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Reliance Industries

DB:RLI
Snowflake Description

Good value with moderate growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
RLI
DB
₹6,107B
Market Cap
  1. Home
  2. DE
  3. Energy
Company description

Reliance Industries Limited engages in the hydrocarbon exploration and production, petroleum refining and marketing, petrochemicals, retail, textile, and digital service businesses worldwide. The last earnings update was 73 days ago. More info.


Add to Portfolio Compare Print
  • Reliance Industries has significant price volatility in the past 3 months.
RLI Share Price and Events
7 Day Returns
8.7%
DB:RLI
18.1%
DE Oil and Gas
7.3%
DE Market
1 Year Returns
-31.4%
DB:RLI
21.9%
DE Oil and Gas
-17.7%
DE Market
RLI Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Reliance Industries (RLI) 8.7% -28.2% -35.9% -31.4% 25% 101.3%
DE Oil and Gas 18.1% -15.9% -28.7% 21.9% -25.6% 137.4%
DE Market 7.3% -17.9% -25.8% -17.7% -25.6% -29%
1 Year Return vs Industry and Market
  • RLI underperformed the Oil and Gas industry which returned 21.9% over the past year.
  • RLI underperformed the Market in Germany which returned -17.7% over the past year.
Price Volatility
RLI
Industry
5yr Volatility vs Market

Value

 Is Reliance Industries undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Reliance Industries to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Reliance Industries.

DB:RLI Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 25 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 7.6%
Perpetual Growth Rate 10-Year DE Government Bond Rate -0.4%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:RLI
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate -0.4%
Equity Risk Premium S&P Global 7.9%
Oil and Gas Unlevered Beta Simply Wall St/ S&P Global 0.81
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.808 (1 + (1- 35%) (41.3%))
1.017
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.02
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= -0.39% + (1.017 * 7.85%)
7.59%

Discounted Cash Flow Calculation for DB:RLI using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Reliance Industries is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

Note: Free cash flow to equity valuations ignore the company's cash or debt.

DB:RLI DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (INR, Millions) Source Present Value
Discounted (@ 7.59%)
2020 45,737.70 Analyst x10 42,510.66
2021 283,341.92 Analyst x13 244,769.87
2022 568,274.85 Analyst x13 456,277.55
2023 638,000.00 Analyst x2 476,118.34
2024 811,000.00 Analyst x1 562,520.87
2025 934,498.26 Est @ 15.23% 602,448.38
2026 1,033,018.01 Est @ 10.54% 618,974.55
2027 1,108,043.73 Est @ 7.26% 617,085.52
2028 1,163,079.59 Est @ 4.97% 602,034.60
2029 1,202,157.41 Est @ 3.36% 578,358.21
Present value of next 10 years cash flows ₹4,801,098.00
DB:RLI DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2029 × (1 + g) ÷ (Discount Rate – g)
= ₹1,202,157.41 × (1 + -0.39%) ÷ (7.59% – -0.39%)
₹15,003,764.60
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= ₹15,003,764.60 ÷ (1 + 7.59%)10
₹7,218,314.70
DB:RLI Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= ₹4,801,098.00 + ₹7,218,314.70
₹12,019,412.70
Equity Value per Share
(INR)
= Total value / Shares Outstanding
= ₹12,019,412.70 / 5,926.44
₹2028.1
DB:RLI Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:RLI represents 0.02421x of NSEI:RELIANCE
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.02421x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (INR) x Listing Adjustment Factor
= ₹ 2,028.10 x 0.02421
€49.11
Value per share (EUR) From above. €49.11
Current discount Discount to share price of €24.95
= -1 x (€24.95 - €49.11) / €49.11
49.2%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Reliance Industries is available for.
Intrinsic value
49%
Share price is €24.95 vs Future cash flow value of €49.11
Current Discount Checks
For Reliance Industries to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Reliance Industries's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Reliance Industries's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Reliance Industries's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Reliance Industries's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:RLI PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-12-31) in INR ₹71.45
NSEI:RELIANCE Share Price ** NSEI (2020-03-30) in INR ₹1030.45
Europe Oil and Gas Industry PE Ratio Median Figure of 105 Publicly-Listed Oil and Gas Companies 5.67x
Germany Market PE Ratio Median Figure of 400 Publicly-Listed Companies 16.36x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Reliance Industries.

DB:RLI PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NSEI:RELIANCE Share Price ÷ EPS (both in INR)

= 1030.45 ÷ 71.45

14.42x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Reliance Industries is overvalued based on earnings compared to the Europe Oil and Gas industry average.
  • Reliance Industries is good value based on earnings compared to the Germany market.
Price based on expected Growth
Does Reliance Industries's expected growth come at a high price?
Raw Data
DB:RLI PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 14.42x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 25 Analysts
20%per year
Europe Oil and Gas Industry PEG Ratio Median Figure of 65 Publicly-Listed Oil and Gas Companies 0.17x
Germany Market PEG Ratio Median Figure of 254 Publicly-Listed Companies 1.2x

*Line of best fit is calculated by linear regression .

DB:RLI PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 14.42x ÷ 20%

0.72x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Reliance Industries is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Reliance Industries's assets?
Raw Data
DB:RLI PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-12-31) in INR ₹669.14
NSEI:RELIANCE Share Price * NSEI (2020-03-30) in INR ₹1030.45
Germany Oil and Gas Industry PB Ratio Median Figure of 6 Publicly-Listed Oil and Gas Companies 0.94x
Germany Market PB Ratio Median Figure of 574 Publicly-Listed Companies 1.43x
DB:RLI PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NSEI:RELIANCE Share Price ÷ Book Value per Share (both in INR)

= 1030.45 ÷ 669.14

1.54x

* Primary Listing of Reliance Industries.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Reliance Industries is overvalued based on assets compared to the DE Oil and Gas industry average.
X
Value checks
We assess Reliance Industries's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Oil and Gas industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Oil and Gas industry average (and greater than 0)? (1 check)
  5. Reliance Industries has a total score of 4/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Reliance Industries expected to perform in the next 1 to 3 years based on estimates from 25 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
20%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Reliance Industries expected to grow at an attractive rate?
  • Reliance Industries's earnings growth is expected to exceed the low risk savings rate of -0.4%.
Growth vs Market Checks
  • Reliance Industries's earnings growth is expected to exceed the Germany market average.
  • Reliance Industries's revenue growth is expected to exceed the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:RLI Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:RLI Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 25 Analysts 20%
DB:RLI Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 25 Analysts 10%
Europe Oil and Gas Industry Earnings Growth Rate Market Cap Weighted Average 13%
Europe Oil and Gas Industry Revenue Growth Rate Market Cap Weighted Average 2.1%
Germany Market Earnings Growth Rate Market Cap Weighted Average 14.3%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:RLI Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 25 Analyst Estimates (S&P Global) See Below
All numbers in INR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:RLI Future Estimates Data
Date (Data in INR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2024-03-31 9,567,300 1,355,000 1
2023-03-31 8,580,200 1,226,000 945,000 1
2022-03-31 7,392,066 1,005,394 687,606 17
2021-03-31 6,587,953 865,985 583,490 18
2020-03-31 6,053,971 780,159 454,393 19
2020-03-30
DB:RLI Past Financials Data
Date (Data in INR Millions) Revenue Cash Flow Net Income *
2019-12-31 6,112,500 435,450
2019-09-30 6,144,430 566,220 419,790
2019-06-30 6,092,400 402,330
2019-03-31 5,810,200 457,360 395,880
2018-12-31 5,595,290 386,640
2018-09-30 5,017,300 378,330
2018-06-30 4,507,970 364,260
2018-03-31 4,082,650 714,590 360,750
2017-12-31 3,810,110 346,860
2017-09-30 3,627,000 327,960
2017-06-30 3,492,660 318,960
2017-03-31 3,301,800 495,500 299,010

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Reliance Industries's earnings are expected to grow by 20% yearly, however this is not considered high growth (20% yearly).
  • Reliance Industries's revenue is expected to grow by 10% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:RLI Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 25 Analyst Estimates (S&P Global) See Below

All data from Reliance Industries Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:RLI Future Estimates Data
Date (Data in INR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2024-03-31
2023-03-31 149.00 149.00 149.00 1.00
2022-03-31 110.23 129.00 86.58 19.00
2021-03-31 92.37 112.00 72.03 21.00
2020-03-31 73.43 78.10 67.34 21.00
2020-03-30
DB:RLI Past Financials Data
Date (Data in INR Millions) EPS *
2019-12-31 71.45
2019-09-30 70.06
2019-06-30 67.90
2019-03-31 66.82
2018-12-31 65.27
2018-09-30 63.94
2018-06-30 61.55
2018-03-31 60.94
2017-12-31 58.64
2017-09-30 55.42
2017-06-30 54.00
2017-03-31 50.67

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Reliance Industries is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Reliance Industries's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Europe market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Europe market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Reliance Industries has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Reliance Industries performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Reliance Industries's growth in the last year to its industry (Oil and Gas).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Reliance Industries's year on year earnings growth rate has been positive over the past 5 years.
  • Reliance Industries's 1-year earnings growth is less than its 5-year average (12.6% vs 12.8%)
  • Reliance Industries's earnings growth has exceeded the Europe Oil and Gas industry average in the past year (12.6% vs -4.1%).
Earnings and Revenue History
Reliance Industries's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Reliance Industries Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:RLI Past Revenue, Cash Flow and Net Income Data
Date (Data in INR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-12-31 6,112,500.00 435,450.00 137,070.00
2019-09-30 6,144,430.00 419,790.00 130,920.00
2019-06-30 6,092,400.00 402,330.00 128,720.00
2019-03-31 5,810,200.00 395,880.00 124,880.00
2018-12-31 5,595,290.00 386,640.00 116,180.00
2018-09-30 5,017,300.00 378,330.00 106,860.00
2018-06-30 4,507,970.00 364,260.00 100,190.00
2018-03-31 4,082,650.00 360,750.00 95,230.00
2017-12-31 3,810,110.00 346,860.00 94,610.00
2017-09-30 3,627,000.00 327,960.00 90,220.00
2017-06-30 3,492,660.00 318,960.00 87,790.00
2017-03-31 3,301,800.00 299,010.00 83,880.00
2016-12-31 2,880,070.00 268,390.00 81,640.00
2016-09-30 2,763,310.00 265,780.00 82,240.00
2016-06-30 2,649,190.00 287,190.00 79,200.00
2016-03-31 2,932,980.00 297,450.00 74,200.00
2015-12-31 2,837,620.00 266,130.00 224,060.00
2015-09-30 3,090,290.00 245,790.00 219,280.00
2015-06-30 3,479,250.00 238,310.00 217,170.00
2015-03-31 3,754,350.00 235,660.00 62,620.00
2014-12-31 4,113,930.00 230,660.00 172,970.00
2014-09-30 4,359,030.00 233,120.00 169,220.00
2014-06-30 4,415,970.00 232,130.00 167,560.00
2014-03-31 4,344,600.00 224,930.00 166,910.00
2013-03-31 3,970,620.00 208,250.00 150,260.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Reliance Industries has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Reliance Industries used its assets less efficiently than the Europe Oil and Gas industry average last year based on Return on Assets.
  • Reliance Industries has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Reliance Industries's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Oil and Gas industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Reliance Industries has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Reliance Industries's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Reliance Industries's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Reliance Industries's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Reliance Industries's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Reliance Industries's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.9x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Reliance Industries Company Filings, last reported 2 months ago.

DB:RLI Past Debt and Equity Data
Date (Data in INR Millions) Total Equity Total Debt Cash & Short Term Investments
2019-12-31 4,138,320.00 2,521,900.00 945,090.00
2019-09-30 4,138,320.00 2,521,900.00 945,090.00
2019-06-30 3,953,920.00 2,875,050.00 774,720.00
2019-03-31 3,953,920.00 2,875,050.00 774,720.00
2018-12-31 3,102,380.00 2,341,160.00 736,560.00
2018-09-30 3,102,380.00 2,341,160.00 736,560.00
2018-06-30 2,970,450.00 2,187,630.00 695,630.00
2018-03-31 2,970,450.00 2,187,630.00 695,630.00
2017-12-31 2,790,320.00 1,812,520.00 699,080.00
2017-09-30 2,790,320.00 1,812,520.00 699,080.00
2017-06-30 2,666,260.00 1,966,020.00 633,540.00
2017-03-31 2,666,260.00 1,966,000.00 678,630.00
2016-12-31 2,578,260.00 1,811,820.00 559,550.00
2016-09-30 2,578,260.00 1,811,820.00 559,550.00
2016-06-30 2,469,050.00 1,659,540.00 511,250.00
2016-03-31 2,349,120.00 1,806,550.00 564,270.00
2015-12-31 2,346,290.00 1,560,200.00 604,720.00
2015-09-30 2,346,290.00 1,560,200.00 604,720.00
2015-06-30 2,215,370.00 1,608,610.00 647,290.00
2015-03-31 2,215,370.00 1,608,390.00 636,140.00
2014-12-31 2,131,000.00 1,330,230.00 663,670.00
2014-09-30 2,131,000.00 1,330,230.00 663,670.00
2014-06-30 1,996,460.00 1,387,620.00 731,380.00
2014-03-31 1,996,460.00 1,387,220.00 724,150.00
2013-03-31 1,830,040.00 1,071,770.00 797,460.00
  • Reliance Industries's level of debt (60.9%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (62.5% vs 60.9% today).
  • Debt is well covered by operating cash flow (22.5%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 4.8x coverage).
X
Financial health checks
We assess Reliance Industries's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Reliance Industries has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Reliance Industries's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.63%
Current annual income from Reliance Industries dividends. Estimated to be 0.83% next year.
If you bought €2,000 of Reliance Industries shares you are expected to receive €13 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Reliance Industries's pays a lower dividend yield than the bottom 25% of dividend payers in Germany (1.7%).
  • Reliance Industries's dividend is below the markets top 25% of dividend payers in Germany (4.97%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:RLI Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 25 Analyst Estimates (S&P Global) See Below
Europe Oil and Gas Industry Average Dividend Yield Market Cap Weighted Average of 68 Stocks 9.1%
Germany Market Average Dividend Yield Market Cap Weighted Average of 323 Stocks 3.9%
Germany Minimum Threshold Dividend Yield 10th Percentile 1%
Germany Bottom 25% Dividend Yield 25th Percentile 1.7%
Germany Top 25% Dividend Yield 75th Percentile 5%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:RLI Future Dividends Estimate Data
Date (Data in ₹) Dividend per Share (annual) Avg. No. Analysts
2024-03-31
2023-03-31
2022-03-31 9.48 20.00
2021-03-31 8.52 21.00
2020-03-31 7.55 21.00
2020-03-30
DB:RLI Past Annualized Dividends Data
Date (Data in ₹) Dividend per share (annual) Avg. Yield (%)
2019-04-18 6.500 0.487
2018-04-27 6.000 0.530
2017-07-10 5.500 0.625
2017-04-24 5.500 0.804
2016-03-10 5.250 0.994
2015-05-20 5.000 1.054
2015-04-17 5.000 1.133
2014-04-21 4.750 0.998
2013-04-16 4.500 1.055
2012-05-09 4.250 1.075
2012-04-20 4.250 1.164
2011-04-21 4.000 0.978
2010-05-12 3.500 0.689
2010-04-23 3.500 0.670
2009-10-07 3.250 0.618

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Reliance Industries is not paying a notable dividend for Germany, therefore no need to check if the payments are stable.
  • Reliance Industries is not paying a notable dividend for Germany, therefore no need to check if the payments are increasing.
Current Payout to shareholders
What portion of Reliance Industries's earnings are paid to the shareholders as a dividend.
  • No need to calculate the sustainability of Reliance Industries's dividends as it is not paying a notable one for Germany.
Future Payout to shareholders
  • No need to calculate the sustainability of Reliance Industries's dividends in 3 years as they are not expected to pay a notable one for Germany.
X
Income/ dividend checks
We assess Reliance Industries's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Reliance Industries afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Reliance Industries has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Reliance Industries's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Mukesh Ambani
COMPENSATION ₹150,000,000
AGE 62
TENURE AS CEO 17.7 years
CEO Bio

Mr. Mukesh Dhirubhai Ambani is Chairman and Managing Director of Reliance Industries Ltd. since July 31, 2002 and has been its Director since April 01, 1977. Mr. Ambani serves as an Executive of Reliance Enterprises Limited. He joined Reliance in 1981. Previously, he served as Managing Director of Reliance Group. He serves as the Chairman of Reliance Retail Limited. He serves as Chairman of Reliance Exploration and Production DMCC and Stanford Graduate School of Business. Mr. Ambani serves as the Chairman of Board of Governors at Indian Institute of Management Bangalore. He serves as a Director of Reliance Solar Group, KDA Enterprises Private Limited, Pratham India Education Initiative, and Reliance Europe Limited. Mr. Ambani serves as a Member of Board at Breakthrough Energy Ventures. He has been an Executive Director of Reliance Industries Ltd since April 1, 1997. He serves as Chairman of the Board at Reliance Jio Infocomm Limited and its Director since June 22, 2010 and served as its Managing Director. Mr. Ambani serves as a Member of Global Advisory Board at Council on Foreign Relations Inc. He serves as a Member of International Advisory Board at National Bank of Kuwait S.A.K.P. Mr. Ambani serves as a Member of Advisory Council of Stanford Graduate School of Business. Mr. Ambani has been Director at Reliance Retail Ventures Limited. Mr. Ambani is a Member of Prime Minister's Advisory Council on Trade and Industry, Government of India, Council of Scientific and Industrial Research (CSIR), India, Board of Governors of National Council of Applied Economic Research (NCAER), Advisory Council of Indian Banks' Association and serves as the Chairman, Board of Trustees of the Indian Institute of Software Engineering, Mumbai. He serves as a Member of the Advisory Council of Indian Institute of Technology, Mumbai. He also serves as a Member of the Advisory Council for Graduate School of Business of Stanford University. He serves as a Member of the Indo-US CEOs Forum, the Co-Chairman of the Japan-India Business Leader's Forum, and India-Russia CEO Council. He serves as a Member of the UN Advocacy Group supporting the implementation of the Millennium Development Goals and serves as the Member of the Board of Trustees of the World Economic Forum. He served as the Chairman of Reliance Petroleum Ltd. He served as the Chairman and Director of Global Cloud Xchange Limited from February 10, 2004 to July 2005. He served as the Chairman and Director of Indian Petrochemicals Corporation Ltd. He served as the Chairman of Reliance Communications Limited and Reliance Infocomm Limited. He served as a Vice Chairman of Reliance Petroleum Ltd. He served as a Vice Chairman of Reliance Industries Limited until July 30, 2002. He served as a Director of Reliance Infocomm Limited. He served as a Non-Executive Director of Reliance Petroleum Ltd. He served as a Director at Bank of America Corporation from March 2011 to May 8, 2013. His accolades include: US-India Business Council 'Global Vision' 2007 Award for Leadership in 2007, invited to be a Member of World Business Council for Sustainable Development (WBCSD). Mr. Ambani is the only Indian Chief Executive Officer to be a Council Member of WBCSD, Conferred 'ET Business Leader of the Year' Award by The Economic Times (India) in the year 2006, the Degree Honoris Causa, Honorary Doctorate by Maharaja Sayajirao University in 2007, the Penn Engineering Dean's Medal for application of engineering and technology in January 2010, the India Business Leadership Award by CNBC-TV18 in 2007, the first NDTV-Profit 'Global Indian Leader Award' from Hon'ble Prime Minister of India, Shri Manmohan Singh in New Delhi in the year 2006, Co-Chairman at the World Economic Forum in Davos, Switzerland, World Communication Award for the 'Most Influential Person' in Telecommunications by Total Telecom, in October, 2004 and the 'Asia Society Leadership Award' by the Asia Society, Washington D.C., USA, in May, 2004. Mr. Ambani has been the Director at Reliance Foundation Institution of Education and Research. Mr. Ambani ranked 42nd among the 'World's Most Respected Business Leaders' and second among the four Indian Chief Executive Officer's featured in a survey conducted by Pricewaterhouse Coopers and published in Financial Times, London, in November, 2004. Mr. Ambani holds a Bachelor's Degree in Chemical Engineering from University of Mumbai and MBA degree from Stanford University, USA.

CEO Compensation
  • Mukesh's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Mukesh's remuneration is lower than average for companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the Reliance Industries management team in years:

11.9
Average Tenure
61.5
Average Age
  • The average tenure for the Reliance Industries management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Mukesh Ambani

TITLE
Chairman & MD
COMPENSATION
₹150M
AGE
62
TENURE
17.7 yrs

Srikanth Venkatachari

TITLE
Joint Chief Financial Officer
AGE
53

Alok Agarwal

TITLE
Chief Financial Officer
AGE
61
TENURE
15.2 yrs

K. Sethuraman

TITLE
Group Company Secretary & Chief Compliance Officer
AGE
72
TENURE
8.7 yrs

Nikhil Meswani

TITLE
Executive Director
COMPENSATION
₹206M
AGE
53

Hital Meswani

TITLE
Executive Director
COMPENSATION
₹206M
AGE
50

Panda Madhu Sudana Prasad

TITLE
Executive Director
COMPENSATION
₹100M
AGE
67

Pawan Kapil

TITLE
Executive Director
COMPENSATION
₹42M
AGE
73

Savithri Parekh

TITLE
Joint Company Secretary & Compliance Officer
TENURE
1 yrs

Vinod Ambani

TITLE
President
Board of Directors Tenure

Average tenure and age of the Reliance Industries board of directors in years:

13.7
Average Tenure
64
Average Age
  • The average tenure for the Reliance Industries board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Mukesh Ambani

TITLE
Chairman & MD
COMPENSATION
₹150M
AGE
62
TENURE
17.7 yrs

Nikhil Meswani

TITLE
Executive Director
COMPENSATION
₹206M
AGE
53
TENURE
33.8 yrs

Hital Meswani

TITLE
Executive Director
COMPENSATION
₹206M
AGE
50
TENURE
24.6 yrs

Panda Madhu Sudana Prasad

TITLE
Executive Director
COMPENSATION
₹100M
AGE
67
TENURE
10.6 yrs

Pawan Kapil

TITLE
Executive Director
COMPENSATION
₹42M
AGE
73
TENURE
9.8 yrs

Yogendra Trivedi

TITLE
Independent Director
COMPENSATION
₹20M
AGE
90
TENURE
27.9 yrs

Adil Zainulbhai

TITLE
Independent Director
COMPENSATION
₹20M
AGE
66
TENURE
6.3 yrs

Dipak Jain

TITLE
Independent Director
COMPENSATION
₹18M
AGE
62
TENURE
14.6 yrs

Raghunath Mashelkar

TITLE
Independent Director
COMPENSATION
₹20M
AGE
76
TENURE
12.8 yrs

Nita Ambani

TITLE
Non-Executive Non-Independent Director
COMPENSATION
₹17M
AGE
57
TENURE
5.8 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
X
Management checks
We assess Reliance Industries's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Reliance Industries has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

Reliance Industries Limited engages in the hydrocarbon exploration and production, petroleum refining and marketing, petrochemicals, retail, textile, and digital service businesses worldwide. The company produces and markets petroleum products, such as liquefied petroleum gas, propylene, naphtha, gasoline, jet/aviation turbine fuel, kerosene oil, diesel, sulphur, petroleum coke, and alkylate. It also provides petrochemicals, such as high-density and low-density polyethylene, linear low density polyethylene, polypropylene, polyvinyl chloride, polyester yarn, polyester fibres, purified terephthalic acid, paraxylene, ethylene glycol, olefins, aromatics, linear alkyl benzene, butadiene, acrylonitrile, poly butadiene rubber, styrene butadiene rubber, caustic soda, and polyethylene terephthalate. In addition, the company explores, develops, and produces crude oil and natural gas; and operates various stores comprising neighbourhood, supermarket, hypermarket, wholesale cash and carry, specialty, and online stores, as well as stores that offer apparel, beauty and cosmetics, accessories, footwear, in-store salon, and a café. As of March 31, 2019, it operated 10,415 retail stores. Further, it provides fabrics, apparel, and auto furnishing products, as well as Jio 4G wireless broadband network services; operates various television channels; and produces feature films, as well as engages in international channel distribution, advertising sales on international channels, and content syndication. Further, it operates news and entertainment portals, finance portals, lifestyle portals, and retail and online ticket booking platforms; publishes magazines; and provides fleet management and highway hospitality services, as well as is involved in education, TV and filmed entertainment, and investment arm of Network18 businesses. The company was incorporated in 1973 and is based in Mumbai, India.

Details
Name: Reliance Industries Limited
RLI
Exchange: DB
Founded: 1973
₹73,074,120,611
5,926,442,684
Website: http://www.ril.com
Address: Reliance Industries Limited
Maker Chambers - IV,
3rd Floor,
Mumbai,
Maharashtra, 400021,
India
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NSEI RELIANCE Equity Shares National Stock Exchange of India IN INR 29. Nov 1995
BSE 500325 Equity Shares Mumbai Stock Exchange IN INR 29. Nov 1995
LSE RIGD SPON GDR EACH REP 2 ORD SHS 144A London Stock Exchange GB USD 04. Feb 1993
DB RLI SPON GDR EACH REP 2 ORD SHS 144A Deutsche Boerse AG DE EUR 04. Feb 1993
WBAG RLI SPON GDR EACH REP 2 ORD SHS 144A Wiener Boerse AG AT EUR 04. Feb 1993
BDL RELIN SPON GDR EACH REP 2 ORD SHS 144A Bourse de Luxembourg LU USD 04. Feb 1993
BATS-CHIXE RIGDL SPON GDR EACH REP 2 ORD SHS 144A BATS 'Chi-X Europe' GB USD 04. Feb 1993
Number of employees
Current staff
Staff numbers
194,056
Reliance Industries employees.
Industry
Oil and Gas Refining and Marketing
Energy
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2020/03/30 21:05
End of day share price update: 2020/03/30 00:00
Last estimates confirmation: 2020/03/30
Last earnings filing: 2020/01/17
Last earnings reported: 2019/12/31
Last annual earnings reported: 2019/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.