MUMBAI, July 21: Reliance Industries Ltd (RIL), the largest company in the private sector, has created several new records in its performance during the quarter (Q1) ended June 1998. It has earned a net profit of Rs 441 crore against Rs 375 crore for the same period in the previous quarter, an increase of 18 per cent.Sales for the quarter amounted to Rs 3,645 crore against Rs 2,659 crore, an increase of 37 per cent. The operating profit for the quarter increased by 34 per cent to Rs 804 crore against Rs 603 crore previously. The cash profit increased to Rs 636 crore against Rs 504 crore, an increase of 27 per cent.Other income increased 11 per cent to Rs 91 crore (Rs 82 crore) owing to higher interest income from larger cash balances and investments. The 70 per cent increase in interest expense to Rs 168 crore (Rs 99 crore), reflects the impact of lower capitalisation of interest, consequent upon all the plants at Hazira having been commisioned. This has also resulted in a 51 per cent increase indepreciation at Rs 195 crore (Rs 129 crore). The provision for taxation will be made at the end of the year. The earnings per share (EPS) for the quarter is Rs 4.7 and the cash earning per share works out to Rs 6.8 on an equity share capital of Rs 934 crore.Anil D Ambani, Managing Director, RIL said, "We are enthused with Reliance's encouraging performance in the backdrop of weak economic conditions in Asia, which led to lower product selling prices and placed considerable pressure on margins. The strong volume growth, a higher degree of integration and value addition, soft trends in feedstock costs and the continued focus on costs productivity and efficiencies, contributed to stability of operating margins for Reliance." He said the company's contribution to the national exchequer in the form of various taxes increased by 16 per cent to Rs 707 crore. RIL's production increased from 1.05 million tonnes for the first quarter of 1997-98 to over 1.70 million tonnes, representing a 63 per cent growth.Thetotal exports including deemed exports increased by nearly four times to Rs 170 crore against Rs 36 crore, placing RIL amongst the top 10 manufacturer exporters in India.
