industry leading GRM (gross refining margin). Our petrochemicals business has a wide product portfolio, superior feedstock linkages and serves high-growth end-markets in India. As a result, we achieved yet another quarter of margin expansion in petrochemicals business and delivered EBIT growth of more than 20.5 percent y-o-y.”

  • RJIL issues INR 2,000 crore 5-year NCDs

    RJIL issues INR 2,000 crore 5-year NCDs

    MUMBAI: Reliance Jio Infocomm Limited (RJIL), a subsidiary of Reliance Industries Limited (RIL), today issued INR 2,000 crore of 5 year Non-Convertible Debentures (NCDs), bearing a coupon of 8.32% per annum, payable annually. The issue has been assigned a rating of AAA by CRISIL and ICRA. The proceeds of the issuance shall be utilized by RJIL for rolling out a state-of-the-art digital services business in India.

    RJIL is the first issuer outside the financial services industry in India, to raise funds digitally through the EBP route. This is also the largest debt issuance in the Indian market by any issuer since the electronic bidding platform has been mandated by SEBI for private placement of debt, effective 1st July this year.

    The transaction was fully subscribed within minutes of opening and was eventually over-subscribed with a total book size in excess of INR 3500 crores, Reliance Jio said. Key investors include the prominent asset management companies and banks.

    “We are overwhelmed by the response that we have received for our maiden issuance on the BSE-BOND platform. It reinforces the faith investors have in our next generation digital services business. The launch of the EBP platform is a significant step towards the development of market infrastructure for Indian Corporate Bond market. It will make the debt issuance process significantly more smooth and transparent for issuers as well as investors” said Soumyo Dutta, Treasurer, Reliance Industries Limited.

  • RJIL issues INR 2,000 crore 5-year NCDs

    RJIL issues INR 2,000 crore 5-year NCDs

    MUMBAI: Reliance Jio Infocomm Limited (RJIL), a subsidiary of Reliance Industries Limited (RIL), today issued INR 2,000 crore of 5 year Non-Convertible Debentures (NCDs), bearing a coupon of 8.32% per annum, payable annually. The issue has been assigned a rating of AAA by CRISIL and ICRA. The proceeds of the issuance shall be utilized by RJIL for rolling out a state-of-the-art digital services business in India.

    RJIL is the first issuer outside the financial services industry in India, to raise funds digitally through the EBP route. This is also the largest debt issuance in the Indian market by any issuer since the electronic bidding platform has been mandated by SEBI for private placement of debt, effective 1st July this year.

    The transaction was fully subscribed within minutes of opening and was eventually over-subscribed with a total book size in excess of INR 3500 crores, Reliance Jio said. Key investors include the prominent asset management companies and banks.

    “We are overwhelmed by the response that we have received for our maiden issuance on the BSE-BOND platform. It reinforces the faith investors have in our next generation digital services business. The launch of the EBP platform is a significant step towards the development of market infrastructure for Indian Corporate Bond market. It will make the debt issuance process significantly more smooth and transparent for issuers as well as investors” said Soumyo Dutta, Treasurer, Reliance Industries Limited.