About
Reliance Industries Ltd
Reliance Industries is India's largest private sector company on all major financial parameters. In 2004, Reliance Industries (RIL) became the first Indian private sector organisation to be listed in the Fortune Global 500 list. The Company operates world-class manufacturing facilities across the country at Allahabad, Barabanki, Dahej, Hazira, Hoshiarpur, Jamnagar, Nagothane, Nagpur, Naroda, Patalganga, Silvassa and Vadodara. The Company is engaged in activities spanning across hydrocarbon exploration and production, Oil to chemicals, retail, digital services and financial services.
Reliance Industries' activities span hydrocarbon exploration and production, petroleum refining and marketing, petrochemicals, retail and telecommunications. The petrochemicals segment includes production and marketing operations of petrochemical products. The refining segment includes production and marketing operations of the petroleum products. The oil and gas segment includes exploration, development and production of crude oil and natural gas. The other segment of the company includes textile, retail business and special economic zone (SEZ) development.
In the year 1966 the RIL was founded by Shri Dhirubhai H. Ambani, it was started as a small textile manufacturer unit. In May 8, 1973 RIL was incorporated and conformed their name as RIL in the year 1985. Over the years, the company has transformed their business from manufacturing of textiles products into a petrochemical major.
The company has set up a texturising / twisting facilities in 1979, RIL has also set up plants for Polyester Staple Fiber (PSF) in 1986 and for Linear Alkyl Benzene (LAB) & Purified Terephthalic Acid (PTA) in 1988. RIL has setup a petrochemical facility to produce HDPE and PVC at Hazira, Gujarat in technical collaboration with DuPont and BF Goodich respectively. The Hazira petrochemical plant was commissioned in 1991-92.
In the year 1995-96, the company entered the telecom industry through a joint venture with NYNEX, USA and promoted Reliance Telecom Private Limited in India. Reliance became the first corporate in Asia to issue bonds in the U.S at the year of 1996-97. The company commissioned an 80,000 tonne bottle grade PET chip plant at Hazira manufacturing complex. Reliance's PET chips has been accepted internationally due to their high quality during the year 1997-98 and in the same year Reliance Industries Planned to invest around Rs. 5000 crores (USD 1,250 million) in building two world-scale plants at the site of the Jamnagar refinery in Gujarat. In 1998-99, RIL introduced packaged LPG in 15 kg cylinders under the brand name Reliance Gas. In 1999-2000, RIL commissioned the world's largest 1.4 million tonnes per annum Paraxylene (PX) plant at its new integrated petrochemicals complex at Jamnagar which was planned at 1997-98. With the commissioning of the last crystallization train of the Para-xylene (PX) complex at Jamnagar in June 2017, RIL became the 2nd largest producer of PX globally.
In 2000, Reliance commissioned the world's largest grassroots refinery in Jamnagar in a record 36 months. The Jamnagar refinery processes a wide variety of crude oils and produces a range of petroleum products for exports as well as supply in the Indian market. Reliance Petroleum Limited (RPL) was amalgamated with Reliance Industries Ltd in the year 2002-03.
In 2004-05, RIL acquired the polyester major, Trevira GmbH, headquartered in Frankfurt, Germany which has the capacity of 130,000 tonnes per annum of polyester staple fibers, polyester filament yarns and polyester chips. In the year 2006, the company set up a new export-oriented refinery through its subsidiary, Reliance Petroleum Limited (RPL). In 2006, RIL entered the organised retail segment through Reliance Retail with its first Reliance Fresh store in Hyderabad. In 2017, Reliance Retail crossed $5 billion revenue mark. Reliance Retail has adopted a multi-prong strategy and operates neighbourhood stores, supermarkets, hypermarkets, wholesale cash & carry stores, specialty stores and online stores and has democratized access to all types of products and services across all segments for all Indian consumers. Reliance Retail operates over 3,300 stores pan India with nearly 13 million square feet of retail space.
In the year 2007, Indian Petrochemicals Corporation Limited (IPCL) merged with the company. Also, Reliance Retail entered the organised retail market in India with the launch of its convenience store format under the brand name of Reliance Fresh'. During the year, the company commissioned their largest expansion project. The company expanded its polypropylene (PP) capacity by 280 KTA at Jamnagar that increased the combined capacity to 1,710 KTA.
During the year 2007-08, the company signed an agreement to certain polyester (capacity) assets of Hualon, Malaysia. It took over the majority control of Gulf Africa Petroleum Corporation (GAPCO) and started shipping products to the East African markets. Also, the company signed MoU with GAIL (India) Ltd to explore opportunities of setting up petrochemical plants in feedstock rich countries outside India. In April 2008, the company signed gas sales and purchase agreement (GSPA) with the customers in power sector for supply of natural gas to be produced from the KG-D6 block.
During the year, Reliance Commercial Associates Ltd, Reliance Neutraceuticals Pvt Ltd, Reliance Pharmaceuticals (India) Pvt Ltd, Reliance Petroinvestments Ltd, Gull Africa Petroleum Corporation (Mauritius), Gapco Tanzania Ltd, Gapoil Tanzania Ltd, Gapco Kenya Ltd, Gapco Uganda Ltd, Gapco Rwanda SARL, Gapoil Zanzibar Ltd, Transenergy Kenya Ltd, Recron (Malaysia) SDH BHD, Peninsula Land Kenya Ltd, Reliance International Exploration and Production INC, Wavely Investments Ltd, Reliance Digital Retail Ltd, Reliance Lifestyle Holdings Ltd, Reliance Universal Ventures Ltd, Reliance Home Store Ltd, Reliance Autozone Ltd, Reliance Trade Services Centre Ltd, Reliance Integrated Agri Solutions Ltd, Reliance Agri Products Distribution Ltd, Reliance Food Processing Solutions Ltd, Reliance Supply Chain Solutions Ltd, Reliance Digital Media Ltd, Strategic Manpower Solutions Ltd, Reliance Gems and Jewels Ltd, Reliance Leisures Ltd, Reliance Loyalty & Analytics Ltd, Reliance Retail Securities and Broking Company Ltd, Delight Proteins Ltd, Reliance F&B Services Ltd, Reliance Hypermart Ltd, Reliance Financial Distribution and Advisory Services Ltd, Reliance Retail Travel & Forex Services Ltd, Reliance Trends Ltd, Reliance Wellness Ltd, Reliance Brands Ltd, Reliance Footprint Ltd, Abcus Retail Pvt Ltd, Bigdeal Retail Pvt Ltd, Advantage Retail Pvt Ltd and RIL (Australia) PTY Ltd became subsidiaries of the company.
During the year 2008-09, Reliance People Serve Ltd, Reliance Infrastructure Management Services Ltd, Reliance Global Business, BV, Reliance Gas Corporation Ltd, Reliance Globalenergy Services Ltd, Reliance One Enterprises Ltd, Reliance Personal Electronics Ltd, Reliance Global Energy Services (Singapore) Pte Ltd, Reliance Polymers (India) Pvt Ltd, Reliance Polyolefins Pvt Ltd, Reliance Aromatics and Petrochemicals Pvt Ltd, Reliance Energy and Project Development Pvt Ltd, Reliance Chemicals Pvt Ltd, Reliance Universal Enterprises Pvt Ltd, International Oil Trading Ltd, Reliance Nutritional Food Processors Pvt Ltd, Reliance Review Cinema Pvt Ltd, Reliance Replay Gaming Pvt Ltd, RIL USA Inc. Reliance Commercial Land Infrastructure Pvt Ltd, Reliance Corporate IT Park Ltd, Reliance Eminent Trading & Commercial Pvt Ltd, Reliance Progressive Traders Pvt Ltd, Reliance Prolific Traders Pvt Ltd, Reliance Universal Traders Pvt Ltd, Reliance Prolific Commercial Pvt Ltd, Reliance Comtrade Pvt Ltd, Reliance Ambit Trade Pvt Ltd, Reliance Petro Marketing Pvt Ltd, LPG Infrastructure (India) Pvt Ltd and Reliance Infosolution Pvt Ltd beaome subsidiaries of the company. Also, Abcus Retail Pvt Ltd ceased to be a subsidiary of the company.
During the year, Reliance Petroleum Ltd (RPL) merged with the company with effect from April 1, 2008. From April 2, 2009, the company commenced production of hydrocarbons in its KGD6 block in the Krishna Godavari basin with the production of sweet crude of 420 API. In November 2009, the company discovered first oil exploration in the on land exploratory block CB-ONN-2003/1 (CB 10 A&B) awarded under the NELP-V round of exploration bidding. In December 2009, the company discovered gas in the exploration block KG-DWN-2003/1 (KG-V-D3) of NELP-V. The deepwater block KG-DWN-2003/1 is located in the Krishna basin, about 45 kilometers off the coast in the Bay of Bengal.
In April 2010, the company commissioned a 1 MW solar Photo Voltaic power plant at Thyagaraj stadium in New Delhi. The power plant is expected to generate around 1.4 million units of electricity a year. It would cater to the power requirements of the stadium and the surplus would be fed to the grid at 11 KV. In addition, the company's subsidiary Reliance Marcellus LLC executed definitive agreements to enter into a joint venture with United States based Atlas Energy, Inc, of Pittsburgh, Pennsylvania under which Reliance will acquire a 40% interest in Atlas' core Marcellus Shale acreage position.
In June 2010, the company entered into an agreement to acquire asubstantial stake in Infotel Broadband Services (P) Ltd, which emerged as asuccessful bidder in all the 22 circles of the auction for Broadband Wireless Access (BWA) Spectrum conducted by the DOT. The company sees the broadband opportunity as a new frontier of knowledge economy in which it can take a leadership position and provide India with an opportunity to bein forefront among the countries providing world-class 4G network and services.
In August 2010, the company through their subsidiary, Reliance Industries Investment and Holding Pvt Ltd acquired the equity shares of EIH Ltd representing 14.12% from Oberoi Hotels Pvt Ltd and certain other promoters at a total cost of Rs 1,021 crore.
In December 2010, the company entered into a joint venture agreement with Russian petrochemical company SIBUR for the production of butyl rubber in India. The joint venture facility will have an initial capacity of 100,000 tonnes of butyl rubber at the company's integrated refining cum petrochemical site in Jamnagar and is expected to be commissioned by 2013.
In January 2011, the company's wholly owned subsidiary, Reliance Ventures Ltd entered into an agreement with Infrastructure Leasing and Financial Services Ltd, whereby IL&FS will become a strategic partner and co-promoter of a project which intends to develop a model economic township and other infrastructure facilities at Jhajjar in Haryana.
In February 2011, the company entered into a strategic partnership with BP which comprises BP taking a 30% stake in 23 oil and gas production sharing contracts that the company operates in India for a consideration of USD 7.20 billion and the formation of a 50:50 joing venture between the two companies for the sourcing and marketing of gas in India. The joint venture will also endeavour to accelerate the creation of infrastructure for receiving, transporting and marketing of natural gas in India. On 15 June 2017, RIL and BP announced that they are moving forward to develop the R-Series' deep water gas fields in Block KGD6 off the east coast of India as first of three that are expected to be developed in an integrated manner producing from about 3 trillion cubic feet of discovered gas resources.
In March 2011, the company and D E Shaw Group agreed to establish a joint venture to build a leading financial services business in India. This joint venture will incorporate the D E Shaw Group's investment and technology expertise with the company's operational knowledge and extensive presence across India to offer a comprehensive array of financial services to the Indian marketplace.
In June 10, 2011, the company and their associate, Reliance Industrial Infrastructure Ltd entered into an agreement with Bharti Enterprises for acquiring Bharti's shareholding of 74% in Bharti Axa Life Insurance Co Ltd and Bharti Axa General Insurance Co Ltd. On completion of the proposed transaction, the company and Reliance Industrial Infrastructure Ltd would effectively own 57% and 17% respectively in both insurance companies and would become Axa's joint ventures partners in India.
In September 2011, Reliance Security Solutions Ltd, a subsidiary of the company Siemens Ltd signed an MoU to jointly develop Homeland Security Solutions for Highways in India. In November 2011, the company and BP incorporated India Gas Solutions Pvt Ltd, a 50:50 joint venture company which will focus on global sourcing and marketing of natural gas in India. The joint venture company will also develop infrastructure to accelerate transportation and marketing of natural gas within the country. India Gas Solutions Pvt Ltd will be funded with equal equity from BP and RIL.
In November 2011, AXA SA, Bharti, Reliance Industries Limited (RIL) and its associate Reliance Industrial Infrastructure Limited (RIIL) announced that they have mutually agreed to terminate their negotiations on the proposed acquisition by RIL and RIIL of Bharti's shareholding of 74% in Bharti AXA Life Insurance Co. Ltd and Bharti AXA General Insurance Co. Ltd.
In February 2012, the company and SIBUR have agreed to form a joint venture named Reliance Sibur Elastomers Pvt Ltd to produce 100,000 tons of butyl rubber per year in Jamnagar, India. The joint venture will be the first manufacturer of butyl rubber in India and the fourth largest supplier of butyl rubber in the world.
On 29 May 2014, RIL announced its entry into the digital space by way of acquisition of control in Network 18 Media & Investments Limited (NW18) including its subsidiary TV18 Broadcast. On 9 December 2014, RIL announced the formation of a joint venture with Shandong Ruyi Science and Technology Group Co. Ltd, China (Ruyi') (through its wholly owned subsidiary) for RIL's textiles business which operates under the Vimal brand.
RIL's wholly owned subsidiary Reliance Jio Infocomm announced the commencement of telecom services with Jio Welcome Offer' in September 2016. In a short period of 170 days, Jio crossed a milestone of 100 million customers on its all IP wireless broadband network.
On 17 November 2016, RIL and GE announced the signing of a global partnership agreement in the Industrial IOT (IIOT) space to provide Industrial IOT solutions to customers in oil & gas, fertilizer, power, healthcare, telecom and other industries.
In September 2017, RIL won the bid to acquire the assets of Kemrock Industries & Exports Limited of Vadodara (Gujarat) as a part of its efforts to enter the composites business. RIL participated in an on-line e-bidding process held by Allahabad Bank being leader of the consortium of 11 banks to sell/dispose off the assets of Kemrock Industries & Exports Limited.
During the fiscal 2018, the company spent towards Capital Expenditure amounting to Rs 79,253 crore.
During the FY2018, Reliance Jio Infocomm Ltd, successfully refinanced long term syndicated loans aggregating USD 1.5 billion.
On 28 February 2018, TV18 Broadcast Limited ('TV18') a subsidiary of the Company increased its equity interest in Viacom18 Media Private Limited ('Viacom18') from 50% to 51% by acquiring in cash 1% of the equity shares held by MTV Asia Ventures (India) Pte. Ltd., Mauritius for Rs 130 crore and consequently obtained operational control over Viacom18. Accordingly, TV18 has consolidated Viacom18 as subsidiary from 01 March 2018. Consequent to this acquisition, lndiaCast Media Distribution Private Limited ('lndiaCast'), which was hitherto a Joint Venture of TV18, was accounted as subsidiary with effect from 01 March 2018.
Pursuant to the sale agreement signed by Reliance Exploration & Production DMCC (REPDMCC), wholly owned subsidiary of the Company, for the sale of the entire 76% interest held by it in Gulf Africa Petroleum Corporation, requisite regulatory approvals, consents have been obtained and transaction successfully concluded.
During the FY2018, the Company issued listed unsecured non-convertible redeemable Debentures amounting to Rs 20,000 crore in six tranches (Series A, B, C, D, E and F). The Company also redeemed secured non-convertible Debentures (PPD 177) amounting to Rs 134 crore during the year.
During the year, the Company also issued 3.667% Senior Unsecured Notes amounting to US$ 800 million with 10 year maturity.
The Company has issued and allotted 308,03,34,238 equity shares to the eligible holders of equity shares on the book closure date (i.e. 09 September, 2017) as bonus equity shares by capitalizing reserves on 13 September, 2017.
The Company retained its domestic credit ratings of 'CRISIL AAA' from CRISIL and 'IND AAA' from India Rating and an investment grade rating for its international debt from Moody's as Baa2 and BBB+ from S&P.
During the FY2019, the company spent towards Capital Expenditure amounting to Rs 1,32,445 crore.
During FY 2018-19, Reliance Jio Infocomm Limited (RJIL) successfully tied up JPY 53.5 billion, the largest Samurai loan for an Asian corporate and also for a telecom company. The loan was successfully syndicated to 9 local Japanese banks aggregating to JPY 19.5 billion, thereby taking the total number of participating banks to 12. Additionally, RJIL also tied-up term loan facilities aggregating to US$1.5 billion.
In June 2018, RJIL tied up US$825 million and EUR 150 million Korea Trade Insurance Corporation (K-Sure) supported ECA financing with door to door tenor of over ten years. This transaction was the largest financing transaction globally in the telecom sector supported by K-Sure.
The Board of Reliance Jio Infocomm Limited (RJIL) approved the demerger of its passive infrastructure, tower and fiber assets into two separate SPVs. The scheme of the demerger was effective from 31 March 2019 post all requisite internal, shareholder, debt holder and regulatory approvals. The assets would be held by a separate SEBI registered Infrastructure Investment Trusts (InvIT).
The company won CII's 'Excellent Energy-efficient Unit' award at the '19th National Award for Excellence in Energy Management 2018. Also won the 'Making India Energy Efficient' award for the year 2018 at Future of Energy Management Summit, Mumbai. The company also awarded 'Platinum Award' at Grow Care India Safety Awards 2018.
During the year 2018-19, the Company issued listed unsecured non-convertible redeemable debentures amounting to Rs 19,000 crore (Paid-up to the extent of Rs 17,000 crore) in five tranches (Series G, H, lA, IB and J). The Company also fully redeemed secured nonconvertible Debentures (PPD 177 and PPD 179-T3) amounting to Rs 503 crore.
Pursuant to a Composite Scheme of Arrangement among Reliance Jio lnfocomm Ltd (RJIL) and Jio Digital Fibre Private Limited (JDFPL) and Reliance Jio lnfratel Private Limited (RJIPL), RJIL, has demerged its optic fiber cable undertaking to JDFPL and transferred its tower infrastructure undertaking on a slump sale basis to RJIPL. JDFPL has Fair Valued its Assets through reputed International Valuer. Being shareholder of RJIL, the Company received Equity Shares and Optionally Convertible Preference Shares (OCPS) of JDFPL, pursuant to transfer of fibre business. Subsequently, the Company sold its controlling equity stake in JDFPL to a SEBI registered infrastructure investment trust of which Reliance Industrial Investments and Holdings Limited, a wholly owned subsidiary of the Company is the sponsor.
Reliance Ethane Holding Pte. Ltd. (REHPL), a wholly owned subsidiary of the Company, holds 100% controlling equity interest in 6 companies owning Very Large Ethane Carrier (VLEC). REHPL has entered into a binding arrangement with Mitsui O.S.K. Lines, Japan and another investor for investment by them in the 6 companies, resulting in the 6 companies being jointly controlled by REHPL and Mitsui O.S.K. Lines, Japan.
Digital Media Distribution Trust, of which Reliance Content Distribution Limited (a wholly-owned subsidiary of the Company) is the sole beneficiary, has, through six SPVs 100% owned and controlled by it, 1. acquired sole control of Den Networks Limited and made a total investment of about Rs. 2707 crore for acquiring 78.06% of the total equity share capital of Den Networks Limited through preferential issue, share purchase and open offer, 2. acquired sole control of Hathway Cable and Datacom Limited and made a total investment of about Rs. 4,120 crore for acquiring 71.96% of the total equity share capital of Hathway Cable and Datacom Limited through preferential issue and open offer, 3. acquired indirect control of GTPL Hathway Limited and made a total investment of about Rs. 42 crore for acquiring 4.48% of the total equity share capital of GTPL Hathway Limited in the open offer and acquired indirect control of Hathway Bhawani Cabletel and Datacom Limited.
During the FY2020, the company spent towards Capital Expenditure amounting to Rs 77,444 crore.
During the fiscal 2020, The Board of Directors of the Company has approved the issue of equity shares of Rs 10/- each of the Company on rights basis to eligible equity shareholders of the Company at an issue price of Rs 1,257/- per fully paid-up equity share (including a premium of Rs 1,247/- per equity share). The Company has successfully completed the Rights Issue of Rs 53,124 crore.
Reliance awarded for exceptional presentation in UNIPOL PE Global Technology Conference 2019 in USA. DTA refinery was awarded India Manufacturing Excellence Award 2019' in High Platinum Category & Future Ready Factory Award by Frost and Sullivan. Reliance won the 13th CII National Award for Excellence in Water Management 2019, in the heavy industry category. Reliance was declared Winner' at 18th Annual Greentech Safety Award 2019 for persistent commitment in the field of safety. RIL was awarded the Golden Peacock Award for Corporate Social Responsibility 2019 for improving the livelihoods of farmers, fisher-folk and livestock owners through information services. Dahej Manufacturing Division, Silvassa Manufacturing Division and Hoshiarpur Manufacturing Division awarded Apex India Environment Excellence Award, 2019 under Platinum Category. Reliance Retail has topped the list of 50 fastest growing retailers globally in Deloitte's Global Powers of Retailing Report, 2020.
COVID-19 is significantly impacting business operation of the companies, by way of interruption in production, supply chain disruption, unavailability of personnel, closure / lock down of production facilities etc. On 24th March 2020, the Government of India ordered a nationwide lockdown for 21 days which further got extended till 3rd May 2020 to prevent community spread of COVID-19 in India resulting in significant reduction in economic activities.
Pursuant to the Scheme of Arrangement amongst RJIL and certain class of its creditors, approved by the Hon'ble National Company Law Tribunal, Ahmedabad bench vide order dated 13 March 2020, certain liabilities of Rs 1,04,365 crore have stood transferred to RIL with an equal amount of consideration. The Commercial Papers (listed) of the Company outstanding as on 31 March 2020 are Rs 27,709 crore. The total Non-Convertible Debentures of the Company outstanding as on 31 March,2020 are Rs 55,599 crore out of which, secured non-convertible debentures are Rs 13,886 crore.
The total Non-Convertible Debentures of the Company outstanding (before netting off of prepaid finance charges) as on 31 December 2020 are Rs 67,580 crore out of which, secured nonconvertible debentures are Rs 13,351 crore.
During the period April 2020 to December 2020, the Company has issued listed Unsecured Non-Convertible Redeemable Debentures amounting to Rs 24,955 crore in four tranches (Series K, L, M and N) on private placement basis and redeemed listed Unsecured Non-Convertible Redeemable Debentures amounting to Rs 12,000 crore (Series B, C, E, F, PPD1 and PPD2) and listed secured Non-Convertible Redeemable Debentures amounting to Rs 500 crore (Series PPD -180 Tranche 1).
During the quarter ended 31 December 2020, Reliance Retail Ventures Limited, a subsidiary of the Company has raised funds to the extent of Rs 39,765 crore by issuing equity shares to external investors.
During the quarter ended 31 December 2020, Jio Platforms Limited (JPL), a subsidiary of the Company has raised funds to the extent of Rs 33,737 crore by issuing equity shares to Google International LLC.
A Composite Scheme of Amalgamation and plan of merger amongst Reliance Holding USA Inc. (RHUSA), Reliance Energy Generation and Distribution Limited (REGDL) and the Company, which provided for merger of RHUSA with REGDL and merger of REGDL with the Company, was approved by the Hon'ble National Company Law Tribunal, Mumbai Bench, was effective from August 21, 2020 and accordingly, both RHUSA and REGDL became wholly owned subsidiaries of the Company.
During the year 2020-21, the Company transferred its Petroleum Retail Marketing business to Reliance BP Mobility Limited (RBML). RBML is a fuels and mobility business with BP Global Investments Limited. bp which holds 49% equity stake in RBML and the balance 51% is held by the Company.
During the year 2020-21, R-Cluster fields in KG D6 block commenced production and achieved peak production level of 12.8 MMSCMD
in mid-April 2021, ahead of plan. In April 2021, Satellite fields also commenced production two months ahead of schedule despite COVID-19 challenges.
During the year 2020-21, Reliance Retail Limited, Jio Platforms Limited, Reliance Jio Infocomm Limited and Reliance Global Energy
Services (Singapore) Pte. Limited, were material subsidiaries of the Company. The Company along with JM Financial Asset Reconstruction Company Limited (acting in its capacity as a Trustee of JMFARC- March 2018 - Trust'- (JMFARC) acquired, with the approved Resolution plan, joint control over Alok Industries Limited and consequently, the Company holds 40.01% equity stake and JMFARC holds 34.99% equity stake in Alok Industries Limited aggregating to 75%.
On 30 March 2022, the Board of Directors of the Company had approved the Scheme of Arrangement for Gasification between (i) the Company & its shareholders and creditors and (ii) Reliance Syngas Limited & its shareholders and creditors. The Gasification Scheme, inter alia, provides for transfer of the Gasification undertaking from the Company to Reliance Syngas Limited, a wholly owned subsidiary of the Company, as a going concern on slump sale basis for a lump sum consideration on the terms and conditions as detailed in the Gasification Scheme. The Appointed Date of the Gasification Scheme is March 31, 2022 which became effective from April 4, 2022.
During the year 2021-22, the Company and Saudi Aramco mutually determined that it would be beneficial for both the parties to re-evaluate the proposed investment in O2C business. The Board of Directors of the Company had on November 19, 2021, approved
withdrawal of the Scheme of Arrangement between the Company and Reliance O2C Limited from Hon'ble National Company Law Tribunal (NCLT). NCLT, Mumbai Bench has vide its order dated December 3, 2021 approved the withdrawal of the O2C Scheme.
During year 2022, Reliance Industrial Infrastructure Limited was reclassified from the category of Promoter Group' of the Company to Public'.
During the year 2021-22, Reliance Eagleford Upstream Holding, LP (REUHLP) a wholly owned step-down subsidiary of RIL, signed an agreement with Ensign Operating III, LLC to divest its interest in certain upstream assets in the Eagleford shale play of Texas, USA.
With this transaction, RIL has divested all its shale gas assets and exited from the shale gas business in the US.
The Company commissioned R Cluster Field in December 2020, which achieved peak production of 12.9 MMSCMD with six wells. Satellite Cluster Field was commissioned in April, 2021. Accordingly, all the 5 wells opened, tested and ramped up, achieving a peak production of 6.1 MMSCMD and as a result, its production ramped up to 18 MMSCMD gas.
During FY 2022-23, Reliance Strategic Investments Limited (RSIL) got demerged into with Company through Scheme of Arrangement for Demerger of Financial Services, which became effective from July 1, 2023.
Reliance Industries Ltd
Chairman Speech
Growing Stronger to Care Better
Reliance played a leading role in caring for India and Indians in the last couple of
years of the pandemic. We now aim to care for the Planet as we embark on our most exciting
transformation – the Green Transformation.
Shri Mukesh D. Ambani
Chairman and Managing Director, Reliance Industries
Dear and Esteemed Fellow Shareholders,
From the very inception, we at Reliance have believed that a corporate is much more
than an economic unit generating wealth. It is an integral part of the social system
catering to human and societal needs and aspirations. The painful period of the COVID-19
pandemic brought out Reliance’s spirit of societal service like never before. The way
the whole Reliance Family worked with a sense of national duty in this period was most
satisfying to me, and I am sure, to all of you as well.
We were able to quickly change and repurpose our processes, our policies, our roles and
responsibilities, our plants, our systems with a single motive – to support others.
If the production teams worked over producing PPE kits or medical-grade oxygen, the Jio
and Retail teams took care that no customer was left without daily essentials or internet
services. The IT teams ensured employees could work remotely, and the HR teams ensured the
employees received the best possible social security. Our Foundation hospitals and
internal medical teams ensured all employees and their families received timely medical
help regardless of location, while creating the largest COVID infrastructure pan- India in
the shortest possible time. The Foundation teams took up the mammoth responsibility of
reaching out to the most disadvantaged, marginalised communities to ensure nobody went
hungry.
Each and every Reliance Family member directly or indirectly participated in the fight
against COVID. Each and every Reliance Family member went beyond their call of duty. Each
and every Reliance Family member became the Brand Ambassador of Reliance’s spirit of
Care and Empathy. It is heartening to see that together we have overcome the worst. It
is with great hope that I look forward to the future of Reliance, of India, as well as the
entire world.
Taking volatility in stride
Just when we were about to heave a sigh of relief, the rise in geopolitical tensions
have exposed the fault lines in the global economy. Geopolitical conflict has caused
significant dislocation in energy markets and disrupted traditional trade flows. The
process of globalisation, which drove the global economic growth over the last four
decades, appears to have hit a wall. The cause of economic inter-dependence that
globalisation promoted to help align every country’s interests and, thereby, help
reduce conflicts, has taken a back seat.
Fortunately, Reliance is better equipped to face these uncertainties today than ever
before. Reliance has built three extremely agile and highly potent growth engines –
Digital Services, Retail and O2C – which were all tested, and came out with flying
colours, during the COVID-led extreme volatility. It is just last year that Reliance
deleveraged its balance sheet to a net debt zero status. Besides, India’s own strong
growth prospects over the next couple of decades bodes well for Reliance. Reliance has
maintained its leadership position among Indian corporates for nearly three decades now.
It is Reliance’s ability to innovate, to build in unparalleled flexibility, to
transform itself from time to time and the great conviction in India’s capability to
compete globally at world-scale, which has helped the Company stay at the top and continue
making newer records.
Green transformation begins
Getting bigger and stronger only means Reliance is ready to take up even greater
responsibilities to serve not just the surrounding communities or India, but also the
whole planet. Reliance has made a firm commitment to become one of the world’s
leaders in the fight against the crisis of climate change.
FY 2021-22 marked the beginning of Reliance’s Green Transformation, at a scale
which will make India the world’s leading green energy producer. We know that
affordability is the most critical factor in the adoption of any new technology and the
scale of societal benefit it can create. Reliance has embarked on this journey with a
vision to repeat the feat it achieved in wireless broadband. In the field of Green Energy
– Reliance will develop end-to-end Green Energy solutions, which will make clean and
abundant energy available to everyone at the most affordable price. Just as India has the
world’s most affordable wireless broadband today, we will have the world’s most
affordable Green Energy within this decade. And these solutions will then be exported to
other countries, helping them contain carbon emissions.
Leveraging its world-class execution capability and the strong debt-free balance sheet,
Reliance has committed to improving the economics of this Green ecosystem to directly
compete with the fossil fuels. However, one cannot operate in just one segment of the
Green Energy value chain and hope the cost-efficient ecosystem will come up on its own.
Reliance has undertaken to enable the entire Green Energy ecosystem throughout India
starting with solar power generation, to production of green hydrogen to its distribution
and consumption.
Green Energy is a rapidly evolving vast global industry with a lot of technological
innovation under way. To guide on this path, we established the Reliance New Energy
Council with some of the globally renowned thought leaders in the field. To kickstart the
initiative, last year Reliance announced a $10 billion capex commitment over three years.
We entered into a series of partnerships, including equity investments, with local and
international corporates with unique technological and execution capabilities, with a
strong track record of innovation and a growing number of patents and IPRs across the
Green Energy value chain.
Reliance’s partnerships include companies like Ambri in the US, Faradion in the UK
and The Netherlands-based Lithium Werks in the energy storage space.
Similarly, Reliance invested in Germany’s NexWafe, which is a pioneer in next-gen
technology to produce monocrystalline silicon wafers needed in making solar panels. We
also acquired promoters’ stake in REC Solar – a global technology leader in
solar panel manufacturing. Reliance picked up a 40% stake in Sterling & Wilson
Renewable Energy – one of the world’s leading EPC turnkey contractors in large
scale solar projects.
In the Hydrogen ecosystem, Reliance joined hands with the US-based Chart Industries to
set up India H2_Alliance to commercialise hydrogen technology and develop a supply chain
in collaboration with other Indian stakeholders. We also entered into an agreement with
Denmark’s Stiesdal A/S for its innovative next-gen electrolyser technology, which has
the potential to reduce dramatically the cost of producing hydrogen from pure water.
Simultaneously, we began work on the four Giga-factories at Dhirubhai Ambani Green
Energy Giga Complex to set up world-scale production capacity for solar panels, energy
storage systems, electrolysers and fuel cells spread over 5,000 acres in Jamnagar.
Reliance will also invest in creating an ecosystem of thousands of small and medium scale
project consultants and installers pan-India to set up Green Energy generation projects in
every nook and corner of the country. Similarly, Reliance will undertake large Giga Watt
scale turnkey Green Energy projects for Power GenCos or large investors on its own.
With these collaborations and the Giga-factories, Reliance is set to achieve a uniquely
integrated position in the Green Energy value chain globally. This deep integration, apart
from the new-age technologies and world-class execution capabilities, will ensure
Reliance’s renewable energy systems stay at the cutting edge of cost efficiency
globally. Greater affordability and competitive cost structures will ensure massive
adoption of Green Energy solutions, providing a booster to India’s Green Energy
transition, as well as helping our country to become ‘Atma Nirbhar’ in our
energy needs.
A step towards Net Carbon Zero
Reliance also took an important step towards our goal to achieve net carbon zero status
by year 2035. We initiated the process to separate the petcoke gasification complex into a
Wholly-Owned Subsidiary, with an aim to repurpose the unit and unlock value through future
collaborations. Presently, the syngas produced at the complex is used as fuel at the
Jamnagar complex and is a major source of carbon emission. With Reliance switching to
green and renewable energy for its energy needs, syngas will become available for
upgradation to high value petrochemicals and hydrogen fuel. The highly concentrated stream
of in syngas can be easily captured CO2 and sequestered. All these steps will
greatly reduce the carbon footprint of the Jamnagar complex.
Financial and operational performance FY 2021-22
Let me now elaborate on Reliance’s operating and financial performance during FY
2021-22.
During the year, Reliance was able to overcome all the pandemic-led difficulties to
post another record performance operationally as well as financially with strong
contribution from all our businesses. Both the consumer businesses, Retail and Digital
Services, recorded highest ever revenues and EBITDA. The E&P business also posted
significantly improved numbers with strong volume growth and improved realisations. The
largest contributor to our earnings – the O2C business too delivered robust earnings
with strong fuel margins.
Reliance posted a record high EBITDA of `1,25,687 crore on a consolidated basis for FY
2021-22, which was 28.8% up from the previous year. The consolidated net profit for the
year stood at `67,845 crore – again a new record.
The Company had achieved a net debt-free status last year, thanks to the largest ever
capital raise we had carried out in India Inc.'s history in the previous year. During FY
2021-22, the Company’s capex increased in all businesses, due to which the year
closed with marginal net debt. The Company continues to manage its treasury operations
actively and efficiently to reduce interest burden and lengthen maturities. At the very
beginning of FY 2021-22, Reliance Industries made history by raising a jumbo loan of $4
billion on better terms than any corporate in the Asian region with similar credit
profile. It was the largest-ever foreign currency bond issuance from India, with the
lowest coupon rate achieved for benchmark 30-year and 40-year issuances by a private
sector BBB corporate from Asia ex-Japan. Similarly, the Company paid `30,791 crore to the
Government of India towards its 15 years of future spectrum dues to save on annual
interest cost burden.
Executing our growth plans
Reliance’s diversified portfolio of business verticals represent our growth
engines, where we have been adding capabilities consistently. During FY 2021-22, each one
of these growth engines moved into top gear, cementing Reliance’s position further as
India’s largest company by sales, profits as well as market value.
Braving the intermittent COVID restrictions, the Retail business continued to expand
offline, as well as online. It added nearly 8 million sq_ft of retail space taking its
total retail space to over 41.6 million sq ft. Besides, the business added 11.1 million sq
ft of warehousing space during the year. Importantly, the business created over 1,50,000
jobs through the year.
The business posted all time high revenues and EBITDA with steady improvement in profit
margins. Growth was seen across all product categories from Consumer Electronics to
Grocery to Apparel & Footwear. Even the relatively smaller segments of jewellery,
pharma and furniture & home d?cor, and new businesses like Freshpik and Milkbasket,
witnessed rapid growth. In our New Commerce initiative, the focus remained on on-boarding
merchants during the year. FY 2021-22 witnessed over 3-fold jump in the number of
merchants onboarded as compared to the previous year. The Retail business continued to
forge partnerships across the value chain to enhance customer experience and product
offerings. Throughout the year, the Retail business invested over `9,700 crore in these
partnerships.
Jio maintained its market leadership for a third year in a row through FY_2021-22.
Jio’s consumer offering, including service quality and value, continued to remain
best-in-class, which helped addition of over 130 million new customers during the year.
Subscriber churn at the lower-end has resulted in Jio improving its user engagement
matrix, like data and voice consumption per user, to a record high level. Jio has the
largest single-country subscriber base and carries the highest volume of data traffic
globally, excluding China. In line with the industry, Jio raised tariffs by ~20% across
all prepaid plans effective December 2021, while ensuring that Jio continues to provide
the best value for money to all consumers across every price point. The year also saw Jio
emerge as the leader in fiber based wireline broadband connectivity with over 5 million
connected homes. The devices powering Jio Fiber in Indian homes, are working on the Jio
operating system – Jio OS – which has a rich set of capabilities and
customisation options. The Jio Set Top Box has by far the most compelling set of apps
– both from Jio and leading third party apps – for streaming content like
movies, music, live news to video calling. Jio’s pan-India optic fiber cable network
has already reached the doorstep of almost 20 million households, which underlines its
rapid growth potential.
Jio is working relentlessly to make India 2G-mukt, so that even the poorest of the poor
can enjoy the benefits of digital connectivity. The progress of telecom technology is
making inefficient 2G obsolete. The Jio revolution since 2016 has already lowered the 4G
tariffs below the 2G tariffs in India. However, handset affordability has proven a major
hurdle for over 250 million Indians, preventing a transition to digital networks.
To overcome this hurdle, Jio launched JioPhone Next – world’s most affordable
full-touchscreen 4G phone – in collaboration with Google. The phone runs on Pragati
OS – a specially optimised version of Google’s Android OS.
The technology in the Internet, Communication and Telecom (ICT) industry continues to
make rapid strides globally and India is getting ready to join the 5G bandwagon. Jio also
took major steps in getting ready for 5G, with its 100% indigenous technology. Jio
successfully carried out 5G testing across sites and has completed 5G coverage planning
across 1,000 Indian cities. Jio has also developed several use cases for 5G in industries
like healthcare and industrial automation.
Jio entered into a strategic partnership with Google for its Cloud Solutions to power
the 5G experience of Indian enterprises as well as consumers. Jio also joined hands with
University of Oulu in Finland – the leader of the world’s first major 6G
research programme – to accelerate research and standardisation in 6G – the
futuristic next generation of telecom technology after 5G.
The rapid growth in vaccinations and reopening of economies helped a strong economic
recovery globally in FY 2021-22. As a result, the global demand for oil and transport
fuels grew rapidly and recovered by 6.8 mb/d to 98.5 mb/d in FY 2021-22, up 7.4% Y-o-Y.
The rapid growth in fuel demand supported the refining margins. Reliance maintained high
level of capacity utilisation across sites throughout the year.
The demand growth in downstream chemicals, polymers and polyesters was comparatively
subdued, due to the volatility in feedstock prices. There was also a constraint on global
logistics and higher ocean freights that weighed on the business environment.
The availability of domestic gas as well as internal fuels meant that we could
eliminate our dependence on high-cost LNG.
All the while, we continued to innovate and improve operationally. We commissioned and
stabilised the Petroleum Naphtha quality upgrade, capturing higher premium. Likewise,
Reliance won the ‘Innovator of the Year’ award for our proprietary catalyst
RELCAT A for manufacturing LLDPE.
During the year, Reliance and bp’s fuel and mobility joint venture, Reliance BP
Mobility Limited (RBML), launched its first Jio-bp branded Mobility Station at Navi
Mumbai, Maharashtra. This kicked off the rebranding process for all 1,460 fuel outlets the
JV operates in India with a view to provide an unmatched and distinctive customer
experience. These Mobility Stations bring together a range of services for consumers on
the move – including additivised fuels, EV charging, refreshments & food, and
plan to offer more low carbon solutions over time. With a vision of being the leading EV
charging infrastructure player in India, Jio-bp constructed and launched couple of
country's largest EV charging hubs in Delhi NCR with BluSmart as its primary customer.
Reliance’s world-class O2C assets and very high level of backward integration will
continue to maximise output and returns, and continue to transition towards a sustainable,
carbon-neutral, circular economy business in the coming years.
Oil and Gas ERP
PG 122
FY 2021-22 was a milestone year for our Oil & Gas business, with two of the three
phases of KG-D6 development project commissioning. Notwithstanding the difficulties caused
by the COVID pandemic, Reliance and bp were able to complete the work on Satellite Cluster
and R-Cluster fields to start production and scale up during the year.
With both these fields commissioning, KG-D6 is now producing 18 MMSCMD of natural gas,
accounting for ~20% of India's gas production.
The business posted significantly improved financial performance, thanks to a recovery
in domestic pricing of natural gas.
The third phase of KG-D6 project is progressing as per plan. The development of MJ
field is nearing completion of drilling activity, as well as the offshore installations.
The project is expected to commission by end 2022 and take our total production to 30
MMSCMD.
In line with our strategic intentions, Reliance exited all its remaining investments in
US shale gas this year.
Corporate Social Responsibility and Sustainability
PG 150
Reliance has always believed in doing well by doing good. It is our firm belief that
the long-term success of a corporate depends on giving back to the society it operates in
and ensuring its operations are sustainable. During FY 2021-22, Reliance Industries
continued to remain India Inc.'s largest spender on Corporate Social Responsibility.
The breadth and depth of work Reliance Foundation carried out in India’s fight
against COVID was simply astonishing. It set a new benchmark in what a corporate
foundation can do and achieve, if it is determined and focused. Reliance Foundation
created massive COVID-care infrastructure pan-India, treating lakhs of patients. It
supplied free-of-cost medical oxygen to over 1 lakh critical patients a day, provided
lakhs of PPE kits free-of-cost to frontline workers, distributed 8.5+ crore free meals
through 'Anna Seva' to the needy, 40+ lakh vaccinations provided free of cost by Reliance
to support the nation in its vaccination mission.
All the while, Reliance Foundation’s work in the fields of Rural Empowerment,
Sports for Youth, Education, Disaster Management among others continued to progress well.
Conclusion
The COVID-19 pandemic struck at a time when the world was entering a great phase of
transformation. Now that the pandemic is nearly over, geopolitical tensions in several
parts of the world have come to a boil. All this has resulted in significant volatility,
high inflationary pressure and uncertainty in the energy and commodity markets. Crude oil
prices, which had dipped into negative territory at the start of 2020, jumped to a 14-year
peak of $130 at the start of 2022.
Reliance is built to weather such storms. Firstly, it is well diversified across
Digital Services, Retail and Energy & Materials business. Secondly, over the years it
has built in unparalleled level of agility in each of its business verticals. Thirdly, its
global scale of operations help in overcoming many hurdles. And lastly, the Company’s
balance sheet has expanded, but is extremely light on debt.
In its true ethos of Care and Empathy, Reliance has charted its next journey of
transformation to help the world cope with the climate change crisis. Over the next 12
months our investments across the Green Energy value chain will gradually start going
live, scaling up over the next couple of years. This new growth engine holds great promise
to outshine all our existing growth engines in just 5-7 years.
At the same time, Reliance continues to expand its existing businesses to newer
frontiers of technology, innovation, scale and execution. Jio has already created the most
reliable connectivity infrastructure throughout India, and is ready with an array of
value-added digital services and products. Today Reliance Retail has the deepest
grassroots level pan-India supply chain capability, the broadest supplier base, and a
network of kirana partners to provide excellent service to end consumers. Reliance’s
O2C business is a global leader in terms of level of integration – a business model
innovation that is being emulated globally.
All of Reliance’s capabilities are created to serve India, to enable Indians. I am
sure India will emerge stronger out of the current volatility, just the way it did through
the last couple of years. India is set to become one of the world’s top three
economies in the next couple of decades, and all of Reliance’s business verticals
will play a leading role in achieving that. India and Reliance will aim to play a leading
role in the world’s transition to Clean Energy.
The last two years were the most difficult for everyone in living memory. I have great
admiration and appreciation for the scientists, doctors, nurses, and all frontline workers
who risked their lives, our teams at O2C, Jio, Retail and Foundation, who helped not just
the Company, but also the society whom we serve, navigate the difficult times. I would
also like to place on record my sincere appreciation to the Board of Directors for their
guidance. I would like to express my gratitude to all our stakeholders for their
continuing faith in Reliance.
With best wishes, Sincerely
Mukesh D. Ambani
Chairman and Managing Director August 5, 2022
  Â
Reliance Industries Ltd
Company History
Reliance Industries is India's largest private sector company on all major financial parameters. In 2004, Reliance Industries (RIL) became the first Indian private sector organisation to be listed in the Fortune Global 500 list. The Company operates world-class manufacturing facilities across the country at Allahabad, Barabanki, Dahej, Hazira, Hoshiarpur, Jamnagar, Nagothane, Nagpur, Naroda, Patalganga, Silvassa and Vadodara. The Company is engaged in activities spanning across hydrocarbon exploration and production, Oil to chemicals, retail, digital services and financial services.
Reliance Industries' activities span hydrocarbon exploration and production, petroleum refining and marketing, petrochemicals, retail and telecommunications. The petrochemicals segment includes production and marketing operations of petrochemical products. The refining segment includes production and marketing operations of the petroleum products. The oil and gas segment includes exploration, development and production of crude oil and natural gas. The other segment of the company includes textile, retail business and special economic zone (SEZ) development.
In the year 1966 the RIL was founded by Shri Dhirubhai H. Ambani, it was started as a small textile manufacturer unit. In May 8, 1973 RIL was incorporated and conformed their name as RIL in the year 1985. Over the years, the company has transformed their business from manufacturing of textiles products into a petrochemical major.
The company has set up a texturising / twisting facilities in 1979, RIL has also set up plants for Polyester Staple Fiber (PSF) in 1986 and for Linear Alkyl Benzene (LAB) & Purified Terephthalic Acid (PTA) in 1988. RIL has setup a petrochemical facility to produce HDPE and PVC at Hazira, Gujarat in technical collaboration with DuPont and BF Goodich respectively. The Hazira petrochemical plant was commissioned in 1991-92.
In the year 1995-96, the company entered the telecom industry through a joint venture with NYNEX, USA and promoted Reliance Telecom Private Limited in India. Reliance became the first corporate in Asia to issue bonds in the U.S at the year of 1996-97. The company commissioned an 80,000 tonne bottle grade PET chip plant at Hazira manufacturing complex. Reliance's PET chips has been accepted internationally due to their high quality during the year 1997-98 and in the same year Reliance Industries Planned to invest around Rs. 5000 crores (USD 1,250 million) in building two world-scale plants at the site of the Jamnagar refinery in Gujarat. In 1998-99, RIL introduced packaged LPG in 15 kg cylinders under the brand name Reliance Gas. In 1999-2000, RIL commissioned the world's largest 1.4 million tonnes per annum Paraxylene (PX) plant at its new integrated petrochemicals complex at Jamnagar which was planned at 1997-98. With the commissioning of the last crystallization train of the Para-xylene (PX) complex at Jamnagar in June 2017, RIL became the 2nd largest producer of PX globally.
In 2000, Reliance commissioned the world's largest grassroots refinery in Jamnagar in a record 36 months. The Jamnagar refinery processes a wide variety of crude oils and produces a range of petroleum products for exports as well as supply in the Indian market. Reliance Petroleum Limited (RPL) was amalgamated with Reliance Industries Ltd in the year 2002-03.
In 2004-05, RIL acquired the polyester major, Trevira GmbH, headquartered in Frankfurt, Germany which has the capacity of 130,000 tonnes per annum of polyester staple fibers, polyester filament yarns and polyester chips. In the year 2006, the company set up a new export-oriented refinery through its subsidiary, Reliance Petroleum Limited (RPL). In 2006, RIL entered the organised retail segment through Reliance Retail with its first Reliance Fresh store in Hyderabad. In 2017, Reliance Retail crossed $5 billion revenue mark. Reliance Retail has adopted a multi-prong strategy and operates neighbourhood stores, supermarkets, hypermarkets, wholesale cash & carry stores, specialty stores and online stores and has democratized access to all types of products and services across all segments for all Indian consumers. Reliance Retail operates over 3,300 stores pan India with nearly 13 million square feet of retail space.
In the year 2007, Indian Petrochemicals Corporation Limited (IPCL) merged with the company. Also, Reliance Retail entered the organised retail market in India with the launch of its convenience store format under the brand name of Reliance Fresh'. During the year, the company commissioned their largest expansion project. The company expanded its polypropylene (PP) capacity by 280 KTA at Jamnagar that increased the combined capacity to 1,710 KTA.
During the year 2007-08, the company signed an agreement to certain polyester (capacity) assets of Hualon, Malaysia. It took over the majority control of Gulf Africa Petroleum Corporation (GAPCO) and started shipping products to the East African markets. Also, the company signed MoU with GAIL (India) Ltd to explore opportunities of setting up petrochemical plants in feedstock rich countries outside India. In April 2008, the company signed gas sales and purchase agreement (GSPA) with the customers in power sector for supply of natural gas to be produced from the KG-D6 block.
During the year, Reliance Commercial Associates Ltd, Reliance Neutraceuticals Pvt Ltd, Reliance Pharmaceuticals (India) Pvt Ltd, Reliance Petroinvestments Ltd, Gull Africa Petroleum Corporation (Mauritius), Gapco Tanzania Ltd, Gapoil Tanzania Ltd, Gapco Kenya Ltd, Gapco Uganda Ltd, Gapco Rwanda SARL, Gapoil Zanzibar Ltd, Transenergy Kenya Ltd, Recron (Malaysia) SDH BHD, Peninsula Land Kenya Ltd, Reliance International Exploration and Production INC, Wavely Investments Ltd, Reliance Digital Retail Ltd, Reliance Lifestyle Holdings Ltd, Reliance Universal Ventures Ltd, Reliance Home Store Ltd, Reliance Autozone Ltd, Reliance Trade Services Centre Ltd, Reliance Integrated Agri Solutions Ltd, Reliance Agri Products Distribution Ltd, Reliance Food Processing Solutions Ltd, Reliance Supply Chain Solutions Ltd, Reliance Digital Media Ltd, Strategic Manpower Solutions Ltd, Reliance Gems and Jewels Ltd, Reliance Leisures Ltd, Reliance Loyalty & Analytics Ltd, Reliance Retail Securities and Broking Company Ltd, Delight Proteins Ltd, Reliance F&B Services Ltd, Reliance Hypermart Ltd, Reliance Financial Distribution and Advisory Services Ltd, Reliance Retail Travel & Forex Services Ltd, Reliance Trends Ltd, Reliance Wellness Ltd, Reliance Brands Ltd, Reliance Footprint Ltd, Abcus Retail Pvt Ltd, Bigdeal Retail Pvt Ltd, Advantage Retail Pvt Ltd and RIL (Australia) PTY Ltd became subsidiaries of the company.
During the year 2008-09, Reliance People Serve Ltd, Reliance Infrastructure Management Services Ltd, Reliance Global Business, BV, Reliance Gas Corporation Ltd, Reliance Globalenergy Services Ltd, Reliance One Enterprises Ltd, Reliance Personal Electronics Ltd, Reliance Global Energy Services (Singapore) Pte Ltd, Reliance Polymers (India) Pvt Ltd, Reliance Polyolefins Pvt Ltd, Reliance Aromatics and Petrochemicals Pvt Ltd, Reliance Energy and Project Development Pvt Ltd, Reliance Chemicals Pvt Ltd, Reliance Universal Enterprises Pvt Ltd, International Oil Trading Ltd, Reliance Nutritional Food Processors Pvt Ltd, Reliance Review Cinema Pvt Ltd, Reliance Replay Gaming Pvt Ltd, RIL USA Inc. Reliance Commercial Land Infrastructure Pvt Ltd, Reliance Corporate IT Park Ltd, Reliance Eminent Trading & Commercial Pvt Ltd, Reliance Progressive Traders Pvt Ltd, Reliance Prolific Traders Pvt Ltd, Reliance Universal Traders Pvt Ltd, Reliance Prolific Commercial Pvt Ltd, Reliance Comtrade Pvt Ltd, Reliance Ambit Trade Pvt Ltd, Reliance Petro Marketing Pvt Ltd, LPG Infrastructure (India) Pvt Ltd and Reliance Infosolution Pvt Ltd beaome subsidiaries of the company. Also, Abcus Retail Pvt Ltd ceased to be a subsidiary of the company.
During the year, Reliance Petroleum Ltd (RPL) merged with the company with effect from April 1, 2008. From April 2, 2009, the company commenced production of hydrocarbons in its KGD6 block in the Krishna Godavari basin with the production of sweet crude of 420 API. In November 2009, the company discovered first oil exploration in the on land exploratory block CB-ONN-2003/1 (CB 10 A&B) awarded under the NELP-V round of exploration bidding. In December 2009, the company discovered gas in the exploration block KG-DWN-2003/1 (KG-V-D3) of NELP-V. The deepwater block KG-DWN-2003/1 is located in the Krishna basin, about 45 kilometers off the coast in the Bay of Bengal.
In April 2010, the company commissioned a 1 MW solar Photo Voltaic power plant at Thyagaraj stadium in New Delhi. The power plant is expected to generate around 1.4 million units of electricity a year. It would cater to the power requirements of the stadium and the surplus would be fed to the grid at 11 KV. In addition, the company's subsidiary Reliance Marcellus LLC executed definitive agreements to enter into a joint venture with United States based Atlas Energy, Inc, of Pittsburgh, Pennsylvania under which Reliance will acquire a 40% interest in Atlas' core Marcellus Shale acreage position.
In June 2010, the company entered into an agreement to acquire asubstantial stake in Infotel Broadband Services (P) Ltd, which emerged as asuccessful bidder in all the 22 circles of the auction for Broadband Wireless Access (BWA) Spectrum conducted by the DOT. The company sees the broadband opportunity as a new frontier of knowledge economy in which it can take a leadership position and provide India with an opportunity to bein forefront among the countries providing world-class 4G network and services.
In August 2010, the company through their subsidiary, Reliance Industries Investment and Holding Pvt Ltd acquired the equity shares of EIH Ltd representing 14.12% from Oberoi Hotels Pvt Ltd and certain other promoters at a total cost of Rs 1,021 crore.
In December 2010, the company entered into a joint venture agreement with Russian petrochemical company SIBUR for the production of butyl rubber in India. The joint venture facility will have an initial capacity of 100,000 tonnes of butyl rubber at the company's integrated refining cum petrochemical site in Jamnagar and is expected to be commissioned by 2013.
In January 2011, the company's wholly owned subsidiary, Reliance Ventures Ltd entered into an agreement with Infrastructure Leasing and Financial Services Ltd, whereby IL&FS will become a strategic partner and co-promoter of a project which intends to develop a model economic township and other infrastructure facilities at Jhajjar in Haryana.
In February 2011, the company entered into a strategic partnership with BP which comprises BP taking a 30% stake in 23 oil and gas production sharing contracts that the company operates in India for a consideration of USD 7.20 billion and the formation of a 50:50 joing venture between the two companies for the sourcing and marketing of gas in India. The joint venture will also endeavour to accelerate the creation of infrastructure for receiving, transporting and marketing of natural gas in India. On 15 June 2017, RIL and BP announced that they are moving forward to develop the R-Series' deep water gas fields in Block KGD6 off the east coast of India as first of three that are expected to be developed in an integrated manner producing from about 3 trillion cubic feet of discovered gas resources.
In March 2011, the company and D E Shaw Group agreed to establish a joint venture to build a leading financial services business in India. This joint venture will incorporate the D E Shaw Group's investment and technology expertise with the company's operational knowledge and extensive presence across India to offer a comprehensive array of financial services to the Indian marketplace.
In June 10, 2011, the company and their associate, Reliance Industrial Infrastructure Ltd entered into an agreement with Bharti Enterprises for acquiring Bharti's shareholding of 74% in Bharti Axa Life Insurance Co Ltd and Bharti Axa General Insurance Co Ltd. On completion of the proposed transaction, the company and Reliance Industrial Infrastructure Ltd would effectively own 57% and 17% respectively in both insurance companies and would become Axa's joint ventures partners in India.
In September 2011, Reliance Security Solutions Ltd, a subsidiary of the company Siemens Ltd signed an MoU to jointly develop Homeland Security Solutions for Highways in India. In November 2011, the company and BP incorporated India Gas Solutions Pvt Ltd, a 50:50 joint venture company which will focus on global sourcing and marketing of natural gas in India. The joint venture company will also develop infrastructure to accelerate transportation and marketing of natural gas within the country. India Gas Solutions Pvt Ltd will be funded with equal equity from BP and RIL.
In November 2011, AXA SA, Bharti, Reliance Industries Limited (RIL) and its associate Reliance Industrial Infrastructure Limited (RIIL) announced that they have mutually agreed to terminate their negotiations on the proposed acquisition by RIL and RIIL of Bharti's shareholding of 74% in Bharti AXA Life Insurance Co. Ltd and Bharti AXA General Insurance Co. Ltd.
In February 2012, the company and SIBUR have agreed to form a joint venture named Reliance Sibur Elastomers Pvt Ltd to produce 100,000 tons of butyl rubber per year in Jamnagar, India. The joint venture will be the first manufacturer of butyl rubber in India and the fourth largest supplier of butyl rubber in the world.
On 29 May 2014, RIL announced its entry into the digital space by way of acquisition of control in Network 18 Media & Investments Limited (NW18) including its subsidiary TV18 Broadcast. On 9 December 2014, RIL announced the formation of a joint venture with Shandong Ruyi Science and Technology Group Co. Ltd, China (Ruyi') (through its wholly owned subsidiary) for RIL's textiles business which operates under the Vimal brand.
RIL's wholly owned subsidiary Reliance Jio Infocomm announced the commencement of telecom services with Jio Welcome Offer' in September 2016. In a short period of 170 days, Jio crossed a milestone of 100 million customers on its all IP wireless broadband network.
On 17 November 2016, RIL and GE announced the signing of a global partnership agreement in the Industrial IOT (IIOT) space to provide Industrial IOT solutions to customers in oil & gas, fertilizer, power, healthcare, telecom and other industries.
In September 2017, RIL won the bid to acquire the assets of Kemrock Industries & Exports Limited of Vadodara (Gujarat) as a part of its efforts to enter the composites business. RIL participated in an on-line e-bidding process held by Allahabad Bank being leader of the consortium of 11 banks to sell/dispose off the assets of Kemrock Industries & Exports Limited.
During the fiscal 2018, the company spent towards Capital Expenditure amounting to Rs 79,253 crore.
During the FY2018, Reliance Jio Infocomm Ltd, successfully refinanced long term syndicated loans aggregating USD 1.5 billion.
On 28 February 2018, TV18 Broadcast Limited ('TV18') a subsidiary of the Company increased its equity interest in Viacom18 Media Private Limited ('Viacom18') from 50% to 51% by acquiring in cash 1% of the equity shares held by MTV Asia Ventures (India) Pte. Ltd., Mauritius for Rs 130 crore and consequently obtained operational control over Viacom18. Accordingly, TV18 has consolidated Viacom18 as subsidiary from 01 March 2018. Consequent to this acquisition, lndiaCast Media Distribution Private Limited ('lndiaCast'), which was hitherto a Joint Venture of TV18, was accounted as subsidiary with effect from 01 March 2018.
Pursuant to the sale agreement signed by Reliance Exploration & Production DMCC (REPDMCC), wholly owned subsidiary of the Company, for the sale of the entire 76% interest held by it in Gulf Africa Petroleum Corporation, requisite regulatory approvals, consents have been obtained and transaction successfully concluded.
During the FY2018, the Company issued listed unsecured non-convertible redeemable Debentures amounting to Rs 20,000 crore in six tranches (Series A, B, C, D, E and F). The Company also redeemed secured non-convertible Debentures (PPD 177) amounting to Rs 134 crore during the year.
During the year, the Company also issued 3.667% Senior Unsecured Notes amounting to US$ 800 million with 10 year maturity.
The Company has issued and allotted 308,03,34,238 equity shares to the eligible holders of equity shares on the book closure date (i.e. 09 September, 2017) as bonus equity shares by capitalizing reserves on 13 September, 2017.
The Company retained its domestic credit ratings of 'CRISIL AAA' from CRISIL and 'IND AAA' from India Rating and an investment grade rating for its international debt from Moody's as Baa2 and BBB+ from S&P.
During the FY2019, the company spent towards Capital Expenditure amounting to Rs 1,32,445 crore.
During FY 2018-19, Reliance Jio Infocomm Limited (RJIL) successfully tied up JPY 53.5 billion, the largest Samurai loan for an Asian corporate and also for a telecom company. The loan was successfully syndicated to 9 local Japanese banks aggregating to JPY 19.5 billion, thereby taking the total number of participating banks to 12. Additionally, RJIL also tied-up term loan facilities aggregating to US$1.5 billion.
In June 2018, RJIL tied up US$825 million and EUR 150 million Korea Trade Insurance Corporation (K-Sure) supported ECA financing with door to door tenor of over ten years. This transaction was the largest financing transaction globally in the telecom sector supported by K-Sure.
The Board of Reliance Jio Infocomm Limited (RJIL) approved the demerger of its passive infrastructure, tower and fiber assets into two separate SPVs. The scheme of the demerger was effective from 31 March 2019 post all requisite internal, shareholder, debt holder and regulatory approvals. The assets would be held by a separate SEBI registered Infrastructure Investment Trusts (InvIT).
The company won CII's 'Excellent Energy-efficient Unit' award at the '19th National Award for Excellence in Energy Management 2018. Also won the 'Making India Energy Efficient' award for the year 2018 at Future of Energy Management Summit, Mumbai. The company also awarded 'Platinum Award' at Grow Care India Safety Awards 2018.
During the year 2018-19, the Company issued listed unsecured non-convertible redeemable debentures amounting to Rs 19,000 crore (Paid-up to the extent of Rs 17,000 crore) in five tranches (Series G, H, lA, IB and J). The Company also fully redeemed secured nonconvertible Debentures (PPD 177 and PPD 179-T3) amounting to Rs 503 crore.
Pursuant to a Composite Scheme of Arrangement among Reliance Jio lnfocomm Ltd (RJIL) and Jio Digital Fibre Private Limited (JDFPL) and Reliance Jio lnfratel Private Limited (RJIPL), RJIL, has demerged its optic fiber cable undertaking to JDFPL and transferred its tower infrastructure undertaking on a slump sale basis to RJIPL. JDFPL has Fair Valued its Assets through reputed International Valuer. Being shareholder of RJIL, the Company received Equity Shares and Optionally Convertible Preference Shares (OCPS) of JDFPL, pursuant to transfer of fibre business. Subsequently, the Company sold its controlling equity stake in JDFPL to a SEBI registered infrastructure investment trust of which Reliance Industrial Investments and Holdings Limited, a wholly owned subsidiary of the Company is the sponsor.
Reliance Ethane Holding Pte. Ltd. (REHPL), a wholly owned subsidiary of the Company, holds 100% controlling equity interest in 6 companies owning Very Large Ethane Carrier (VLEC). REHPL has entered into a binding arrangement with Mitsui O.S.K. Lines, Japan and another investor for investment by them in the 6 companies, resulting in the 6 companies being jointly controlled by REHPL and Mitsui O.S.K. Lines, Japan.
Digital Media Distribution Trust, of which Reliance Content Distribution Limited (a wholly-owned subsidiary of the Company) is the sole beneficiary, has, through six SPVs 100% owned and controlled by it, 1. acquired sole control of Den Networks Limited and made a total investment of about Rs. 2707 crore for acquiring 78.06% of the total equity share capital of Den Networks Limited through preferential issue, share purchase and open offer, 2. acquired sole control of Hathway Cable and Datacom Limited and made a total investment of about Rs. 4,120 crore for acquiring 71.96% of the total equity share capital of Hathway Cable and Datacom Limited through preferential issue and open offer, 3. acquired indirect control of GTPL Hathway Limited and made a total investment of about Rs. 42 crore for acquiring 4.48% of the total equity share capital of GTPL Hathway Limited in the open offer and acquired indirect control of Hathway Bhawani Cabletel and Datacom Limited.
During the FY2020, the company spent towards Capital Expenditure amounting to Rs 77,444 crore.
During the fiscal 2020, The Board of Directors of the Company has approved the issue of equity shares of Rs 10/- each of the Company on rights basis to eligible equity shareholders of the Company at an issue price of Rs 1,257/- per fully paid-up equity share (including a premium of Rs 1,247/- per equity share). The Company has successfully completed the Rights Issue of Rs 53,124 crore.
Reliance awarded for exceptional presentation in UNIPOL PE Global Technology Conference 2019 in USA. DTA refinery was awarded India Manufacturing Excellence Award 2019' in High Platinum Category & Future Ready Factory Award by Frost and Sullivan. Reliance won the 13th CII National Award for Excellence in Water Management 2019, in the heavy industry category. Reliance was declared Winner' at 18th Annual Greentech Safety Award 2019 for persistent commitment in the field of safety. RIL was awarded the Golden Peacock Award for Corporate Social Responsibility 2019 for improving the livelihoods of farmers, fisher-folk and livestock owners through information services. Dahej Manufacturing Division, Silvassa Manufacturing Division and Hoshiarpur Manufacturing Division awarded Apex India Environment Excellence Award, 2019 under Platinum Category. Reliance Retail has topped the list of 50 fastest growing retailers globally in Deloitte's Global Powers of Retailing Report, 2020.
COVID-19 is significantly impacting business operation of the companies, by way of interruption in production, supply chain disruption, unavailability of personnel, closure / lock down of production facilities etc. On 24th March 2020, the Government of India ordered a nationwide lockdown for 21 days which further got extended till 3rd May 2020 to prevent community spread of COVID-19 in India resulting in significant reduction in economic activities.
Pursuant to the Scheme of Arrangement amongst RJIL and certain class of its creditors, approved by the Hon'ble National Company Law Tribunal, Ahmedabad bench vide order dated 13 March 2020, certain liabilities of Rs 1,04,365 crore have stood transferred to RIL with an equal amount of consideration. The Commercial Papers (listed) of the Company outstanding as on 31 March 2020 are Rs 27,709 crore. The total Non-Convertible Debentures of the Company outstanding as on 31 March,2020 are Rs 55,599 crore out of which, secured non-convertible debentures are Rs 13,886 crore.
The total Non-Convertible Debentures of the Company outstanding (before netting off of prepaid finance charges) as on 31 December 2020 are Rs 67,580 crore out of which, secured nonconvertible debentures are Rs 13,351 crore.
During the period April 2020 to December 2020, the Company has issued listed Unsecured Non-Convertible Redeemable Debentures amounting to Rs 24,955 crore in four tranches (Series K, L, M and N) on private placement basis and redeemed listed Unsecured Non-Convertible Redeemable Debentures amounting to Rs 12,000 crore (Series B, C, E, F, PPD1 and PPD2) and listed secured Non-Convertible Redeemable Debentures amounting to Rs 500 crore (Series PPD -180 Tranche 1).
During the quarter ended 31 December 2020, Reliance Retail Ventures Limited, a subsidiary of the Company has raised funds to the extent of Rs 39,765 crore by issuing equity shares to external investors.
During the quarter ended 31 December 2020, Jio Platforms Limited (JPL), a subsidiary of the Company has raised funds to the extent of Rs 33,737 crore by issuing equity shares to Google International LLC.
A Composite Scheme of Amalgamation and plan of merger amongst Reliance Holding USA Inc. (RHUSA), Reliance Energy Generation and Distribution Limited (REGDL) and the Company, which provided for merger of RHUSA with REGDL and merger of REGDL with the Company, was approved by the Hon'ble National Company Law Tribunal, Mumbai Bench, was effective from August 21, 2020 and accordingly, both RHUSA and REGDL became wholly owned subsidiaries of the Company.
During the year 2020-21, the Company transferred its Petroleum Retail Marketing business to Reliance BP Mobility Limited (RBML). RBML is a fuels and mobility business with BP Global Investments Limited. bp which holds 49% equity stake in RBML and the balance 51% is held by the Company.
During the year 2020-21, R-Cluster fields in KG D6 block commenced production and achieved peak production level of 12.8 MMSCMD
in mid-April 2021, ahead of plan. In April 2021, Satellite fields also commenced production two months ahead of schedule despite COVID-19 challenges.
During the year 2020-21, Reliance Retail Limited, Jio Platforms Limited, Reliance Jio Infocomm Limited and Reliance Global Energy
Services (Singapore) Pte. Limited, were material subsidiaries of the Company. The Company along with JM Financial Asset Reconstruction Company Limited (acting in its capacity as a Trustee of JMFARC- March 2018 - Trust'- (JMFARC) acquired, with the approved Resolution plan, joint control over Alok Industries Limited and consequently, the Company holds 40.01% equity stake and JMFARC holds 34.99% equity stake in Alok Industries Limited aggregating to 75%.
On 30 March 2022, the Board of Directors of the Company had approved the Scheme of Arrangement for Gasification between (i) the Company & its shareholders and creditors and (ii) Reliance Syngas Limited & its shareholders and creditors. The Gasification Scheme, inter alia, provides for transfer of the Gasification undertaking from the Company to Reliance Syngas Limited, a wholly owned subsidiary of the Company, as a going concern on slump sale basis for a lump sum consideration on the terms and conditions as detailed in the Gasification Scheme. The Appointed Date of the Gasification Scheme is March 31, 2022 which became effective from April 4, 2022.
During the year 2021-22, the Company and Saudi Aramco mutually determined that it would be beneficial for both the parties to re-evaluate the proposed investment in O2C business. The Board of Directors of the Company had on November 19, 2021, approved
withdrawal of the Scheme of Arrangement between the Company and Reliance O2C Limited from Hon'ble National Company Law Tribunal (NCLT). NCLT, Mumbai Bench has vide its order dated December 3, 2021 approved the withdrawal of the O2C Scheme.
During year 2022, Reliance Industrial Infrastructure Limited was reclassified from the category of Promoter Group' of the Company to Public'.
During the year 2021-22, Reliance Eagleford Upstream Holding, LP (REUHLP) a wholly owned step-down subsidiary of RIL, signed an agreement with Ensign Operating III, LLC to divest its interest in certain upstream assets in the Eagleford shale play of Texas, USA.
With this transaction, RIL has divested all its shale gas assets and exited from the shale gas business in the US.
The Company commissioned R Cluster Field in December 2020, which achieved peak production of 12.9 MMSCMD with six wells. Satellite Cluster Field was commissioned in April, 2021. Accordingly, all the 5 wells opened, tested and ramped up, achieving a peak production of 6.1 MMSCMD and as a result, its production ramped up to 18 MMSCMD gas.
During FY 2022-23, Reliance Strategic Investments Limited (RSIL) got demerged into with Company through Scheme of Arrangement for Demerger of Financial Services, which became effective from July 1, 2023.
Reliance Industries Ltd
Directors Reports
Dear Members,
The Board of Directors present the Company's Forty-sixth Annual Report
(Post- IPO) and the Company's audited financial statements for the financial year ended
March 31, 2023.
Financial Results
The Company's financial performance (standalone and consolidated) for
the year ended March 31, 2023 is summarised below:
|
|
Standalone |
|
|
Consolidated |
|
|
2022-23 |
2021-22 |
2022-23 |
2021-22 |
|
K crore |
US$ million* |
K crore |
US$ million* |
K crore |
US$ million* |
K crore |
US$ million* |
| Profit Before Tax (Before Exceptional Items) |
54,133 |
6,588 |
45,396 |
5990 |
94,046 |
11,445 |
79,318 |
10,465 |
| Current Tax |
(6,186) |
(753) |
(544) |
(72) |
(8,398) |
(1,022) |
(2,837) |
(374) |
| Deferred Tax |
(4,930) |
(600) |
(6,915) |
(912) |
(11,978) |
(1,458) |
(13,133) |
(1,733) |
| Profit from Continuing Operations (Before
Exceptional Items) |
43,017 |
5,235 |
37,937 |
5,006 |
73,670 |
8,965 |
63,348 |
8,358 |
| Exceptional Items (net of tax) A |
- |
- |
- |
- |
- |
- |
2,836 |
374 |
| Profit from Continuing Operations |
43,017 |
5,235 |
37,937 |
5,006 |
73,670 |
8,965 |
66,184 |
8,732 |
| Profit from Discontinued Operations (net of
tax) |
1,188 |
145 |
1,147 |
151 |
418 |
51 |
1,661 |
219 |
| Profit for the Year |
44,205 |
5,380 |
39,084 |
5,157 |
74,088 |
9,016 |
67,845 |
8,951 |
| Net Profit attributable to Non-Controlling
Interest |
- |
- |
- |
- |
(7,386) |
(899) |
(7,140) |
(942) |
| Net Profit Attributable to Owners of the
Company |
44,205 |
5,380 |
39,084 |
5,157 |
66,702 |
8,117 |
60,705 |
8,009 |
| Balance in Retained Earnings |
72,545 |
10,981 |
41,893 |
6,937 |
2,47,951 |
33,919 |
1,96,059 |
27,073 |
| Pursuant to Scheme of Arrangement # |
(23,502) |
(2,860) |
- |
- |
(21,867) |
(2,661) |
- |
- |
| Transferred to statement of Profit & Loss
A/c # |
- |
- |
- |
- |
(790) |
(96) |
- |
- |
| Fresh issue of equity by subsidiaries # |
- |
- |
- |
- |
- |
- |
259 |
34 |
| Sub-Total |
93,248 |
13,501 |
80,977 |
12,094 |
2,91,996 |
39,279 |
2,57,023 |
35,116 |
| Appropriations |
|
|
|
|
|
|
|
|
| Transferred to Statutory Reserve |
- |
- |
- |
- |
(38) |
(5) |
(115) |
(15) |
| Transferred to Debenture Redemption Reserve |
- |
- |
- |
- |
(96) |
(12) |
(524) |
(69) |
| Transferred (to)/from Special Economic Zone
Reinvestment Reserve |
8,960 |
1,090 |
(4,135) |
(546) |
8,960 |
1,090 |
(4,135) |
(546) |
| Dividend on Equity Shares |
(5,083) |
(619) |
(4,297) |
(567) |
(5,083) |
(619) |
(4,297) |
(567) |
| Closing Balance |
97,125 |
13,972 |
72,545 |
10,981 |
2,95,739 |
39,733 |
2,47,952 |
33,919 |
Figures in brackets represent deductions.
* 1 US$ = C 82.17 Exchange Rate as on March 31, 2023 (1 US$ = C 75.79
as on March 31, 2022).
A Refer Note 32 of the Standalone Financial Statement and Note 31
of the Consolidated Financial Statement.
# Refer Note 15 of the Standalone and Consolidated Financial
Statements.
Results of operations and the state of Company's affairs
Highlights of the Company's financial performance for the year
ended March 31, 2023 are as under:
Standalone
• Value of sales and services was
C 5,65,347 crore (US$ 68.8 billion)
• Exports for the year was C 3,40,048 crore (US$ 41.4 billion)
• EBITDA for the year was C 76,877 crore (US$ 9.4 billion)
• Cash Profit for the year was
C 58,065 crore (US$ 71 billion)
• Net Profit for the year was C 43,017 crore (US$ 5.2 billion)
Consolidated
• Value of sales and services was
C 9,74,864 crore (US$ 118.6 billion)
• EBITDA for the year was C 1,53,920 crore (US$ 18.7 billion)
• Cash Profit for the year was
C 1,25,951 crore (US$ 15.3 billion)
• Net Profit for the year was C 73,670 crore (US$ 9.0 billion)
Dividend
The Board of Directors have recommended a dividend of C 9/- (Rupees
Nine only) per equity share of C 10/- (Rupees Ten) each fully paid-up of the Company (last
year C 8/- per equity share of C 10/- each). Dividend is subject to approval of members at
the ensuing Annual General Meeting and shall be subject to deduction of income tax at
source.
The dividend recommended is in accordance with the Company's Dividend
Distribution Policy. The said policy of the Company is available on the Company's website
and can be accessed at https://www.ril.com/ DownloadFiles/IRStatutory/Dividend-
Distribution-Policy.pdf.
Details of material changes from the end of the financial year
Financial Services Demerger Scheme
The Board of Directors of the Company had approved the Scheme of
Arrangement between the Company and its shareholders and creditors & Reliance
Strategic Investments Limited ("RSIL') (to be renamed as Jio Financial Services
Limited) and its shareholders and creditors (Financial Services Demerger Scheme).
The Financial Services Demerger Scheme was approved by the shareholders
and creditors of the Company. The Reserve Bank of India has granted its approval under the
NBFC Regulations and the said Scheme has been sanctioned by the Hon'ble National Company
Law Tribunal, Mumbai Bench, on June 28, 2023. The Financial Services Demerger Scheme
became effective from July 1, 2023 and the Appointed Date was closing business hours of
March 31, 2023.
Salient features of the Financial Services Demerger Scheme:
(a) demerger, transfer and vesting of the Financial Services Business
(Demerged Undertaking as defined in the Financial Service Demerger Scheme) from the
Company into RSIL on a going concern basis, and issue of 1 (one) fully paid-up equity
share of RSIL having face value of C 10 (Rupees Ten) each for every 1 (one) fully paid-up
equity share of C 10 (Rupees Ten) each of the Company, in consideration thereof, in
accordance with the provisions of Section 2(19AA) of the Income-tax Act, 1961, listing of
equity shares of RSIL on BSE Limited and National Stock Exchange of India Limited; and
(b) reduction and cancellation of the entire pre-scheme share capital
of RSIL.
July 20, 2023 was fixed as the Record Date for the purpose of
determining the equity shareholders of the Company entitled to receive the equity shares
of RSIL. The equity shares of RSIL are expected to be listed soon.
Scheme of Amalgamation of Reliance New Energy Limited with the Company
The Board of Directors of the Company had approved the Scheme of
Amalgamation of Reliance New Energy Limited (RNEL) with the Company & their respective
shareholders (RNEL Scheme) for amalgamation of RNEL with the Company.
Based on a review of the new energy / renewable energy business and
investment structure, the Board at its meeting held on April 21, 2023, decided that the
new energy / renewable energy business should be undertaken through RNEL and the RNEL
Scheme be withdrawn.
The Hon'ble National Company Law Tribunal, Mumbai Bench, vide its order
dated June 07, 2023, approved withdrawal of the RNEL Scheme.
Material events during the year under review
EPC Scheme
The Board of Directors of the Company had approved the Scheme of
Arrangement between Reliance Projects & Property Management Services Limited (RPPMSL)
and its shareholders and creditors & the Company and its shareholders and creditors
for demerger of the Digital EPC & Infrastructure business from RPPMSL into the Company
. The Company has filed Company Scheme Petition with the Hon'ble National Company Law
Tribunal, Mumbai Bench, and approval is awaited.
Receipt of fifth tranche on partly paid listed unsecured redeemable
non-convertible debentures (PPD Series IA debentures)
During the year under review, the Company received payment of 5th tranche,
aggregating C 160 crore, from the holders of PPD Series IA debentures. The said funds have
been utilised for repayment of existing borrowings and other purposes in the ordinary
course of business. Consequent to the receipt of fifth tranche, PPD Series IA debentures
have become fully paid-up.
Acquisition of Sintex Industries Limited
The Hon'ble National Company ¦ Law Tribunal, Ahmedabad Bench,
approved the resolution plan jointly submitted by the Company and Assets Care &
Reconstruction Enterprise Limited (in its capacity as trustee of the ACRE- 114 Trust)
(ACRE) for acquisition of Sintex Industries Limited (SIL) under the Insolvency and
Bankruptcy Code 2016. In accordance with the approved resolution plan, SIL is jointly
controlled and managed by the Company and ACRE with effect from March 28, 2023. The
Company holds 70% equity share capital of SIL.
Management Discussion and Analysis Report
Management Discussion and Analysis Report for the year under review, as
stipulated under the Securities and Exchange Board of India (Listing Obligations and
Disclosure Requirements) Regulations, 2015 ("Listing Regulations"), is presented
in a separate section, forming part of the Annual Report.
Business operations / performance of the Company and its major
subsidiaries
Major developments and business performance of the Company and its
major subsidiaries consolidated with the Company are given below:
Retail
Reliance Retail delivered robust performance with another year of
strong revenue growth and profit performance. With focus on store network expansion, the
business grew its store footprint across consumption baskets. The business continued
to innovate, launch and scale up new retail formats to serve diverse
customer segments.
The business recorded Gross Revenue of C 2,60,394 crore, a growth of
30.4% over last year driven by broad based growth across consumption baskets.
Digital Services
Digital Services segment achieved a record revenue of C 1,19,791 crore.
Healthy growth in revenue from operations was led by full impact of tariff hike, continued
subscriber addition for mobility services and ramp-up of wireline and digital services.
Record EBITDA for the year was C 50,286 crore on account of higher revenue and steady
improvement in margins.
Furthering its commitment to enable 5G for all, Jio extended coverage
of its True5G services to over 2,300 cities/ towns across India as of March 2023. Jio
users in these cities are invited to experience unlimited data with up to 1 Gbps+ speed
under the Jio Welcome offer. Jio is on track to complete pan-India rollout by December
2023.
Media and Entertainment
Consolidated revenue grew 6.4% amidst a weak revenue environment and
economic headwinds. Despite the constrained marketing budgets of consumer companies and
start-ups due to high inflation and funding crunch respectively, advertising revenue of
the Company was flattish on a Y-o-Y basis. Withdrawal of Colors Rishtey from the
Free-To-Air DD FreeDish platform also had an impact on the advertising revenue. Movie
production segment delivered a strong slate of movies and sports vertical made a grand
debut with properties like FIFA World Cup and Women's Premier League (WPL), driving growth
in revenue.
Oil to Chemicals
Oil to Chemicals (O2C) business delivered strong performance with tight
fuels markets offsetting weak downstream chemical markets. Revenue increased by 18.7% on
account of higher average crude oil prices and improved price realisation for
transportation fuels.
Increase in exports were led by higher price realisations despite lower
downstream product volumes.
Access to global market and ability to place products to end consumers
helped in realising better margins. Souring of advantageous crude/ feedstock from outside
the region, given the volatility and constraints, lower fuel mix cost due to improved
availability of gasifiers added to the margins. Introduction of SAED on transportation
fuels adversely impacted earnings by C 6,648 crore on full year basis.
During the FY 22-23, O2C delivered revenue of C 5,94,650 crore and
EBITDA of C 62,075 crore.
Oil & Gas (Exploration & Production)
Oil & Gas segment witnessed sharp improvement in Revenue &
EBITDA with increased production and higher gas prices. EBITDA margin was up 950 bps led
by improved realisation. Domestic production was at 10- year high.
MJ Field has started producing gas and condensate from Q1 FY 2023-24.
All offshore installation and commissioning works have been completed.
Lower & Upper completion campaign for MJ wells is progressing as
per plan. Seven wells have been completed and eighth well is expected to be completed in
Q2 FY 2023-24.
Two e-auctions for sale of 6 MMSCMD & 5 MMSCMD gas from KGD6 were
undertaken during the Q1 FY24. The entire volume was sold and Gas Sale Purchase Agreement
(GSPA) signed with successful bidders.
With incremental gas production from MJ field, along with ongoing
production from R Cluster and Satellite Cluster fields, Block KG D6 production is expected
to reach ~30 MMSCMD in FY 2023-24.
Unified tariff regulations for gas pipelines has been implemented from
April 1, 2023, which is expected to benefit customers in far-flung areas and facilitate
development of gas markets in India.
Credit Rating
The Company's financial discipline and prudence is reflected in the
strong credit ratings ascribed by rating agencies. The details of credit ratings are
disclosed in the Management Discussion and Analysis Report, which forms part of the Annual
Report.
Consolidated Financial Statement
In accordance with the provisions of the Companies Act, 2013 ("the
Act") and the Listing Regulations read with Ind AS 110-Consolidated Financial
Statements, Ind AS 28-Investments in Associates and Joint Ventures and Ind AS 31-Interests
in Joint Ventures, the consolidated audited financial statement forms part of the Annual
Report.
Subsidiary, Joint Venture and Associate companies
During the year under review, companies listed in Annexure I to this
Report have become and / or ceased to be the subsidiary, joint venture or associate of the
Company.
A statement providing details of performance and salient features of
the financial statements of Subsidiary / Associate / Joint Venture companies, as per
Section 129(3) of the Act, is provided as Annexure A to the consolidated financial
statement and therefore not repeated in this Report to avoid duplication.
The audited financial statement including the consolidated financial
statement of the Company and all other documents required to be attached thereto is
available on the Company's website and can be accessed at https://www.ril.com/
ar2022-23/pdf/RIL-Integrated-Annual- Report-2022-23.pdf The financial statements of the
subsidiaries, are available on the Company's website and can be accessed at https://www.
ril.com/InvestorRelations/Downloads. aspx.
The Company has formulated a Policy for determining Material
Subsidiaries. The Policy is available on the Company's website and can be accessed at
https://www.ril.com/ DownloadFiles/IRStatutory/Material- Subsidiaries.pdf.
During the year under review, Jio Platforms Limited, Reliance Jio
Infocomm Limited, Reliance Retail Limited, Reliance Retail Ventures Limited and Reliance
Global Energy Services (Singapore) Pte. Limited were material subsidiaries of the Company
as per the Listing Regulations.
Secretarial Standards
The Company has followed the applicable Secretarial Standards, with
respect to Meetings of the Board of Directors (SS-1) and General Meetings (SS-2) issued by
the Institute of Company Secretaries of India.
Directors' Responsibility Statement
Your Directors state that:
a) in the preparation of the annual accounts for the year ended March
31, 2023, the applicable accounting standards read with requirements set out under
Schedule III to the Act have been followed and there are no material departures from the
same;
b) the Directors have selected such accounting policies and applied
them consistently and made judgements and estimates that are reasonable and prudent so as
to give a true and fair view of the state of affairs of the Company as at March 31, 2023
and of the profit of the Company for the year ended on that date;
c) the Directors have taken proper and sufficient care for the
maintenance of adequate accounting records in accordance with the provisions of the Act
for safeguarding the assets of the Company and for preventing and detecting fraud and
other irregularities;
d) the Directors have prepared the annual accounts on a going concern
basis;
e) the Directors have laid down internal financial controls to be
followed by the Company and that such internal financial controls are adequate and are
operating effectively; and
f) the Directors have devised proper systems to ensure compliance with
the provisions of all applicable laws and that such systems are adequate and operating
effectively.
Corporate Governance
The Company is committed to maintain the highest standards of
governance and has also implemented several best governance practices.
The report on Corporate Governance as per the Listing Regulations forms
part of the Annual Report. Certificate from the Auditors of the Company confirming
compliance with the conditions of Corporate Governance is attached to the report on
Corporate Governance.
Business Responsibility & Sustainability Report
In accordance with the Listing Regulations, the Business Responsibility
& Sustainability Report (BRSR) describing the initiatives taken by the Company from an
environmental, social and governance perspective is available on the Company's website and
can be accessed at https://www.ril.com/ DownloadFiles/BRSR2022-23.pdf.
Contracts or arrangements with Related Parties
During the year under review:
a) all contracts / arrangements / transactions entered by the Company
with related parties were in its ordinary course
of business and on an arm's length basis;
b) contracts / arrangements / transactions which were material, were
entered into with related parties in accordance with the
Policy of the Company on Materiality of Related Party Transactions and
on dealing with Related Party Transactions. The Company had not entered into any contract
/ arrangement / transaction with related parties which is required to be reported in Form
No. AOC-2 in terms of Section 134(3)(h) read with Section 188 of the Act and Rule 8(2) of
the Companies (Accounts) Rules, 2014.
The Policy on Materiality of Related Party Transactions and on dealing
with Related Party Transactions as approved by the Board is available on the Company's
website and can be accessed at https://www.ril.com/ DownloadFiles/IRStatutory/Policy-on-
Materiality-of-RPT.pdf.
There were no materially significant related party transactions which
could have potential conflict with the interests of the Company at large.
Members may refer to Note 35 of the Standalone Financial Statement
which sets out related party disclosures pursuant to Ind AS.
Corporate Social Responsibility (CSR)
The Company has focused on several corporate social responsibility
programs. The CSR initiatives of the Company under the leadership of Smt. Nita M. Ambani,
Founder and Chairperson, Reliance Foundation, have touched the lives of more than 6.95
crore people covering more than 54,200 villages and several urban locations across India
since 2010.
As per the CSR Policy, the Company continues its endeavors to improve
the lives of people and provide opportunities for their holistic development through its
different initiatives in the areas of Rural Transformation, Health, Education, Sports for
Development, Women Empowerment, Disaster Management, Arts, Culture & Heritage and
Environment. The three core commitments of Scale, Impact and Sustainability, with a focus
on environment form the bedrock
of the Company's philosophy on CSR initiatives.
The Company through its various CSR initiatives, has aligned with
various national priority initiatives including the Gram Uday Se Bharat Uday Abhiyan,
Unnat Bharat Abhiyan, Swachh Bharat Abhiyan, POSHAN Abhiyan, Jal Shakti Abhiyan, Sabki
Yojana Sabka Vikas, Skill India Mission, Har Ghar Tiranga campaign, Digital India and
Doubling Farmers' Income.
The CSR initiatives of the Company have won several awards including
Golden Peacock Award for Corporate Social Responsibility 2022, Best CSR at Digital Enabler
Award, Economic Times Best Healthcare Brand Awards 2022 for Sir H. N. Reliance Foundation
Hospital, FE Healthcare Summit & Awards 2022, Times Health Leaders Awards 2022 for Sir
H. N. Reliance Foundation Hospital, Olive Crown Award for green initiatives by Reliance
Foundation and Socio CSR Award for Reliance Foundation's video film on women and
technology, among others.
The CSR policy, formulated by the Corporate Social Responsibility and
Governance ("CSR&G") Committee and approved by the Board, continues to be
unchanged. The policy can be accessed at https://www.ril.com/
DownloadFiles/IRStatutory/CSR- Policy.pdf.
During the year under review, the Company spent C 744 crore (2.01% of
the average net profits of the preceding three financial years), towards identified and
approved CSR initiatives covered under Schedule VII of the Companies Act 2013, directly/
through the implementing agencies.
The Annual Report on CSR activities including summary of Impact
Assessment Report is annexed and marked as Annexure II to this Report.
Risk Management
The Company has a structured Group Risk Management Framework, designed
to identify, assess and mitigate risks appropriately. The Risk Management Committee has
been entrusted with the responsibility to assist the Board in:
a) overseeing and approving the Company's enterprise wide risk
management framework;
b) ensuring that all material Strategic and Commercial risks including
Cybersecurity, Safety and Operations, Compliance, Control and Financial risks have been
identified and assessed; and
c) ensuring that all adequate risk mitigation measures are in place, to
address these risks.
Further details on the risk management activities including the
implementation of risk management policy, key risks identified and their mitigations are
covered in Management Discussion and Analysis section, which forms part of the Annual
Report.
Internal Financial Controls
The key internal financial controls have been documented, automated
wherever possible and embedded in the respective business processes.
Assurance to the Board on the effectiveness of internal financial
controls is obtained through 3 Lines of Defence which include:
a) Management reviews and selfassessment;
b) Continuous controls monitoring by functional experts; and
c) Independent design and operational testing by the Group Internal
Audit function.
The Company believes that these systems provide reasonable assurance
that the Company's internal financial controls are adequate and are operating effectively
as intended.
Directors and Key Managerial Personnel
In accordance with the provisions of the Act and the Articles of
Association of the Company, Shri P.M.S. Prasad and Shri Nikhil R. Meswani, Directors of
the Company, retire by rotation at the ensuing Annual General Meeting. The Board of
Directors, based on the recommendation of the Human Resources, Nomination and Remuneration
("HRNR")
Committee, has recommended their re-appointment.
Prof. Dipak C. Jain and Dr. Raghunath A. Mashelkar ceased to be
Directors of the Company upon completion of their term on July 20, 2022. The Board places
on record its sincere appreciation for the contribution made by them during their tenure
on the Board of the Company.
The HRNR Committee, at its meeting held on July 15, 2022, considered
and recommended the appointment of Shri K. V. Chowdary as an Independent Director of the
Company. Upon such recommendation, Shri K. V. Chowdary resigned as a non-independent
director of the Company with effect from the close of business hours on July 20, 2022. The
Board of Directors subsequently approved the appointment of Shri K. V. Chowdary as an
Additional Director, designated as an Independent Director of the Company, with effect
from July 21, 2022 and at the annual general meeting of the Company held on August 29,
2022, the shareholders approved his appointment as an Independent Director of the Company
for a period of 5 years upto July 20, 2027
The Board of Directors based on the recommendation of the HRNR
Committee, recommended appointment of Shri K. V. Kamath as an Independent Director of the
Company for a term of 5 (five) consecutive years and the shareholders of the Company
approved his appointment on December 30, 2022. The tenure of Shri K.V. Kamath as an
Independent Director of the Company is up to January 19, 2028.
In the opinion of the Board,
Shri K. V. Chowdary and Shri K.V. Kamath possess requisite expertise,
integrity and experience (including proficiency).
Shri Alok Agarwal, accomplished finance professional, assumed a new
role as Senior Advisor to the Chairman and Managing Director of the Company, assisting him
on a wide range of strategic issues with effect from June 1, 2023, after 30 years of
distinguished service.
He was appointed as the Chief Financial Officer of the Company in 2005.
He joined Reliance in 1993 and was responsible for finance, banking relationships and
capital market transactions.
The Board appreciates the contribution made by Shri Alok Agarwal in the
transformative journey of the Company.
The Board of Directors of the Company, based on the recommendation of
the HRNR Committee, designated Shri Srikanth Venkatachari as the Chief Financial Officer
of the Company with effect from June 1, 2023. He was the Joint Chief Financial Officer of
the Company since 2011.
Shri Pawan Kumar Kapil completed his 5-year term as a whole-time
director of the Company, on May 15, 2023. Upon completion of his term, he also ceased to
be a Director of the Company.
The Board places on record its sincere appreciation for the
contribution made by Shri Pawan Kumar Kapil during his long tenure on the Board of the
Company.
Given his vast experience of around 56 years in the field of
hydrocarbons and long tenure with the Company, he continues to be associated with the
Company.
The Company has received declarations from all the Independent
Directors of the Company confirming that:
a) they meet the criteria of independence prescribed under the Act and
the Listing Regulations; and
b) they have registered their names in the Independent Directors'
Databank.
The Company has devised, inter alia, the following policies viz.:
a) Policy for selection of Directors and determining Directors'
independence; and
b) Remuneration Policy for Directors, Key Managerial Personnel and
other employees.
The aforesaid policies are available on the Company's website and can
be accessed at https://www.ril.com/ DownloadFiles/IRStatutory/Policy-
for-Selection-of-Directors.pdf and https://www.ril.com/DownloadFiles/
IRStatutory/Remuneration-Policy-for- Directors.pdf
The Policy for selection of Directors and determining Directors'
independence sets out the guiding principles for the HRNR Committee for identifying
persons who are qualified to become Directors and to determine the independence of
Directors, while considering their appointment as Independent Directors of the Company.
The Policy also provides for the factors in evaluating the suitability of individual board
members with diverse background and experience that are relevant for the Company's
operations. There has been no change in the policy during the year under review.
The Company's remuneration policy is directed towards rewarding
performance based on review of achievements. The remuneration policy is in consonance with
existing industry practice. There has been no change in the policy during the year under
review.
Performance Evaluation
The Company has a policy for performance evaluation of the Board,
Committees and other individual Directors (including Independent Directors) which includes
criteria for performance evaluation of Non-Executive Directors and Executive Directors.
In accordance with the manner of evaluation specified by the HRNR
Committee, the Board carried out annual performance evaluation of the Board, its
Committees and Individual Directors. The Independent Directors carried out annual
performance evaluation of the Chairman, the non-independent directors and the Board as a
whole. The Chairman of the respective Committees shared the report on evaluation with the
respective Committee members. The performance of each Committee was
evaluated by the Board based on the report of evaluation received from
the respective Committees.
A consolidated report was shared with the Chairman of the Board for his
review and giving feedback to each Director.
Employees' Stock Option Scheme
The HRNR Committee, through RIL ESOS 2017 Trust inter alia administers
and monitors Reliance Industries Limited Employees' Stock Option Scheme 2017
("ESOS-2017").
The ESOS-2017 is in line with the SEBI (Share Based Employee Benefits
and Sweat Equity) Regulations,
2021 ("SBEB Regulations"). The details as required to be
disclosed under the SBEB Regulations can be accessed at https://www.ril.com/
DownloadFiles/IRStatutory/ESOS- 2017-Disclosure-2022-23.pdf.
Auditors and Auditors' Report
Auditors
Deloitte Haskins & Sells LLP,
Chartered Accountants and Chaturvedi & Shah LLP, Chartered
Accountants, were appointed as the Auditors of the Company for a term of 5 (five)
consecutive years, at the 45th Annual General Meeting (Post- IPO) held on
August 29, 2022. The Auditors have confirmed that they are not disqualified from
continuing as the Auditors of the Company.
The Auditors' Report does not contain any qualification, reservation,
adverse remark or disclaimer. The Notes to the financial statements referred in the
Auditors' Report are selfexplanatory and do not call for any further comments.
Cost Auditors
The Board has appointed the following Cost Accountants as Cost Auditors
for conducting the audit of cost records of products and services of the Company for
various segments for the FY 2023-24 under Section 148 of the Act read with the Companies
(Cost Records and Audit) Rules, 2014:
i. Textiles Business - Kiran J.
Mehta & Co.
ii. Chemicals Business - Diwanji & Associates, K.G. Goyal &
Associates, V.J. Talati & Co., Suresh D. Shenoy, Shome & Banerjee and Dilip M.
Malkar & Co.;
iii. Polyester Business - K.G. Goyal & Associates, V.J. Talati
& Co., Suresh D. Shenoy and V. Kumar & Associates;
iv. Electricity Generation - Diwanji & Associates, and Kiran J.
Mehta & Co.;
v. Petroleum Business - Suresh D. Shenoy;
vi. Oil & Gas Business - V.J. Talati & Co. and Shome &
Banerjee;
vii. Gasification (for petroleum activities) - Suresh D.
Shenoy; and
viii. Composites Solution - Kiran J. Mehta & Co.
Shome & Banerjee, Cost Accountants, have been nominated as the
Company's Lead Cost Auditor.
In accordance with the provisions of Section 148(1) of the Act, read
with the Companies (Cost Records and Audit) Rules, 2014, the Company has maintained cost
records.
Secretarial Auditor
The Board had appointed Dr. K.R. Chandratre, Practising Company
Secretary, to conduct Secretarial Audit of the Company. The Secretarial Audit Report for
the financial year ended March 31, 2023 is annexed and marked as Annexure III to this
Report. The Secretarial Audit Report does not contain any qualification, reservation,
adverse remark or disclaimer.
Disclosures
Meetings of the Board
Six meetings of the Board of Directors were held during the year. The
particulars of the meetings held and attendance of each Director are detailed in the
Corporate Governance Report.
Audit Committee
During the year under review,
Dr. Raghunath A. Mashelkar ceased to be a Director of the Company upon
completion of his term and consequently ceased to be a member of the Audit Committee. The
Audit Committee presently comprises Shri Raminder Singh Gujral (Chairman), Shri Adil
Zainulbhai and Shri K. V. Chowdary. All the recommendations made by the Audit Committee
were accepted by the Board.
Human Resources, Nomination and Remuneration (HRNR) Committee
During the year under review,
Dr. Raghunath A. Mashelkar ceased to be a Director of the Company upon
completion of his term and consequently ceased to be a member of the HRNR Committee. The
HRNR Committee presently comprises Shri Adil Zainulbhai (Chairman),
Shri Raminder Singh Gujral,
Dr. Shumeet Banerji and Shri K. V. Chowdary.
Corporate Social Responsibility and Governance (CSR&G) Committee
During the year under review,
Dr. Raghunath A. Mashelkar ceased to be a Director of the Company upon
completion of his term and consequently ceased to be the Chairman and member of the
CSR&G Committee. The CSR&G Committee presently comprises Dr. Shumeet Banerji
(Chairman),
Shri Nikhil R. Meswani and Shri K. V. Chowdary.
Environmental, Social and Governance (ESG) Committee
During the year under review,
Shri Pawan Kumar Kapil ceased to be a Director of the Company and
consequently ceased to be a member of the ESG Committee.
The ESG Committee presently comprises Shri Hital R. Meswani
(Chairman), Shri P.M.S. Prasad and Smt. Arundhati Bhattacharya.
Stakeholders' Relationship (SR) Committee
The SR Committee comprises Shri K. V. Chowdary (Chairman),
Smt. Arundhati Bhattacharya,
Shri Nikhil R. Meswani and Shri Hital R. Meswani.
Risk Management (RM) Committee
The RM Committee comprises Shri Adil Zainulbhai (Chairman),
Dr. Shumeet Banerji, Shri K. V. Chowdary, Shri Hital R. Meswani,
Shri PM.S. Prasad, Shri Alok Agarwal and Shri Srikanth Venkatachari.
Vigil Mechanism and Whistleblower Policy
The Company has established a robust Vigil Mechanism and a
Whistleblower Policy in accordance with the provisions of the Act and the Listing
Regulations. Ethics & Compliance Task Force (ECTF) comprising Executive Director,
General Counsel, Group Controller and Group Corporate Secretarial and Governance has been
established which oversees and monitors the implementation of ethical business practices
in the Company. ECTF evaluates incidents of suspected or actual violations of the Code of
Conduct and reports them to the Audit Committee every quarter.
Employees and other stakeholders are required to report actual or
suspected violations of applicable laws and regulations and the Code of Conduct. Such
genuine concerns (termed Reportable Matter) disclosed as per Policy are called
"Protected Disclosures" and can be raised by a Whistle-blower through an e-mail
or dedicated telephone line or a letter to the ECTF or to the Chairman of the Audit
Committee. The Vigil Mechanism and Whistle-blower Policy is available on the Company's
website and can be accessed at https://www. ril.com/DownloadFiles/IRStatutory/
Vigil-Mechanism-and-Whistle-Blower- Policy.pdf.
Prevention of sexual harassment at workplace
In accordance with the requirements of the Sexual Harassment of Women
at Workplace (Prevention, Prohibition & Redressal) Act, 2013 ("POSH Act")
and the Rules made thereunder, the Company has in place a policy which mandates no
tolerance against any conduct amounting to sexual harassment of women at workplace. The
Company has constituted Internal Complaints Committee(s) (ICCs) to redress and resolve any
complaints arising under the POSH Act. Training / awareness programme are conducted
throughout the year to create sensitivity towards ensuring respectable workplace.
Particulars of loans given, investments made, guarantees given and
securities provided
Particulars of loans given, investments made, guarantees given and
securities provided along with the purpose for which the loan or guarantee or security
provided is proposed to be utilised by the recipient are provided in the Standalone
Financial Statement (Please refer Note 2, 3, 7, 10, 35 and 41 to the Standalone Financial
Statement).
Conservation of energy, technology absorption, foreign exchange
earnings and outgo
The particulars relating to conservation of energy, technology
absorption, foreign exchange earnings and outgo, as required to be disclosed under the
Act, are provided in Annexure IV to this Report.
Annual Return
The Annual Return of the Company as on March 31, 2023 is available on
the Company's website and can be accessed at https://www.ril.
com/DownloadFiles/IRStatutory/ AnnualReturn-2022-23.pdf.
Particulars of employees and related disclosures
In terms of the provisions of Section 197(12) of the Act read with
Rules 5(2) and 5(3) of the Companies (Appointment and Remuneration of Managerial
Personnel) Rules, 2014, a statement showing the names of the top ten employees in terms of
remuneration drawn and names and other particulars of the employees drawing remuneration
in excess of the limits set out in the said rules forms part of this Report.
Disclosures relating to remuneration and other details as required
under Section 197(12) of the Act read with Rule 5(1) of the Companies (Appointment and
Remuneration of Managerial Personnel) Rules, 2014 forms part of this Report.
Having regard to the provisions of the second proviso to Section 136(1)
of the Act and as advised, the Annual Report excluding the aforesaid information is being
sent to the members of the Company. Any member interested in obtaining such information
may address their email to rilagmeril.com
General
Your Directors state that no disclosure or reporting is required in
respect of the following matters as there were no transactions on these matters during the
year under review:
• Details relating to deposits covered under Chapter V of the Act.
• Issue of equity shares with differential rights as to dividend,
voting or otherwise.
• Issue of shares (including sweat equity shares) to employees of
the Company under any scheme save and except Employees' Stock Options Scheme referred to
in this Report.
• Neither the Managing Director nor the Whole-time Directors of
the Company receive any remuneration or commission from any of
its subsidiaries.
• No significant or material orders were passed by the Regulators
or Courts or Tribunals which impact the going concern status and Company's operations in
future.
• No fraud has been reported by the Auditors to the Audit
Committee or the Board.
• There has been no change in the nature of business of the
Company.
• There is no proceeding pending under the Insolvency and
Bankruptcy Code, 2016.
• There was no instance of one-time settlement with any Bank or
Financial Institution.
Acknowledgement
The Board places on record its deep sense of appreciation for the
committed services by all the employees of the Company. The Board of Directors would also
like to express their sincere appreciation for the assistance and co-operation received
from the financial institutions, banks, government and regulatory authorities, stock
exchanges, customers, vendors, members, debenture holders and debenture trustee during the
year under review.
For and on behalf of the Board of Directors
| Mukesh D. Ambani |
| Chairman and Managing Director |
| Mumbai, July 21, 2023 |
  Â
Reliance Industries Ltd
Company Background
| Incorporation Year | 1973 |
| Registered Office | 3rd Floor Maker Chambers IV,222 Nariman Point
Mumbai,Maharashtra-400021 |
| Telephone | 91-22-22785000 / 35555000,Managing Director |
| Fax | 91-22-22042268 / 22852214 |
Mukesh D AmbaniMukesh D Ambani| Company Secretary | Savithri Parekh |
| Auditor | Deloitte Haskins & Sells LLP/Chaturvedi & Co LLP |
| Face Value | 10 |
| Market Lot | 1 |
| Listing | BSE,London,Luxembourg,MSEI ,NASDAQ,NSE, |
| Registrar | KFin Techologies Ltd
Karvy Selenium Tow-B,31&32 Financial Dist,Nanakramguda ,Hyderabad-500032 |
Reliance Industries Ltd
Company Management
| Director Name | Director Designation | Year |
|---|
| Mukesh D Ambani | Chairman & Managing Director | 2023 |
| Nikhil Meswani | Executive Director | 2023 |
| Hital R Meswani | Executive Director | 2023 |
| PMS Prasad | Executive Director | 2023 |
| Pawan Kumar Kapil | Executive Director | 2023 |
| Adil Zainulbhai | Non-Exec. & Independent Dir. | 2023 |
| Raminder Singh Gujral | Non-Exec. & Independent Dir. | 2023 |
| Shumeet Banerji | Non-Exec. & Independent Dir. | 2023 |
| Arundhati Bhattacharya | Non-Exec. & Independent Dir. | 2023 |
| Savithri Parekh | Company Sec. & Compli. Officer | 2023 |
| K V Choudhary | Non-Exec & Non-Independent Dir | 2023 |
| His Excellency Yasir Othman H. Al Rumayyan | Independent Director | 2023 |
| K V Kamath | Independent Director | 2023 |
| ISHA MUKESH AMBANI | Non Executive Director | 2023 |
| AKASH MUKESH AMBANI | Non Executive Director | 2023 |
| Anant M. Ambani | Non Executive Director | 2023 |
Reliance Industries Ltd
Listing Information
| Listing Information |
|---|
| BSE_SENSEX |
| NIFTY |
| BSE_500 |
| BSE_100 |
| BSE_200 |
| BSEDOLLEX |
| CNX500 |
| BSEOIL |
| CNXENERGY |
| CNX100 |
| CNXINFRAST |
| CNX200 |
| CNXCOMMODI |
| BSEGREENEX |
| BSECARBONE |
| NFT100LQ15 |
| NFT100EQWT |
| BSEALLCAP |
| BSELARGECA |
| BSEENERGY |
| BSEMANUFAC |
| SENSEX50 |
| ESG100 |
| LMI250 |
| BSEDSI |
| BSELVI |
| NFT50EQWT |
| NFT100LV30 |
| BSE100LTMC |
| NFTYLM250 |
| NFTY100ESG |
| NFTYOILGAS |
| NF500M5025 |
| NFTYINDMFG |
| NFTYTOTMKT |
| NMIM503020 |
| NMIF503020 |
Reliance Industries Ltd
Finished Product
| Product Name | Unit | Installed
Capacity | Production
Quantity | Sales
Quantity | Sales
Value |
|---|
| Oil to Chemicals | MT | 0 | 0 | 0 | 261866 |
| GST Recovered | NA | 0 | 0 | 0 | 13871 |
| Income from Services | NA | 0 | 0 | 0 | 2315 |
| Oil & Gas | NA | 0 | 0 | 0 | 470 |
| Others | NA | 0 | 0 | 0 | 389 |
| Retail | NA | 0 | 0 | 0 | 29 |
| Unspecified | NA | 0 | 0 | 0 | 0 |
| Oil-Crude-Refinery | MT | 0 | 0 | 0 | 0 |
| Toluole | MT | 0 | 0 | 0 | 0 |
| Refining | NA | 0 | 0 | 0 | 0 |
| Other Chemicals | MT | 0 | 0 | 0 | 0 |
| Oil-Crude | MT | 0 | 0 | 0 | 0 |
| Petrochemicals | NA | 0 | 0 | 0 | 0 |
| Petroleum Products | MT | 0 | 0 | 0 | 0 |
| Diesel | MT | 0 | 0 | 0 | 0 |
| Liquefied Petroleum Gas | MT | 0 | 0 | 0 | 0 |
| Ethane Propane Mix | MT | 0 | 0 | 0 | 0 |
| Chlorine | MT | 0 | 0 | 0 | 0 |
| Gas | BTU | 0 | 0 | 0 | 0 |
| Hydrogen Gas | MT | 0 | 0 | 0 | 0 |
| Hydro Cynic Acid | MT | 0 | 0 | 0 | 0 |
| Caustic Soda | MT | 0 | 0 | 0 | 0 |
| Caustic soda Lye/Flakes | MT | 0 | 0 | 0 | 0 |
| Paraffin-Normal | MT | 0 | 0 | 0 | 0 |
| Ethylene | MT | 0 | 0 | 0 | 0 |
| Propylene | MT | 0 | 0 | 0 | 0 |
| Butadiene | MT | 0 | 0 | 0 | 0 |
| Butadiene & Others C4s | MT | 0 | 0 | 0 | 0 |
| Cyclohexane | MT | 0 | 0 | 0 | 0 |
| Benzene | MT | 0 | 0 | 0 | 0 |
| Toluene | MT | 0 | 0 | 0 | 0 |
| Ortho Xylene | MT | 0 | 0 | 0 | 0 |
| Para Xylene | MT | 0 | 0 | 0 | 0 |
| Xylene | MT | 0 | 0 | 0 | 0 |
| Ethylene Glycol | MT | 0 | 0 | 0 | 0 |
| High Ethylene Glycol | MT | 0 | 0 | 0 | 0 |
| Mono Ethylene Glycol | MT | 0 | 0 | 0 | 0 |
| Ethylene Oxide | MT | 0 | 0 | 0 | 0 |
| Ethyl Vinyl Acetate | MT | 0 | 0 | 0 | 0 |
| PTA | MT | 0 | 0 | 0 | 0 |
| Acrylonitrile | MT | 0 | 0 | 0 | 0 |
| Poly Butadiene Rubber | MT | 0 | 0 | 0 | 0 |
| Linear Alkylbenzene | MT | 0 | 0 | 0 | 0 |
| Polyethylene | MT | 0 | 0 | 0 | 0 |
| LDPE- High/Linear | MT | 0 | 0 | 0 | 0 |
| Low Density Polyethylene | MT | 0 | 0 | 0 | 0 |
| HDPE Pipe | MT | 0 | 0 | 0 | 0 |
| Polypropylene | MT | 0 | 0 | 0 | 0 |
| PVC | MT | 0 | 0 | 0 | 0 |
| Polyethylene Terephthalate | MT | 0 | 0 | 0 | 0 |
| Polyethylene pipes-High Densit | Mtr | 0 | 0 | 0 | 0 |
| ASF Spun Yarn | MT | 0 | 0 | 0 | 0 |
| PSF Spun Yarn | MT | 0 | 0 | 0 | 0 |
| PFY/Polyester Chips | MT | 0 | 0 | 0 | 0 |
| Polyester Filament Yarn | MT | 0 | 0 | 0 | 0 |
| Fabric | Mtr | 0 | 0 | 0 | 0 |
| Fibre Fill-PSF | MT | 0 | 0 | 0 | 0 |
| PSF/Polyester Chips | MT | 0 | 0 | 0 | 0 |
| MMF Spun Yarn on Worsted Sys-S | No | 0 | 0 | 0 | 0 |
| Looms-Manmade Fabrics | No | 0 | 0 | 0 | 0 |
| Knitting Machines-Manmade Fibr | No | 0 | 0 | 0 | 0 |
| Spindles-Cott./Man.Fib.Yarn | No | 0 | 0 | 0 | 0 |
| Solar Photovoltaic Cell/Module | MW | 0 | 0 | 0 | 0 |