Reliance Jio Q1 results: Profit rises 12% to ₹4,863 cr; revenue up 10%

Telecom major Reliance Jio Infocomm, a subsidiary of Reliance Industries, released the June quarter results on July 21. During the quarter under review, the telecom major's net profit stood at ₹4,863 crore, witnessing a growth of 12% year-on-year (YoY) as against ₹4,335 crore reported in the same period last year.

In Q1 of FY24, the company's revenue from operations grew 10% YoY to ₹24,042 crore as against ₹21,873 crore in the same period last year.

The company's EBITDA (earnings before interest, taxes, depreciation and amortization) stood at ₹12,278 crore during the quarter under review. The total expense of the telecom behemoth stood at ₹17,594 crore, registering a growth of 9.03% as against the April to June period in the corresponding year. The company's network operating expenses stood at ₹7,379 crore, registering a growth of 7.8% year-on-year, as against ₹6,842 crore in the same period last year.  

On a sequential basis, the profit of Reliance Jio Infocomm surged marginally by 3% quarter-on-quarter (QoQ) as against ₹4,716 crore reported in the January to March period of FY22. The revenue from operations also plunged marginally by 2.3% QoQ as against ₹23,394 crore in the Q4 of FY23.  

Ahead of the development, shares of Reliance Industries declined by 2.57% to close at ₹2,536.20 in line with the broader market. The BSE Sensex plunged as much as 1.31% or 887.64 points before closing at 66,684.26. During the session on Friday, the company’s market capitalisation stood at ₹17.15 lakh crore as more than 8.96 lakh shares exchanged hands on the BSE as against the two-week average of 5.30 lakh shares.

Notably, Jio Infocomm continued to helm the top position and cornered a market share of 37.9% in April, as per the latest data by the Telecom Regulatory Authority of India (TRAI). The telecom behemoth added 3.04 million mobile subscribers in April. The company's mobile subscriber tally during the month under review stood at 433.27 million. In terms of broadband users, Reliance Jio's subscriber base stood at 441.92 million in April. In rural areas, Jio gained 1.58 million users in April.

In order to bolster its presence in the country’s telecom market, Jio Infocomm has launched the internet-enabled Jio Bharat Phone at a price of ₹999. This is the ‘lowest entry price’ for an internet-enabled phone, claims the company. The phone is available in two series-- JioBharat V2 and JioBharat K1 Karbonn. Jio Bharat Phone will offer a 30% cheaper monthly plan and seven times more data compared to feature phone offerings of other operators, according to the company. The low-budget device will also offer unlimited voice calls anywhere in India and 14 GB (gigabyte) data at a price of ₹123 per month, which is cheaper as compared to the ₹179 plan for voice calls and 2GB data charged by other telecom operators.