RELIANCE INDUSTRIES LIMITED = RESULTS FOR Q4 & FY 2012 = DETAILS

                                                                  

RELIANCE  INDUSTRIES

 LIMITED

RESULTS FOR Q4 FY 2012

Reliance Industries Limited reported its financial performance for the Quarter / y/e 31st Mar, 2012. Highlights of the results are as below:

On Stand Alone Basis :

(In ` Cr)	4Q FY12	3Q FY12	4Q FY11	% Change wrt 4Q FY11	FY12	FY11	% Change wrt FY11
Turnover	87,833	87,480	75,283	16.7%	339,792	258,651	31.4%
PBDIT	8,859	9,002	10,760	(17.7%)	39,812	41,178	(3.3%)
Profit Before Tax	5,432	5,738	6,677	(18.6%)	25,750	25,242	2.0%
Net Profit	4,236	4,440	5,376	(21.2%)	20,040	20,286	(1.2%)
EPS (`)	12.9	13.6	16.4	(21.3%)	61.2	62.0	(1.3%)

On Stand alone Basis , we can see the down turn by 21.2% in Net profit in Q4 FY 12 - with reference to corresponding qtr of Q4 FY 11; On annual basis, FY 12 net profit is marginally lower by 1.2% compared to FY 11.

Highlights (Stand Alone)

Ø  Turnover increased by 31.4% to ` 339,792 Cr

Ø  Exports increased by 41.8 % to ` 208,042 Cr 

Ø  PBDIT decreased by 3.3% to  ` 39,812 Cr 

Ø  Profit Before Tax increased by 2.0% to ` 25,750 Cr 

Ø  Cash Profit decreased by 7.3% to ` 31,994 Cr  

Ø  Net Profit  decreased by 1.2% to ` 20,040 Cr 

Ø  Gross Refining Margin at $ 7.6 / bbl for the Quarter and $ 8.6 / bbl for Y/E 31st Mar 2012

Ø  Dividend of 85%, payout of  Rs.2,941 Cr

Highlights of Year (RIL Consolidated)

Ø     Turnover increased by 34.9% to Rs. 358,501 cr 

Ø     PBDIT decreased by 1.5% to  Rs. 40,941 Cr  

Ø     Profit Before Tax increased by 5.1% to Rs.25,338 cr

Ø     Cash Profit decreased by 3.5% to Rs.32,590 cr

Ø    Net Profit increased by 2.2% to Rs.19,724 cr

CORPORATE HIGHLIGHTS

On 30th August 2011, RIL and BP announced completion of BP’s acquisition of a 30% stake in 21 oil and gas PSCs that RIL operates in India, including KG-D6 block. RIL and BP also announced the incorporation of India Gas Solutions Pvt. Ltd., a 50:50 joint venture company which will focus on global sourcing and marketing of natural gas in India. This JV will develop infrastructure to accelerate transportation and marketing of natural gas in India.

 

On 21st April 2011, RIL announced a rich gas and condensate discovery in the very first well drilled in the block CY-PR-DWN-2001/3 (CYPR-D6) located in deep-water Cauvery-Palar basin. The block with an area of about 8,600 square km was awarded to RIL under the bidding round of NELP-III. RIL has 70% participating interest in the exploration block.

In January 2012, the Govt’s Management Committee approved the Optimized Field Development Plan (OFDP) for development of 4 Satellite discoveries (D2/D6/D19/D22) in KG-D6 block.

In February 2012, the Management Committee of KG-D6 block declared the commerciality (DOC) of R-Series (D34) discoveries.

Incrementally, the following proposals pertaining to the domestic oil and gas business have been submitted to the Govt for its review and approval:

Ø  KG-D6 : Work program and Budget for RE 2011-12 and BE 2012-13 submitted in Dec 2011. Revised field development plan for D26 (MA field) to enhance gas production submitted in Feb 2012. 

Ø  CY-D6 : Notified discovery in well SA1 (D53). Appraisal program submitted for Discovery D53 for MC review in Feb 2012

Ø  CBM : Submitted for approval of gas pricing formulae based on price discovery to GOI, Ministry of Petroleum and Natural Gas.

Ø  NEC-25 : Declaration of discoveries D32 and D40 as commercial in Mar 2012.

Ø  The BOD of RIL on Jan 20, 2012 approved buyback of up to 12 Cr fully paid up equity shares of Rs.10/- each, at a price not exceeding Rs.870 per equity share. RIL has bought back and cancelled 36,63,431 equity shares up to 31st Mar 2012.

Ø  In Jan 2012, RIL announced that a part of its group company’s investments in the ETV Channels is being divested to TV18 Broadcast Limited (TV18). The promoter companies of Network18 (holding company of TV18) and Independent Media Trust (Trust), a trust setup for the benefit of RIL, have also entered into a term sheet under which the Trust would be subscribing to the optionally convertible debentures to be issued by the promoter companies to enable the promoter companies to subscribe to the proposed rights issue by Network18 and TV18.

Ø  As a part of the deal, Infotel Broadband Services Ltd, a subsidiary of RIL, has entered into a MOU with TV18 and Network18 Media and Investments Limited (Network18) for preferential access to all their content for distribution through the 4G broadband network being set up by it.  

Ø  In Feb 2012, SIBUR, East Europe's largest petrochemical company, and RIL agreed to form a JV named Reliance Sibur Elastomers Private Limited to produce 100,000 tons of butyl rubber per year in Jamnagar, India.

Mukesh D. Ambani, CMD, RIL said: “Our businesses have delivered industry leading performances. This is a reflection of the quality of our assets and growing demand for our products and services in India and internationally. We have created a strong foundation for future growth and are investing in our core upstream and petrochemical businesses in India. Response to our organized retail business has been very encouraging and we continue to expand our footprint by building more stores across verticals, formats and geographies. We remain committed towards providing world class, high speed wireless data services through the launch of our broadband access business.” 

FINANCIAL - REVIEW AND ANALYSIS

Ø  RIL achieved a stand alone turnover for y/e 31st Mar 2012 of Rs.339,792 cr, an increase of 31.4% on a year-on-year basis. Refinery accounted for 36.8% increase, Petrochemicals recorded a 27.7% increase while Oil & Gas revenues decreased by 25.2%. Higher prices accounted for 29.2% growth in revenue while higher volumes accounted for the balance 2.2% growth. Exports were higher by 41.8% at Rs.208,042 Cr as against Rs.146,667 Cr in FY 2010-11.

Ø  Higher crude prices resulted in consumption of raw materials increasing by 42.2% to  Rs.274,814 Cr on a YoY basis. 

Ø  Employee costs were higher by 9.1% at Rs.2,862 Cr for y/e 31st Mar 2012 as against Rs.2,624 Cr in the previous year.

Ø  Other expenditure increased by 13% from Rs.15,965 Cr to Rs.18,040 Cr due to higher power & fuel expenses.

Ø  Transfer of 30% participating interest in E&P, lower production of oil and gas, base effect and lower petrochemical margins in key products resulted in a decline in operating profit before other income and depreciation which declined by 11.8% from Rs.38,126 Cr to Rs.33,620 Cr . Net operating margin was lower at 10.2% as compared to 15.4% in previous year.

Ø  Other income was higher at Rs.6,192 Cr as against Rs.3,052 Cr on a YoY basis primarily due to higher average liquid investments following the sale of participatory interest in the domestic oil & gas business to BP.

Ø  Depreciation (including depletion and amortization) was lower by 16.3% at Rs.11,394 Cr against Rs.13,608 Cr in FY 2010-11. This was primarily due to lower depletion charges in oil & gas following the transfer of 30% PI to BP.

Ø  Higher foreign exchange differences resulted in higher interest cost which was at Rs.2,667 Cr  as against Rs.2,328 Cr in FY 2010-11. This resulted in higher gross interest cost of Rs.3,097 Cr as against Rs.2,802 Cr in FY 2010-11. Interest capitalized was lower at Rs.430 Cr as against Rs.474 Cr. 

Ø  Profit after tax was marginally lower at Rs.20,040 Cr as against Rs.20,286 Cr for the previous year. 

Ø  Basic EPS for the y/e 31st Mar 2012 was Rs.61.2 against Rs.62.0 for the previous year. 

Ø  RIL consolidated turnover for the y/e 31st Mar 2012 of Rs.358,501 Cr ,an increase of 34.9% on a year-on-year basis. Profit after tax of Rs.19,724 Cr, an increase of 2.2% as against Rs.19,294 Cr for the previous year. Basic earnings per share (EPS) for the y/e 31st Mar 2012 was Rs.66.2 against Rs.64.8 for previous year. 

Ø  Outstanding debt as on 31st Mar 2012 was Rs.68,259 Cr compared to  Rs. 67,397 Cr as on 31st Mar 2011. RIL is debt free on a net basis as compared to the gearing level of 13.5% as on 31st Mar 2011

Ø  RIL had cash and cash equivalents of Rs.70,252 Cr. These are primarily invested in fixed deposits, certificate of deposits with banks, mutual funds and Govt securities / bonds. 

Ø  Cash outflow on account of capital expenditure for the year amounted to Rs.7,426 Cr. The net capital expenditure for the y/e 31st Mar 2012 was Rs.12,563 Cr  including Rs.6,706 Cr on account of exchange difference on long term loans.                                           

OIL AND GAS (EXPLORATION & PRODUCTION) BUSINESS

(In ` Cr)	4Q FY12	3Q FY12	4Q FY11	% Change wrt 4Q  FY11	FY12	FY11	% Change wrt   FY11
Segment Revenue	2,608	2,832	4,104	(36.5%)	12,898	17,250	(25.2%)
Segment EBIT	951	1,294	1,569	(39.4%)	5,250	6,700	(21.6%)
EBIT Margin (%)	36.5%	45.7%	38.2%		40.7%	38.8%

DOMESTIC OPERATIONS

KG D6 : Production from the block was 551.31 BCF of natural gas and 4.94 million barrels of crude oil, a reduction of 23.5% and 37.9% respectively over previous year. Production of gas condensate was 0.73 million barrels, reduction of 6.8% over previous year.

Gas from KG-D6 fields was supplied to various customers under GSPAs executed in line with the Govt’s Gas utilization policy and directives of GOI. Sales for 4Q FY 2011-12 was at 113.87 BCF (3.22 BCM). 

During the year,GOI approved the Optimized Field Development Plan (OFDP) for development of 4 Satellite discoveries in KG-D6. RIL also submitted a revised development plan for D26 to the DGH.

Production from KG-D6 block was adversely impacted mainly due to unforeseen reservoir complexities and water ingress in the producing fields. Significant steps were taken by the joint technical teams at BP and RIL in assessing complexities based on which, an integrated plan for work-overs / side-tracks and additional wells can be executed, subject to necessary regulatory and Govt approvals.  

RIL has issued a notice of arbitration to the Govt in respect of Company’s entitlement to recover the entire amount of contract costs incurred by RIL as stipulated in the Production Sharing Contract.  RIL has been advised that Govt cannot deny cost recovery of any element of contract costs on the ground that the levels of production mentioned in the Development Plan were not being achieved or on any other ground. RIL is following the required procedure for progressing the arbitrations.

Panna-Mukta and Tapti (PMT) : These fields produced 10.06 MMBL of crude oil and 71.24 BCF of natural gas in FY 2011-12, an increase of 8% and 37% respectively over previous year. Production during FY 2011-12 was higher due to normalized production levels being achieved (production in FY 2010-11 was impacted due to a shutdown).

Panna SPM, which had a major failure in July 2010 resulting in complete shutdown of oil and gas production for 3 months, was duly repaired and its certification was kept valid, that has enabled uninterrupted oil and gas production till date. The entire SPM system which has outlived its design life is planned to be replaced in FY 2012-13.

Production from Tapti was 73.79 BCF of natural gas and 0.88 MMBL of condensate – a decline of 22% and 28% respectively over the previous year. The decrease in production was due to a natural decline in the reserves.

Other Domestic Blocks : RIL made a hydrocarbon discovery in first well drilled in CY-D6 block – Well SA1 – Discovery Dhirubhai-53. The appraisal work programme was submitted and is under review with the DGH. 

Following a series of discoveries, RIL has submitted a proposal for commerciality of 8 hydrocarbon discoveries in block CB-10. 

RIL notified declaration of commerciality for D32 and D40 in NEC-25. This block has acreage of 5,000 square kilometers and is located off the east coast of India. The block was acquired by RIL under the NELP-I and is part of the deal with BP. 

During the year, as part of reassessment of its portfolio together with BP, RIL relinquished the following blocks: GK-OSJ – 3, MN-DWN 98/2, AS-ONN-2000/1, KG-OSN-2001/2, KG-DWN-2001/1, KG-OSN-2001/1, NEC-DWN-2002/1, PR-DWN-2001/1, KG - DWN -98/1 and CY-PR-DWN-2001/4. 

Consequently, RIL’s domestic oil and gas portfolio consists of 17 exploration blocks excluding KG-D6, CBM, Panna-Mukta and Tapti.

CBM BLOCKS : Exploration initiatives in Sohagpur East & West have been completed. These blocks are in development phase wherein over 45 core holes have been drilled, logged and tested for gas content, permeability and coal properties.

 

RIL has appointed consultants for subsurface and surface facilities design. A proposal for CBM gas pricing formula based on price discovery has been submitted to the Govt for its approval. Further field development activities have been planned and are regulatory approvals.

INTERNATIONAL OPERATIONS (CONVENTIONAL): Reliance has 10 blocks with acreage of about 51,000 square kilometers in its international oil & gas portfolio including 3 in Yemen (1 producing and 2 exploratory), 2 each in Northern part of Iraq i.e. Kurdistan Region, Peru and Colombia and 1 in Australia. During the year, Oman 18 and Timor-K blocks were relinquished.

 

During the quarter, G&G activities were under progress in Colombia, Yemen & Kurdistan blocks and EIA activities in Peru blocks as part of the exploration campaign.

During the year, average oil production in Yemen Block 09 was approximately 4,250 barrels per day. However, during the quarter, average oil production was lower at 3,900 barrels per day on account of prevailing situation in Yemen. 

REFINING & MARKETING BUSINESS

(In ` Cr)	4Q FY12	3Q FY12	4Q FY11	% Change wrt 4Q  FY11	FY12	FY11	% Change wrt   FY11
Segment Revenue	76,211	76,738	62,704	21.5%	294,735	215,431	36.8%
Segment EBIT	1,696	1,685	2,509	(32.4%)	9,654	9,172	5.3%
Crude Refined (Mn. MT)	16.3	17.2	16.7		67.6	66.6
GRM ($ / bbl)	7.6	6.8	9.2		8.6	8.4
EBIT Margin (%)	2.2%	2.2%	4.0%		3.3%	4.3%

Reliance achieved its highest ever level of crude throughput and processed 67.6 million tonnes of crude during the year. This resulted in Reliance achieving an average utilization rate of 109% which was significantly higher than average refinery utilization rate of 83.3% in North America, 76.8% in Europe and 82.6%.

Refinery utilization rate were in the same range for North America and Asia but was lower in Europe. In Europe depressed petroleum demand and soaring premiums for light sweet grade crude led to poor refining margins and weak economics resulting in depressed utilization rates with many refiners closing or running at reduced rates.

Revenue for RIL’s Refining & Marketing segment increased by 36.8 % from Rs.215,431 Cr to Rs.294,735 Cr. Increase in revenue was principally due to higher price environment (higher by 34.2%) while increase in volume accounted for 2.6%.

During the year, exports of refined products were $ 36.0 billion as against $ 29.3 billion for the previous year. This accounted for about 39.6 million tonnes of products as against 38.6 million tonnes for the previous year.

  

During the y/e 31st Mar 2012, Singapore and US Gulf Coast (USGC) refining margins were stronger but European margins continued to remain weak. Singapore complex refining margins improved on account of firmer gasoline cracks and stronger middle distillate cracks. In US, WTI crack margins remained higher as WTI crude continued to remain decoupled from the prices of internationally traded crude and at heavy discount. Also growing demand in the emerging markets of South American regions provided ready access to any surplus gasoline or diesel leading to better USGC margins. In Europe, Brent cracking margins continued to remain weak as the stronger Brent prices neutralized gains in distillate and gasoline cracks. Brent prices were strong due to the shortfall of light sweet Libyan crude exacerbated by maintenance in North Sea region.

During the last quarter, refining margins across all regions improved as compared to trailing quarter mainly due to continued strong distillate cracks and much improved gasoline cracks which got support from higher seasonal demand and switch from winter-grade product to higher-value summer grade.

During the last quarter, RIL refineries processed 16.26 million tonnes of crude as against 17.24 million tonnes for the trailing quarter. The external sales volume, during the quarter, was reduced by 6.2% adversely impacting segment EBIT.

During the year, Arab light - Arab heavy crude differential expanded by $ 0.5 / bbl as compared to the previous year. This was mainly due to lower supply of light sweet crudes from Libya, continued shut downs of North Sea and EU’s ban on Iranian crude imports. Strong Asian demand also resulted in higher sweet grade crude prices. 

During the last quarter, Light Heavy differential narrowed by almost $ 0.7 / bbl as compared to the trailing quarter after the steady increase in Libyan exports and expected solving of North Sea light crude supply problems. The Light Heavy differential may continue to remain narrow as conversion capacities have increased steeply in the last few years and many refiners have planned significant conversion capacities in the coming years.

During the year, gasoline cracks were stronger in Asia in comparison to the previous year due to robust demand in the region and planned / unplanned shut-down of the Asian refineries. During the last quarter, gasoline cracks were stronger as compared to the trailing quarter due to sturdy demand and supply tightness as Asia went through peak refinery maintenance. 

The robust demand from industrial / construction activity in Asia particularly from China and India and refinery maintenance activities continued to support gasoil cracks. During the year, demand for diesel remained strong in India as prices remained capped and were at a significant discount to gasoline prices. 

During the year, the gasoil crack increased by almost $ 4.0 / bbl in Asia in comparison to the previous year. Naphtha cracks remained negative across the globe on account of unfavorable economic growth outlook leading to diminished demand for the product, ample supply from refineries and cracker outages particularly in Asia. During the year, Naphtha cracks were lower by   $ 4.2 / bbl in Asia in comparison to the previous year. However, during the last quarter, refinery shutdowns helped improve Asian naphtha cracks.

RIL’s Gross Refining Margin (GRM) for the y/e 31st Mar 2012 was at $ 8.6/ bbl as against $ 8.4 / bbl in the previous year. Based on available information, these results are among the best in the industry. RIL focused on maintaining high utilization rates despite the shutdown taken in 4Q FY 2011-12. RIL’s refineries continue to outperform their peers in the world based on their competitive strength to process challenged feedstock to produce clean fuels at low operating costs. On the products side, the continuing global trend of tightening product specification presents new trade opportunities and RIL expanded its footprint in higher margin markets in Asia and further strengthened its presence in ultra-low sulphur diesel markets.

PETROCHEMICALS BUSINESS

(In ` Cr)	4Q FY12	3Q FY12	4Q FY11	% Change wrt 4Q  FY11	FY12	FY11	% Change wrt   FY11
Segment Revenue	21,412	19,781	18,194	17.7%	80,625	63,155	27.7%
Segment EBIT	2,174	2,157	2,626	(17.2%)	8,967	9,305	(3.6%)
EBIT Margin (%)	10.2%	10.9%	14.4%		11.1%	14.7%
Production (Million Tonnes)	5.5	5.5	5.2		22.2	21.2

During the y/e 31st Mar 2012, revenue for the segment increased by 27.7% from  Rs. 63,155 Cr to Rs. 80,625 Cr . Increase in volume accounted for 6.8% growth in revenue and increase of prices accounted for 20.9% growth in revenue. PX and PP were the largest contributors in terms of revenue growth for the year. 

On a trailing quarter basis, revenues increased by 8.2% to Rs.21,412 Cr from Rs.19,781 Cr. Increase in volume accounted for 3.3% growth in revenue and increase of prices accounted for 4.9% growth in revenue. Volume increase is primarily on account of PX and impact of first full quarter operation of MTBE / Butene-1 plant at Hazira.

EBIT margins for the y/e 31st Mar 2012 were at 11.1% as compared to 14.7% in the previous year. On a trailing quarter basis, EBIT margins reduced due to reduction in deltas across the olefins and polyester chain except for PVC, Benzene and Butadiene. 

During the year, PX and MEG deltas improved due to unplanned shutdowns while PTA deltas suffered due to oversupply and weaker demand from polyester products. PFY and PSF deltas moderated from the record high levels achieved in 4Q FY 2010-11 and were impacted by the weakness in cotton prices. PET deltas improved due to good beverage demand on account of extended warm weather. 

Domestic demand for polyester products was increased by 2% primarily due to robust consumption growth for PET. Heavy power shortage in south Indian states is impacting PSF consumption. POY is having steady growth at 3%.

During the year, production of fiber-intermediates (PX, PTA and MEG) increased by 5% to 4.8 million tonnes. Polyester (PFY, PSF and PET) production volumes decreased by 2% to 1.7 million tonnes due to changes in the product mix.

During the year, polymer business saw a mixed trend in terms of product margins with moderate domestic demand across key polymers. Polypropylene (PP), which is the largest part of RIL’s polymer portfolio, witnessed margin contraction while PVC deltas improved primarily on account of availability of cheaper EDC due to capacity additions in USA and Egypt. PE deltas continued to feel the impact of the substantial capacity added in Middle East and China over last couple of years.

 

During the year, in the chemicals business, Butadiene witnessed margin expansion primarily due to slowdown in global availability as US crackers migrated to lighter feeds and firm demand from the automotive and ABS segment. Strong LAB demand led to improved deltas while Benzene deltas were depressed due to lower demand of Benzene derivatives (Styrene, Phenol and Cyclohexane).

Overall demand for polymer products improved by 6% mainly due to growth in the packaging sector, multifilament yarn, non-woven fabrics and moulded products.  

Production of ethylene and propylene was 1.8 million tonnes and 752 thousand tonnes, an increase of by 10% and 8% respectively. This was due to normalized production during the FY 2011-12 period vis-à-vis cracker turnarounds at Hazira, Nagothane and Dahej manufacturing divisions during the previous year. Polymer (PP, PE and PVC) production was increased by 9% to 4.5 million tonnes.

 ORGANIZED RETAIL : FY 2011-12 has been a year of growth with consolidation for Reliance Retail. RIL witnessed strong growth in sales from existing stores and added new stores across all its formats. RIL maintained its position of being the largest grocery retailer in the country.  

Reliance Retail also implemented a slew of strategic initiatives aimed at maximizing efficiencies, value and utilization of assets apart from promoting faster growth. Under its value format, RIL launched its new prototype of ‘Reliance Mart’ and ‘Reliance Super’. The new stores have received an overwhelming response from customers. 

RIL launched its first ‘wholesale’ format under the name of ‘Reliance Market’ in Ahmedabad. The format caters to kirana stores, small businesses, restaurants and various other institutional buyers. Encouraged by the success, RIL will rapidly expand the format. 

During the year, two of RIL’s specialty formats ‘Reliance Trends’, the apparel specialty format and ‘Reliance Digital’, the electronics specialty format attained leadership in their respective segments of retail in the market. The two formats have more than doubled their store count in last one year with ‘Reliance Trends’ and ‘Reliance Digital’ now operating 90 and 74 stores respectively across the country.

In addition, Reliance Retail has rapidly expanded the store network it operates through strategic partnerships, with premium and luxury brands such as Marks & Spencer, Diesel, Timberland, Quiksilver, Roxy and others. 

RIL added 55 new stores under its partnership with Grand Vision taking total store count to over 150 stores making it the fastest growing optical retail chain in the country. 

During the year, Reliance Brands announced partnerships with: 

Ø     Iconix Brand Group, a brand management company that owns the fashion and home brands such as Ed Hardy, Mossimo, London Fog and Ocean Pacific. The partnership will own the brand rights from the Iconix portfolio for the Indian territory

Ø     Kenneth Cole to license the merchandise for retail and premium wholesale in India for the American clothing brand

Ø     Thomas Pink for a franchise arrangement

Reliance Retail now operates more than 1,300 stores across 18 states and operates over 6.5 million square feet of retail space. RIL’s loyalty membership program ‘Reliance One’ has grown to over 9 million members. Reliance Retail will be rolling out more stores in FY 2012-13 which are currently in various stages of construction and planning.

TELECOM : RIL’s subsidiary, Infotel Broadband Services Limited (Infotel), which has emerged as a successful bidder in all the 22 circles of the auction for Broadband Wireless Access (BWA) spectrum conducted by the Department of Telecommunications, GOI  is in the process of setting up a world class Broadband Wireless network using state-of-the-art technologies and  finalizing the arrangement with leading global technology players, service providers, infrastructure providers, application developers, device manufacturers and others to help usher the 4G revolution into India.   

AUDITED CONSOLIDATED (In Cr.Rs)

RESULTS FOR THE Y/E 31st MAR 2012

				2012			2011
Income from Operations
Net Sales from operations)			3,58,501			2,65,811
Cost of materials consumed			291800			201850
Total Expenses		336085			240971
Profit from operations		22416			24840
Other Income		6124			2,603
Profit before tax		25,338			24,115
Tax expense		5,691			4,783
Net Profit for the Period		19,647			19,332
Consolidated Net Profit		19,724			19,294
Paid up Equity (FV of ` 10/- each).		2,979			2,981
Reserves		162,726			1,45,026
	Basic EPS			66.2			64.8

Notes on Consolidated Accounts: Reliance Exploration and Production DMCC, wholly owned subsidiary of RIL, has relinquished Oman Block 18, Oman Block 41 and East Timor Block-K during the year. Consequently the expenditure incurred on these blocks during the year amounting to $ 55 million (` 258 Cr) [Previous Year $ 177 million (` 807 Cr)] has been written off during the year. 

Reliance Industrial and Investments Holding Limited, a wholly owned subsidiary has during the year written off 90% of its investment in Deccan 360 amounting to ` 107 Cr ($ 21 million). An amount of ` 51 Cr, net of losses recognized in earlier years, have been recognized in the above results.

Rs.309 Cr has been reflected as exceptional items in the above results.  

AUDITED CONSOLIDATED

SEGMENT INFORMATION

FOR THE Y/E 31st MAR 2012

                                                                                                                                                                         

		2012	2011
1.	Segment Revenue
	-  Petrochemicals	86,462	67,692
	-  Refining	326,532	235,175
	-  Oil and Gas	14,174	17,325
	-  Others	10,163	6,691
	Gross Turnover  (Turnover and Inter Segment Transfers)	437,331	326,883
	Less: Inter Segment Transfers	68,760	50,511
	Turnover	368,571	276,372
	Less: Excise Duty / Service Tax Recovered	10,070	10,561
	Net Turnover	358,501	265,811
2.	Segment Results
	-  Petrochemicals	9,060	9,540
	-  Refining	9,847	9,182
	-  Oil and Gas	5,555	6,717
	-  Others	(130)	(460)
	Total Segment Profit before Interest and Tax	24,332	24,979
	(i)    Interest Expense	(2,893)	(2,411)
	(ii)   Interest Income	4,167	1,742
	(iii)  Other Un-allocable Income Net of Expenditure	111	662
	(iv)  Exceptional Item	(309)	(917)
	Profit before Tax	25,408	24,055
	(i)  Provision for Current Tax	(5,226)	(4,412)
	(ii) Provision for Deferred Tax	(465)	(371)
	Profit after Tax	19,717	19,272

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