InvestorQ : What is the view of Reliance?
Purvesh made post

What is the view of Reliance?

Juvina Maggie answered.
5 months ago

I think you are asking this query in the light of the latest results where the profits are down. Remember, sales and profits of RIL will always be driven by the price of crude oil as that determines the inventory valuations and the refining margins.

If you notice in the latest results of RIL, the retail and digital segment are really picking up steam. For example, the retail segment now accounts for 29% of the sales and the digital accounts for 38% of the EBITDA.

What this means is that RIL is de-risking its business model from over dependence on the oil and chemicals segment. Now, nearly 65% of the value of RIL comes from digital and retail put together and only the balance come from the oil to chemicals or O2C business. So, I would actually be positive on the stock.