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RIL earnings recovery to follow petchem bounce back in Q3: Analysts


RIL earnings recovery to follow petchem bounce back in Q3: Analysts
Morgan Stanley expects the upcoming earnings results to prompt an earnings upgrade cycle with chemicals in the driver s seat, before refining picks up by mid-2021
Nevin John | January 11, 2021 | Updated 23:17 IST
As oil giants struggle across geographies due to subdued demand, Reliance Industries (RIL) looks up for a bounce back in its oil and chemicals business with improved earnings from petrochemicals. Analysts expect recovery in RIL s overall earnings in the October-December quarter though refinery earnings remain flat.
RIL had invested around Rs 1 lakh crore in petrochemicals expansion until 2018. RIL wants to convert 70 per cent of its output from Jamnagar refinery and petrochemical complex to chemicals. At present, the complex produces 90 per cent fuels - primarily petrol, diesel, naphtha, kerosene and liquefied petroleum gas (LPG) - and the rest 10 per cent is chemicals. ....

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