Reliance 4Q 2020 earnings


Well-Known Member
In December last year, Jio hiked prices - this should go directly to bottom line.

Jan 2020 onwards, IMO2020 kicks in - Reliance is big beneficiary of this.

Falling oil price typically results in greater refining margins, but also inventory losses. However, Reliance has been scalping Crude that is being rejected by Sinopec aggressively, which gives them huge margins.

London court rules against GoI and in favor of Reliance and Shell in the Panna Mukta/Tapti case. This was expected to be a big risk, because original arbitration award went in favor of GoI, and GoI expected $3.5B damages from ONGC, RIL and Shell. This verdict couple of days back should be massive boost for Reliance. But more importantly, GoI had used this as excuse to block Aramco investment - with this verdict, the likelihood of Aramco money coming in and helping lowering Reliance debt increases.

All of this put together will likely result in a blockbuster quarter for Reliance.

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