Reliance Industries Limited (RIL) led by business tycoon Mukesh Ambani has become the first company to cross the Rs.8 trillion market capitalisation in the country. The share prices of the company rose by 1.86 per cent and closed at a whopping Rs.1,269.70 on BSE which surged its market cap to Rs.8.05 trillion.
In the June quarter, the company’s revenue witnessed a 56.5 per cent increase year-on-year i.e. a Rs.1,417 billion increase. The net profit during the same quarter rose by 17.9 per cent i.e. by Rs.94.59 billion. The company’s telecom business, the broadband service – Reliance JioGigaFiber, Jio Phone 2 along with huge projects like off-gas crackers and petcoke gasification is expected to drive the company’s growth.
The shares of the company have shot up by 60 per cent in the last one year and by 38 per cent in this year alone. Chairman Mukesh Ambani, in the forty-first Annual General Meeting, stated that they aim to grow the company to double its current size by the year 2025.
While Reliance may have hit the Rs.8 trillion market cap already, Tata Consultancy Services (TCS) is not too far behind. The company is valued at Rs.7.8 trillion currently. Both, RIL and TCS, add up to 1/10th of India’s market value.
With the surge in RIL’s shares, the country’s benchmark Sensex Index grew by 0.13 per cent to 38,336.76 points. The company has also contributed significantly to Nifty’s increase by 18% over the past year.