Mukesh Ambani’s problem of plenty

Reliance’s cash generation will soon be significantly higher than what it can deploy in business. That is not going to help its return on capital employed, already at historic lows.

Last Friday, Reliance Industries, India’s most valuable company, announced its annual earnings, which the company said was its best ever performance yet. On a consolidated basis, which includes the oil and gas business, digital (Jio Platforms and telecom) and retail business, net profit stood at Rs 74,088 crore on a total revenue of Rs 879,468 crore for the 2022-23 fiscal year. Its EBITDA, or earnings before interest, taxes, depreciation and amortization, crossed Rs 150,000 crore for the first time.

The company said that the good performance came from across the board. While its mainstay refining and petrochemicals margins made record …


T Surendar

Surendar helps lead the newsroom at The Morning Context as executive editor. Over the years, Surendar has worked in industries from pharmaceuticals to diamonds, as well as a stint as an equity analyst. In his long career as a business journalist, he has led teams at The Times of India, India Today and Fortune India. He was part of the founding team at Forbes India and interned at and published in The Times, London.

Executive Editor