Reliance Communications Ltd's Q3FY25 Quarter Results
- 07 Feb 2025
Result Summary
- Reliance Communications Ltd reported a 0.0% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Dec (Q3FY25). On a year-on-year (YoY) basis, it witnessed a decline of 7.8%.
- Its expenses for the quarter were up by 25.6% QoQ and 14.6% YoY.
- The net profit increased 4.1% QoQ and increased 15.5% YoY.
- The earnings per share (EPS) of Reliance Communications Ltd declined at 8.7 during Q3FY25.
Financial Statments for Q3FY25
| (₹ crores) | Q3FY25 | Q2FY25 | Q3FY24 | QoQ (%) | YoY (%) |
|---|---|---|---|---|---|
Total Income | 94.00 | 94.00 | 102.00 | 0.0% | -7.8% |
Total Expenses | 157.00 | 125.00 | 137.00 | 25.6% | 14.6% |
Profit Before Tax | -57.00 | -29.00 | -35.00 | 96.6% | 62.9% |
Tax | 0.00 | 0.00 | 0.00 | - | - |
Profit After Tax | -2379.00 | -2286.00 | -2060.00 | 4.1% | 15.5% |
Earnings Per Share | -8.70 | -8.30 | -7.50 | 4.8% | 16.0% |
Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results
Company Overview
Reliance Communications Ltd, commonly known as RCom, is a telecommunications company based in India. The company is part of the Reliance Group and primarily operates in the communications sector, offering a range of services including mobile telephony, broadband, and enterprise solutions. In recent years, the telecom industry in India has seen rapid changes and competitive pressures, which have affected RCom's business operations. The company has been involved in restructuring efforts to manage its debt and streamline operations. As of the latest period, any new significant developments or strategic shifts within the company are not detailed in the available data.
Revenue
In the third quarter of the fiscal year 2025, Reliance Communications Ltd reported a total income of ₹94.00 crores, which remained unchanged from the previous quarter of the same fiscal year. Comparing year-over-year figures, there was a decline in total income from ₹102.00 crores in the third quarter of the fiscal year 2024, reflecting a decrease of 7.8%. This data indicates a contraction in revenue compared to the same period last year, while quarter-over-quarter changes indicate stability in income levels.
Profitability
The financial data for the third quarter of the fiscal year 2025 shows that Reliance Communications Ltd faced challenges in profitability. The total expenses increased to ₹157.00 crores, up from ₹125.00 crores in the previous quarter, marking a quarter-over-quarter increase of 25.6%. Compared to the third quarter of fiscal year 2024, total expenses rose by 14.6%. The profit before tax was reported at a loss of ₹57.00 crores for Q3FY25, which widened from the loss of ₹29.00 crores in the previous quarter and ₹35.00 crores in the same quarter last year, showing an increase of 96.6% quarter-over-quarter and 62.9% year-over-year. The company reported a profit after tax of a loss of ₹2379.00 crores, with a quarter-over-quarter increase in the loss of 4.1% and a year-over-year increase of 15.5%. The earnings per share followed a similar trend, showing a decrease to -₹8.70 from -₹8.30 in the previous quarter and -₹7.50 in the same quarter last year.
Operating Metrics
The earnings per share (EPS) for Reliance Communications Ltd in the third quarter of the fiscal year 2025 stood at -₹8.70, a decline from -₹8.30 in the previous quarter and from -₹7.50 in the third quarter of fiscal year 2024. This indicates a 4.8% decrease quarter-over-quarter and a 16.0% decrease year-over-year. As the data indicates no taxation impact in the given period, the focus remains on operational efficiencies and cost management as reflected in the rising expenses and declining profitability. The lack of taxation impact might suggest deferred tax assets or losses carried forward, but this cannot be confirmed from the provided data alone.