Report on Shemaroo

RIL's Rs 2.35 lakh crore investments in Jio start to payoff


BENGALURU: Mukesh Dhirubhai Ambani-run Reliance Industries Ltd (RIL) has invested a massive amount of money into the largest start-up in the world–Reliance Jio Infocomm Ltd (Jio). The RIL financials for the quarter ended 31 December 2017 (Q3 2018, quarter under review) showed that its digital services segment (Jio) had assets of Rs 234,986 crore, the largest asset block among any of the six segments (petrochemicals, refining, oil and gas, organised retail, digital services, and others) that the behemoth reports numbers for. And RIL reported net profit after tax (PAT) of Rs 504 crore for Q3 2018 as against net loss of Rs 271 crore during 2Q 2018, the immediate trailing quarter.

The digital services segment’s operating revenue for Q3 2108 was Rs 6,879 crore, up 11.9 percent from the Rs 6,147 crore in the immediate trailing quarter. The value of services increased by 12.7 percent q-o-q to Rs 8,114 crore from Rs 7,197 crore, EBITDA almost doubled (increased by 82.1 percent) in the quarter under review to Rs 2,628 crore from Rs 1,443 crore in Q2 2018. EBIT almost quintupled (453.1 percent) to Rs 1,436 crore from Rs 260 crore.

Jio added 2.15 million net subscribers in Q3 2018 with an ARPU of Rs 154 per customer. The RIL earnings release for its digital services says that average data traffic per customer for the quarter was 9.6 GB per month and total wireless data traffic has crossed 431 crore GB. Video consumption on the Jio network has crossed 200 crore hours per month, averaging 13.4 hours per subscriber per month.

Commenting on the results, RIL chairman and managing director Ambani said, “I would like to thank all our customers for partnering with us in this revolution which has made India a global digital powerhouse. I congratulate all our employees and partners for the strong performance. Our commitment is to keep pushing newer innovative products which would radically transform customer lives and generate huge societal value.”

“Jio’s strong financial result reflects the fundamental strength of the business, significant efficiencies and right strategic initiatives. Jio has demonstrated that it can sustain its strong financial performance,” he concluded.

Organised retail business

Revenues for Q3 2018 grew by 116.4 percent y-o-y to Rs 18,798 crore from Rs 8,688 crore. PBDIT for Q3 2018 increased by 82.0 percent y-o-y to Rs 606 crore from Rs 333 crore. Reliance Retail witnessed stellar performance across all consumption baskets during the period. During the quarter, Reliance Retail added 72 stores across various store concepts and increased the area operated to 14.5 million square feet from 13.2 million square feet in Q3 2017.

RIL numbers

RIL’s consolidated revenue increased by 30.5 percent to Rs 109,905 crore in Q3 2018 from Rs 84,194 crore in Q3 2017. Net profit increased by 25.1 percent to Rs 9,423 crore in the quarter under review as compared with Rs 7,533 crore in Q3 2017.

Also Read :

After telecom, Jio to bite into broadband and TV

Comment: Reliance Industries' telecom-media play fascinating, but complex & challenging too

RIL to plan IPO for Reliance Jio: Bloomberg

Latest Reads

Chingari focuses on Marathi market with Kadak Entertainment team-up

MUMBAI: Popular video-sharing app Chingari has entered into an agreement with Kadak Entertainment in a bid to affirm its presence in the Marathi regional market.  Started by two women entrepreneurs Shruti Akshay Munot and Mayoorii Swwapnil Munot, Kadak Entertainment has created three marquee...

iWorld Over The Top Services
Flick registers 42 mn+ views, 100 mn+ impression across social media

KOLKATA: The Zoom Studios’ short-format content brand Flick has registered 42 million+ views and 100 million+ impression across The Zoom Studios YouTube channel, Facebook and Instagram. With powerful 40 individual stories, Flick has produced an exclusive suit of short format videos that captures a...

iWorld Social Media
Short video platforms rise with Bharat positioning

KOLKATA: The star of user-generated content was on the rise in India due to TikTok, only to be abruptly curtailed when the government banned the Chinese-origin app. Now, nearly a year after TikTok’s exit, a number of homegrown short form video platforms have emerged to plug the gap. It seems that...

iWorld Video On Demand
Twitter APAC VP Maya Hari lands global role

NEW DELHI: Twitter Asia Pacific vice president & MD Maya Hari has been assigned a new global role as VP of global strategy and operations. She will continue to be based in Singapore, and will lead a global team.

iWorld Social Media
Disney inks massive deal with Sony to stream ‘Spiderman’ & other films

NEW DELHI: After months of see-sawing and multiple rounds of negotiations, Disney has signed a deal with Sony Pictures that will allow Disney+ to stream Spiderman and other Marvel properties in the United States after they play on Netflix. Disney revealed that it will also add a significant number...

iWorld Over The Top Services
Delhi HC dismisses WhatsApp, Facebook pleas against CCI order

New Delhi: The Delhi high court on Thursday dismissed the plea filed by Facebook and WhatsApp challenging the Competition Commission of India (CCI) order directing a probe into its controversial new privacy policy. The court said it found no merits in the petition and refused to quash the CCI probe.

iWorld Social Media
India is a ‘speculative’ investment: Netflix’s Reed Hastings

It is not easy to win over Indian consumers given the diversity of the market – be it in terms of language, income or preferences. Since its foray into India, streaming giant Netflix has taken several measures from the dual point of view of content and pricing.

iWorld Over The Top Services
Lionsgate Play marches into Indonesia market

KOLKATA: Global streaming platform Starz has launched its direct to consumer OTT app Lionsgate Play in Indonesia, expanding its presence in Asia following a successful launch in India.  With this, Lionsgate Play’s deep library of Hollywood blockbusters, film franchises and first-to-Indonesia...

iWorld Over The Top Services
BookMyShow restructures senior leadership to bolster India operations

KOLKATA: Ticketing platform BookMyShow has rejigged its senior leadership, as the company strengthens its India management team across key business verticals. As part of the new structure, Anil Makhija will be in charge of scaling live entertainment operations as COO - live entertainment &...

iWorld e-commerce

Sign up for our Newsletter

subscribe for latest stories

* indicates required