Reliance Industries Limited (RIL) became the first company to cross ₹8 trillion in market capitalization. The stock prices rose to 1.86% on Thursday and settled at ₹1,269.70 on BSE. As Sensex traded 70.80 points up at 38,356.55 RIL stood amongst the top gainers.
‘RIL has completed USD 18 billion investment in Petrochemicals expansion and Petcoke Gasification plant which has already yielding result in terms of strong volume growth and margin expansion. Once petcoke gasification plant would ramp-up fully (expected by end FY19), we may see USD 2/bbl of GRM expansion. Overall, its petrochemicals profit is likely to touch to Rs 29,300 crore in FY20 compared to Rs 13,000 crore in FY17’, Sudeep Anand, Head – Institutional Equity Research at IDBI Capital explained to Moneycontrol.
Petcoke is Petroleum coke which is used in electric power plants and cement kilns.
Analyst suggest that attractive tariff plans has added to the wider subscriber base. Data from Telecom Regulatory Authority of India (TRAI) showed a healthy subscriber base. According to this data, Reliance added 9.71 million users in June from 215 million in the past.
‘Jio continued to show strong subscriber momentum, in line with our expectation. However, flattish sequential ARPU (Average Revenue Per User) despite cashback offers and changes to prime membership are surprises. The focus remains on on boarding more subscribers and driving engagement; price increase appears less of a focus for now’ Mint cited a person saying this.