Balaji M

2nd year ‘B' Section

19E1749

I. Name of the Company: Reliance industries limited

II. Registered Office (City): Mumbai

III. Website: http://www.ril.com

IV products of the company:

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From the annual reports of reliance 2019-2020

It considered its products under six main divisions

1. Retail industry

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2. Digital services

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3. Media and entertainment

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4. Refining and marketing

5. Petrochemical

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6. Exploration and production

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V. Company Overview:

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VI. Industry (Sector): Refineries

VII. Stock exchange on which the stock is listed

Sensex
Nifty
Bse-100
Bse-200
LSE
S & p CNX 500

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VIII. Current Share Price: ₹ 1972.65

Date on which price was taken: 19th November 2020

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IX. Current Market Capitalization of the company: 1,271,386.23
crores

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X. Provide the following information:

a. Lowest stock price during Demonetization period i.e. 8 Nov
2016 – 30 Dec 2016: INR 461.61

Date on which the share price is low: 9th November 2016

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b. Stock price on 31 March 2017 : 653.38 INR

c. Stock price on 28 March 2018 : 876.48 INR

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d. Stock price on 29 March 2019 : 1350.20 INR

e. Stock price on 31 March 2020 : 1101.96

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XI. Profit or Loss for the company in the last 3 years:

S.NO Year Profit or loss ( INR
crores)
1 31st march 2018 30,612
2 31 march 2019
st 35,163
3 31 march 2020
st 30,903

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XII. Revenue of the company in the last 3 years:

S.no Year ending Revenue ( INR CRORES)
1 31 march 2018
st 298,262
2 31 march 2019
st 380,438
3 31st march 2020 350,519

XIII. What is the net cash flow of the company in the last 3 years?

S.no Year ending Net cash flow (INR crores)

1 31st march 2018 1,266
2 31st march 2019 3,745
3 31st march 2020 19,839

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XIV. Listing –

Sensex Yes
Nifty Yes
Bse-100 Yes
Bse-200 Yes

XV. Date of the last AGM of the company: 15th July 2020

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XVI. Competitors of the company

1. ONGC - Oil and Natural Gas Corporation

2. Petronet LNG

3. Oil india

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XVII. Rank of your company according to the following

A. Market capitalization

Rank Name of company Market capitalisation ( INR

crores)
1 Reliance industries 1,224,052.91
2 ONGC 90,074.80
3 Petronet LNG 38,842.50
4 Oil india 9,889.78
5 HOEC 951.49

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B. Net Profit

Rank Name of company Net profit

( INR crores)
1 Reliance industries 30,903.00
2 ONGC 13,444.54
3 Petronet LNG 2,697.60
4 Oil india 2,584.06
5 Hoec 140.83

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C. Sales Turnover/Net Interest Income –

Rank Name of company Sales turnover

( INR crores )
1 Reliance industries 335,978.00
2 ONGC 96,165.84
3 Petronet LNG 35,452.00
4 Oil india 12,128.52
5 Aban offshore 240.54

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XVIII. Investment Decisions

1. Acquisition of urban ladder

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Brief explanation:
Urban Ladder has gone through its own ups and downs and even after
having raised over ₹857 crore got sold for a mere ₹182 crore. During its
peak in 2018, the start-up had a valuation of ₹1200 crore, in 2019 the
valuation had come down to ₹750 crore. As a path to become India’s
largest retailer in e-business reliance retail (part of reliance
industries)made this decision. Further by December 2023 reliance retail
(part of reliance industries) will invest ₹ 75 crores. This decision shows
reliance industries gears up to fight against global retail giants like
amazon and flipkart .

Reliance Retail said the investment “will further enable the group’s digital and
new commerce initiatives and widen the bouquet of consumer products
provided by the group, while enhancing user engagement and experience
across its retail offerings.”

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2. Acquisition of netmeds

Brief explanation:
Reliance Industries Ltd (RIL) bought a majority stake in online
pharmacy Netmeds for Rs. 620 crores on 19th August 2020 facing up
to Amazon.com in the competition for the country's fast-expanding
online drug market. Specifically, RIL's subsidiary Reliance Retail
Ventures Limited (RRVL) has acquired a majority equity stake in
Vitalic Health (Vitalic) and its subsidiaries collectively known as
Netmeds.

Netmeds gives it a foothold in a sector that is forecast to grow to Rs.

25,000 crores by 2022, according to consultancy Frost & Sullivan.
RIL's acquisition comes at a time when arch rival Amazon has just
started selling pharmaceutical products in Bangalore markets

Reliance industries:
This investment is aligned with our commitment to provide digital access
for everyone in India. The addition of Netmeds enhances Reliance Retail’s
ability to provide good quality and affordable health care products and
services, and also broadens its digital commerce proposition to include
most daily essential needs of consumers. We are impressed by Netmeds’
journey to build a nationwide digital franchise in such a short time and
are confident of accelerating it with our investment and partnership

3. Acquisition of tesseract & introduction of

holoboard.

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Brief explanation:
During 42nd Annual General Meeting, Reliance announced a slew
of ambitious projects built around its Jio GigaFiber offering and
wooed Indian start-ups with its partnership with Microsoft
Azure for cloud services. Reliance also announced its mixed reality
(MR) platform Holo board, which combines augmented reality and
virtual reality. Interestingly, the device is developed by Mumbai-
based VR start-up Tesseract, and Reliance announced an
investment in the company. Turns out, the investment is actually
an acquisition as Reliance has acquired a majority stake in
Tesseract.( Majority stake of 92.7 % of companies shareholding)
Tesseract is a deeptech startup and has launched three hardware
and two software products in the MR, AR, and VR spaces.

Post-acquisition, Tesseract will continue to work independently.

Tesseract has developed the Jio HoloBoard as a native mixed reality
headset for JioFiber users. While specifics about the Jio HoloBoard are
yet to be revealed, Reliance Jio wants to make the headset available for
purchase in the market very soon at an “extremely affordable price”.

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XIX. List and briefly explain any 2 (Corporate Social Responsibility)

CSR activities that the company has undertaken:

a. Mission anna seva

Breif explanation:

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Through Mission Anna Seva, reliance had pprovidd over 3 crore meals to marginalised
communities and frontline workers across the nation.

Mission Anna Seva will be the largest meal distribution programme ever undertaken by a
corporate foundation anywhere in the world. The beneficiaries of this programme include daily
wage earners, slum dwellers, urban service providers, factory workers, and residents of old-age
homes and orphanages.

Further, in partnership with the BMC, Reliance has set up India’s first 100-bed exclusive COVID-
19 Hospital in Mumbai in just two weeks - a national record. Later the facility is expanded to a
capacity of 250 beds.

it has produced one lakh masks and hundred thousand PPEs (Personal Protective Equipment)
daily for health-workers and caregivers across India.

Reliance is also providing free fuel to emergency vehicles to help ensure COVID-19 patients
quickly get the medical care they require .

B. Dhirubai ambani scholarship Programme

Brief explanation:

The Dhirubhai Ambani Scholarship Programme is aimed towards fulfilling Shri

Dhirubhai Ambani’s vision of providing opportunities to the youth and
empowering them to become future leaders. Initiated in 1996, the scholarship
supports meritorious students of standard XII to pursue college education and
nurtures them to emerge as young professionals. Dhirubhai Ambani
Scholarship Programme is a targeted programme where scholarship is

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awarded to top few meritorious students who meet the selection criteria of
Reliance Foundation, based on the merit list provided by the State/CBSE Board

A large number of Dhirubhai Ambani Scholars have pursued further higher

education from premier institutes in India and abroad, for e.g. IIT, IIM, Stanford
University etc.

Almost half of the Dhirubhai Ambani Scholars are girls.

So far, 12,500 meritorious students, have been awarded scholarships under the
Dhirubhai Year Value of assets
Ambani purchased (inr crores)
Scholarship 2019 – 2020 22,183
Programme in
India. 2018 – 2019 24,971

Top
international scholarship are also awarded.
Like MBA at Stanford University etc.

XX. Investments in fixed assets

a. Has the company purchased any fixed assets during the last
2 years? If so, how much?

Yes, the company purchased fixed assets during the past 2

years .

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Year Value of assets

Sold ( inr crores)
2019 - 2020 15
2018 - 2019 103

b.Has the company sold any fixed assets during the last 2
years? If so, how much?

Yes , the company sold fixed assets in past two years.

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Financing Decisions

1. Current Face Value of the equity share:

Rs 10 is the current face value of the share

2. How many shares does the company have?

The company has 6,33,92,67,510 of equity shares that are fully
Paid up

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What is the percentage of shareholding held by promoters of the
company?
50.07% is the percentage of shareholding held by the companies
As of march 2020

3. Does the company have any preference shares?

No, but it has authorization to issue 14,00,00,00,000

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4. Did the company change its face value at any time (Stock Splits):

No, the company does not changed its face value at any time.

5. Did the company go in for rights issue?

Yes, the company gone in for rights issue.

6. Details on right issue:

The last rights shares that Reliance Industries had issued was in 2020 in the ratio of
1:15 at a premium of Rs 1,247.00 per share. The share has been quoting ex-rights from
May 13, 2020.

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7. Does the company currently have any long term borrowings?

Yes, the company as of 31st March 2020 has long term borrowings

8. If yes, how much are the long term borrowings in the last 2 years?

Year Value of borrowing

₹ ( crores)
31st march 2020 178,751.00
31st march 2019 118,098.00

9. Has it increased/decreased/remained the same?

It has increased by ₹ 60,653 crores

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10. Is it a debt-free company ?

Reliance industries ltd it is not gross net free But it is net debt free
The difference between gross debt and net debt is Gross debt refers to
all debt outstanding in a firm. Net debt is the difference between gross
debt and the cash balance of the firm.

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11. What are the short-term borrowings of the company in the last 3
years?
Year ending Value of short term
Borrowing ( ₹ crores)
31st march 2020 51,276
31st march 2019 39,097
31st march 2018 15,239

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12. Calculate the current working capital of company:

Working capital = total current assets – total current liabilities

= 166,597 – 310,183

= - 143,586 ( ₹ crores)

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Dividend Decisions

1. Percentage and amount of last dividend declared

Year Announcement Type of Dividend Dividend

date dividend percentage amount ( ₹ per
share)

Current 30-04-2020 Final 65.00 6.5

year

2019 18-04-2019 Final 65.00 6.5

2018 27-04-2018 Final 60.00 6.0

2017 25-04-2017 Final 110.00 11.0

2016 08-03-2016 Interim 105.00 10.5

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2. Have bonus shares been issued by the company?
Yes, the company issued bonus share.

3. If yes, Bonus history

Announcement date Bonus ratio
21-07-2017 1:1
07-10-2009 1:1
13-09-1997 1:1
28-10-1983 3.5

4. Is there is any year when dividend was not declared by the

company ?
No, From, 2001 to current year the company has declared dividend
consistently

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Conclusion:
As of now Reliance Industries Limited is India’s most profitable
company considering all the aspects the growth of Reliance Industries was
Enormous. Every person in India consumes or uses the product of reliance
directly or indirectly. There innovation in telecom industry made India
ranking 2nd in internet users through there telecom company jio.
There part in retail industry of the country is huge. Recently there
Acquisition on future retail(big bazzar) which Amazon has planned to
takeover . Reliance retail industry made a bid around 25,000 crores.
Finally the prove there motto ‘ GROWTH IS LIFE’.