Reliance Industries Share Price in Focus Ahead of Q2 FY 2025 Results

Reliance Industries Limited (RIL) is set to announce its standalone and consolidated unaudited financial results for the quarter and half-year ended September 30, 2024, during a board meeting scheduled for Monday, October 14, 2024. 

This meeting follows a big announcement made on September 5, 2024, where RIL revealed plans for a major bonus share issuance. The Board of Directors approved the issuance of bonus shares in a 1:1 ratio, meaning that every shareholder holding one fully paid-up equity share of ₹10 each will receive an additional share of the same value. This issuance, marked as the largest ever in the Indian equity market, is poised to coincide with the upcoming festive season, serving as an early Diwali gift for shareholders. The record date is yet to be announced. 

This will be RIL’s 6th bonus issue since its initial public offering (IPO) and the second during its “Golden Decade” period, which spans from 2017 to 2027. Previously, RIL issued bonus shares in 2017 at the same ratio, which was followed by a Rights Issue in 2020. Shareholders have seen their investments grow significantly, with returns increasing 2.5 times since then. Moreover, the demerger of Jio Financial Services Limited in July 2023 has added to shareholder value, with its valuation currently 35% higher than its initial listing.

On October 14, 2024, Reliance Industries opened at ₹2,758.90, showing a slight uptick from its previous close of ₹2,744.20. However, as of 12:36 PM, the share price experienced a dip, touching a day’s low of ₹2,737.55 before stabilising at ₹2,743.95.

For the quarter ended June 30, 2024, RIL reported a consolidated revenue of ₹2,57,823 crore (~$30.9 billion), marking an 11.5% year-on-year increase. However, the profit after tax saw a slight decline to ₹17,448 crore ($2.1 billion), down from ₹18,182 crore in the same quarter in FY 2024. 

As RIL approaches the announcement of its financial results, investors will be keenly watching for insights into the company’s performance and future outlook, especially in light of the recent bonus shares and ongoing market dynamics.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.