Reliance Industries AGM 2024: Bonus Issue & Other Key Highlights

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During the 47th Annual General Meeting (AGM) of Reliance Industries Ltd (RIL), Chairman and Managing Director Mukesh Ambani shared an inspiring narrative of the conglomerate's growth and its ambitious roadmap to join the top 30 global companies. Here's a comprehensive breakdown of the significant announcements and insights from the RIL AGM 2024. 

Financial Milestones and Employee Growth

  • RIL made history as the first Indian company to breach the Rs 10 lakh crore revenue mark, recording a staggering consolidated turnover of Rs 10,00,122 crore for FY24.
  • EBITDA stood at Rs 1,78,677 crore, with a net profit of Rs 79,020 crore ($9.5 billion). Exports contributed Rs 2,99,832 crore ($35.9 billion), accounting for 8.2% of India's total merchandise exports.
  • RIL continues to rank as India’s top employer, adding over 1.7 lakh new jobs last year and expanding its workforce to nearly 6.5 lakh.

Bonus Issue Consideration

Ambani announced a forthcoming board meeting on September 5, 2024, to consider a proposed bonus issue of shares in a 1:1 ratio, indicating a strong commitment to shareholder value.

Telecom and Jio Platforms Surge Forward

  • RIL's Jio platforms are set to dominate the burgeoning 5G market, capturing a major share of the expanding customer base. Notably, nearly half of 2G users upgrading their services are opting for JioBharat phones.
  • Ambani announced an ambitious target to connect 1 million homes monthly with Jio broadband and a promotional offer of 100 GB free cloud storage for Jio users, starting October 2024.
  • The firm plans to double its revenue and EBITDA within the next 3-4 years, emphasizing robust growth in the telecom sector.

Retail Expansion and New Ventures

  • As India’s leading and fastest-growing grocery retailer, Reliance Retail is now venturing into the luxury jewellery segment.
  • With a clear strategy, Reliance Retail is on a path to double its business scale in the next 3-4 years.

Oil to Chemicals (O2C) and New Energy Initiatives

  • The O2C segment remains RIL’s largest growth engine, with plans to add three more ethane carriers to its fleet to enhance feedstock sourcing.
  • Ambani outlined significant developments in the new energy sector, including the initiation of solar module production by the end of this year and the establishment of a battery production facility in the following year.
  • A new electrolyzer plant is slated for completion by 2026, with expectations for the new energy segment to match O2C’s profitability within 5-7 years.

In another significant development, the Competition Commission of India (CCI) approved the Rs 70,350-crore merger between Reliance Industries-controlled Viacom18 and Disney Star on Wednesday. For further details, read: CCI Approves Reliance-Disney Merger: Key Insights & Post-Merger Outlook

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