Shares of Reliance Industries today rose by 2 per cent even as the company reported drop in quarterly net profit, hurt by weak demand and lower natural gas output.
After opening the trade on a strong note, the RIL scrip further rose by 2 per cent to Rs 840 on the BSE.
On the NSE too, it was up 2 per cent to Rs 839.95.
Later, however, some profit-booking emerged and the scrip was trading marginally down from yesterday’s close.
“RIL’s net sales were lower than our expectations, while net profit was above our estimates on account of higher-than-expected other income,” Angel Broking said in a report.
Reliance Industries yesterday reported its fourth consecutive drop in quarterly net profit, hurt by weak demand and lower natural gas output, but sequentially its earnings had rebounded.
RIL said its July-September net profit at Rs 5,376 crore, fell 5.7 per cent from Rs 5,703 crore in the previous year.
Sequentially, however, the net profit was up 20 per cent from Rs 4,473 crore in the first quarter (April—June) of the current fiscal. Also, profits before tax were up 25 per cent on a sequential basis at Rs 6,803 crore.
RIL’s sales rose 15 per cent to Rs 90,335 crore.
In the broader market, the BSE 30—stock index, Sensex, was trading at 18,739.96, up 26.02 points at 11.00 a.m.