Reliance Jio likely to witness limited lockdown impact: Report

by IANS |

Mumbai, April 1 (IANS) Reliance Jio is likely to witness limited impact due to the ongoing 21-day nationwide lockdown, according to a report by Motilal Oswal.

"The lockdown should have limited impact on RJio as telecom companies are expected to see recharge upgrades given the increase in data consumption," it said.

While this may partly be impacted by low number of new subscribers and physical store recharges, it would be cushioned by increase in digital recharges, it added.

"Our FY21/FY22E revenue growth estimates (49 per cent/14 per cent) could see an upward revision as there is an increase in noise around the next round of price hikes to improve industry health. For FY21/FY22E, we estimate subscribers at 469m/483m and ARPUs of Rs 158/Rs 163."

On Reliance Retail, the report said that the potential revenue loss due to the shutdown of Reliance's Retail network, except grocery, given the lockdown in India, is estimated at 50 per cent in the first quarter of FY2021. Recovery is expected to be slow, it added

For the core business of Reliance Industries (RIL), the brokerage house revised down RIL's refinery throughput and petrochemical sales to factor in the COVID-19 lockdown.

The demand for both air and road transportation fuels has been drastically affected, leading to fall in cracks of ATF, petrol and diesel, it said.

Latest News
Sensex crosses 74K mark in 1000 points rally Thu, Mar 28, 2024, 03:42 PM
Man stabbed to death during fight over drinking water Thu, Mar 28, 2024, 03:41 PM
Actor Mukesh, BJP candidate Ashwini file nominations in Kerala Thu, Mar 28, 2024, 03:22 PM
Gillespie resigns from his role as South Australia, Adelaide strikers' head coach Thu, Mar 28, 2024, 03:15 PM
'No scope for individuality in party', Karnataka DyCM Shivakumar warns warring leaders Thu, Mar 28, 2024, 03:10 PM
Ukrainian FM arrives in India to build on talks between PM Modi, Volodymyr Zelenskyy Thu, Mar 28, 2024, 03:02 PM
Political conspiracy, claims Kejriwal while being taken to Rouse Avenue Court Thu, Mar 28, 2024, 02:47 PM
NXP Semiconductors unveils industry-first platform for software-defined vehicles Thu, Mar 28, 2024, 02:41 PM
CM Vijayan & CPI(M) tread cautiously after ED case against Veena Vijayan Thu, Mar 28, 2024, 02:37 PM
IPL 2024: 'They opened for Australia...', says Ganguly on DC's opting for Warner, Marsh as opening pair vs PBKS Thu, Mar 28, 2024, 02:28 PM
India's trade policy is calibrated with economic growth path: Piyush Goyal Thu, Mar 28, 2024, 02:17 PM
Holi brings cheer to UP excise dept as sales soar Thu, Mar 28, 2024, 02:11 PM
Punjab CM Bhagwant Mann blessed with baby girl Thu, Mar 28, 2024, 02:10 PM
New AI tool can predict fatal heart rhythm with 80 pc accuracy Thu, Mar 28, 2024, 12:41 PM
IPL 2024: 'Perplexed, beyond my understanding', Smith, Pathan slam Hardik's tactics of using Bumrah vs SRH Thu, Mar 28, 2024, 12:27 PM