Reliance Industries Ltd. share price target

RIL remained unfazed by weak global macros and muted crude prices, making its highest PAT of Rs 274bn in FY16. This was led by a seven-year high GRM, strong polymer margins, and incremental chemical volumes. Robust incremental demand will continue in gasoline and polymers, driven by low prices. However, there is limited room for rise in margins and a sequential decline is likely in FY17.

Reliance Industries' (RIL) reported in-line 4QFY16 standalone EBITDA at INR107b (24% YoY and 4% QoQ), and PAT at INR73b (17% YoY and flat QoQ). GRM was largely in line at USD10.8/bbl (v/s est 11.0). Full year FY16 EBITDA/PAT up 27%/21% driven by GRM at...

Reliance Industries (RIL) net sales for 3QFY2016 declined by 27% yoy to Rs68,261cr as against Rs93,528cr in the corresponding quarter last year, due to fall in crude oil prices. The EBITDA however increased by 31% yoy to Rs11,368cr (marginally below our estimate), led by strong gross refining margin (GRM) and better-than-expected EBITDA of the Petrochemicals division. The GRM stood at $11.5/bbl for the quarter, the highest in seven years, as against $7.3/bbl in 3QFY2015. The Petrochemicals segments EBIT increased 28% yoy to Rs2,639cr, led by strong polymer deltas and higher volumes. This aided in a 463bp yoy expansion in EBIT margin to 13.6% during the quarter. Falling oil prices coupled with natural decline in domestic oil and gas production, coupled with the challenging scenario for the shale business resulted in an 89% yoy fall in the E&P; segments EBIT. Store additions in the Retail segment continued to remain strong with 187 stores added during the quarter. RIL continued building the ecosystem for distribution of Jio devices, gearing up for its roll out. We believe the Retail and Telecom businesses would be the key growth drivers for the company in the coming years. Outlook and valuation: We believe RILs growth in...

Backed by strong GRM and petchem margins, RIL reported a stellar set of number for 3QFY16. With its ability to tweak crude mix and product slate, RIL?s GRM stood at US$ 11.5/bbl ( 8% QoQ). The standalone EBITDA came in at a record high of Rs 103bn ( 43% YoY) and PAT was Rs 72bn ( 42%).

RIL beat market expectations with its 2Q results, mainly driven by strong GRM and petchem margins. RIL again proved its ability to tweak crude mix and product slate. RILs GRM grew to US$ 10.6/bbl ( 2% QoQ) despite the fall in Singapore GRM (-17%). Standalone EBITDA increased to Rs 98bn ( 19% YoY). Lower other income (lower cash accruals) partly offset the growth and PAT stood at Rs 66bn ( 14%). While crude prices fell by 51% YoY, petchem prices saw a drop of just 20-30%.

Commercial operations of telecom business from December 2015 RIL has announced timelines for Reliance Jio's telecom foray, indicating a beta launch in the next few months which will be converted to commercial operations from December 2015. RIL's...

RIL reported robust 1QFY16 results led by strong GRM & petchem margins. RIL proved skeptics wrong with its ability to tweak product slate. GRM grew to $ 10.4/bbl despite the fall in Singapore GRMs. Standalone EBITDA was Rs 93bn ( 24% YoY). Lower other income (more funds in MFs vs bank FDs) and higher interest (INR weakness) led to PAT of Rs 63bn.

In Reliance Industries' AGM, Mr Mukesh Ambani gave out significant details of Reliance Jio, whose offerings are much wider than expected, encompassing a greater degree of content.Jiohasambitiousplansspanningtelecombroadband,broadcastTVdistribution,...

Reliance's 4QFY15 performance was in line with street estimates adjusted for the lower interest expenditure during the quarter. There are limited takeaway from the result despitethestrongGRMasproductcracksarelikelytoeasegoingahead.Inthenearterm...

RIL reported standalone APAT of Rs 62.4bn ( 23% QoQ) in 4QFY15. The strong show was mainly led by GRM ($ 10.1/bbl, 38% QoQ). Performance of the petchem segment was flat, whereas weakness continued in the E&P; business.