Reliance Jio has reported Rs. 14,835 crore revenue, up 6.2% QoQ and 26.6% YoY and a net profit of 2,331 crore, up 177.5% YoY for last quarter that ended 31st March 2020. Jio reported Standalone earnings before interest, tax, depreciation and amortisation (EBITDA) of 6,201 crore, up 10.7% QoQ, EBITDA margin of 41.8%, and Standalone earnings before interest and tax (EBIT) of 4,033 crore, up 6.0% QoQ . Consolidated value of services stood at 17,454 crore, up 6.0% over trailing quarter. It has 388 million subscribers as of 31st March 2020, with addition of 24 million during 4QFY20.
- Average revenue per user (ARPU) during the quarter – ₹130.6 per subscriber per month
- Total wireless data traffic – 1,284 crore GB ((34.3% YoY growth)
- Average voice traffic – 87,634 crore minutes (21% YoY growth), 771 minutes per user per month.
- Average data consumption per user per month – 11.3 GB
Regarding FTTH Jio said that process of converting initial test users to paid-plans and ramping up sales across 1,600 cities is underway. Average usage across the user base is multi-fold of current industry benchmarks. On the Enterprise side, Jio has signed marquee logos over the past few months and is in the process of provisioning connectivity services using its extensive fibre backbone and access to productivity suites of Microsoft.
- Reliance Industries Limited, Jio Platforms Limited and Facebook, Inc. on 22nd April 2020 announced the signing of binding agreements for an investment of ₹ 43,574 crore by Facebook into Jio Platforms. Facebook’s investment will translate into a 9.99% equity stake in Jio Platforms on a fully diluted basis.
- Of the total investment, ₹ 14,976 crore will be retained at Jio Platforms to drive future growth. RIL will redeem OCPS worth ₹ 28,598 crore.
- This transaction values Jio Platforms Ltd at post money equity value of ₹436,172 crore. This would place JPL amongst the top 5 listed companies in India by market capitalisation within just three and half years of launch of commercial services.
- This is the largest investment for a minority stake by a technology company anywhere in the world and the largest FDI in the technology sector in India.
- Concurrent with the investment, Jio Platforms, Reliance Retail Limited (“Reliance Retail”) and WhatsApp have also entered into a commercial partnership agreement to further accelerate Reliance Retail’s New Commerce business. JioMart would be integrated with WhatsApp to ensure that consumers are able to access the nearest kiranas who can provide products and services to their homes by transacting seamlessly with JioMart using WhatsApp.
Commenting on the results, Mukesh D. Ambani, Chairman and Managing Director, Reliance Industries Limited said:
We are glad that we have made connectivity and operations easier for our customers in these difficult times. Every Jio employee is trained to think Customer First and that has resulted in overwhelming customer response as we are serving close to 40 crore Indians now. Jio continues to lead the digital revolution in India and the whole-hearted acceptance of our services motivates us to keep improving every day.
Jio is embarking on the next leg of growth with a path-defining partnership with one of the world’s largest digital companies, Facebook. We are together determined to make India a truly digital society with best-in-class connectivity network complemented with disruptive digital technology platforms for entertainment, commerce, communication, finance, education and health harnessing world’s best tech capabilities. Our focus will be India’s 60 million micro, small and medium businesses, 120 million farmers, 30 million small merchants and millions of small and medium enterprises in the informal sector.