Reliance Industries : Q4 (FY 2018-19) Financial and Operational Performance of Reliance Jio Infocomm Limited (RJIL)

Media Release

Mumbai, 18th April 2019

SUBSCRIBER BASE CROSSES 300 MILLION

FASTEST OPERATOR GLOBALLY TO REACH THIS MILESTONE

STRONG FINANCIAL PERFORMANCE

OPERATING REVENUE FOR FY 18-19 AT ₹ 38,838 CRORES

INDUSTRY LEADING EBITDA MARGIN OF 38.9%

CUSTOMER ENGAGEMENT METRICS CONTINUE TO INCREASE

10.9GB/ USER/ MONTH AND 823 MINUTES OF VOLTE VOICE/ USER/ MONTH

TRANSFER OF FIBER & TOWER UNDERTAKINGS TO INVIT

CONTROLLED SPVS COMPLETED

LIABILITY REDUCTION OF ~ ₹ 1,07,000 CRORE FROM RJIL

IN ADDITION, ~ ₹ 78,000 CRORE OF PREFERENCE SHARES (MARKETABLE

SECURITIES) ISSUED TO RIL

HIGHLIGHTS OF QUARTER'S (Q4 - FY 2018-19) PERFORMANCE

	Standalone Financials			4Q' 18-19			3Q' 18-19			4Q' 17-18			QoQ			YoY
	(₹ crore)												Growth			Growth
	Value of Services		13,062			12,252			8,404			6.6%			55.4%
	Operating revenue		11,106			10,383			7,128			7.0%			55.8%
	EBITDA		4,329			4,053			2,694			6.8%			60.7%
	EBITDA margin		39.0%			39.0%			37.8%				-5 bps			118 bps
	EBIT		2,585			2,369			1,495			9.1%			72.9%
	Net Profit		840			831			510			1.1%			64.7%

➢Standalone revenue from operations of ₹ 11,106 crore (7.0% QoQ growth)

➢Standalone EBITDA of ₹ 4,329 crore (6.8% QoQ growth) and EBITDA margin of 39.0%

➢Standalone Net Profit of ₹ 840 crore

➢Subscriber base as on 31st Mar-19 of 306.7 million

➢Lowest churn in the industry at 0.75% per month

➢ARPU during the quarter of ₹ 126.2 per subscriber per month

➢Total wireless data traffic during the quarter of 956 crore GB

➢Total voice traffic during the quarter of 72,414 crore minutes

Registered Office:	Corporate Communications	Telephone	:	([phone]
Office 101, Saffron, Nr. Centre	Maker Chambers IV
Point Panchwati 5 Rasta,	9th Floor, 222, Nariman Point	CIN	:	U72900GJ2007PLC105869
Ambawadi, Ahmedabad-380 006	Mumbai 400 021, India	Website	:www.jio.comandwww.ril.com
Gujarat, India

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Media Release

HIGHLIGHTS OF FY 2018-19 PERFORMANCE

	Standalone Financials			FY 2018-19			FY 2017-18			YoY Growth
	(₹ crore)
	Value of Services		45,782			23,714			93.1%
	Operating revenue		38,838			20,154			92.7%
	EBITDA		15,102			6,734			124.3%
	EBITDA margin		38.9%			33.4%				547 bps
	EBIT		8,704			3,158			175.6%
	Net Profit		2,964			723			310.0%

Commenting on the results, Shri Mukesh D. Ambani, Chairman and Managing Director, Reliance Industries Limited said: "We at Jio are truly overwhelmed and proud to now serve over 300 million subscribers. Growth in data and voice traffic at this scale has been unparalleled. Jio's network is one of the largest mobile data networks in the world carrying over 3 Exabytes of data every month at unmatched download speeds. Jio 4G LTE network would soon cover every district, taluk, gram panchayat and village of India with targeted population coverage of 99%. Our constant endeavour is to offer gold standard digital experience to all our users across the country.

After successful execution of mobility business, Jio is now focused on catapulting India's underserved Home & Enterprise connectivity market to global standards with its next generation FTTX services. Jio mobility services along with Gigafiber fixed-broadband services and associated technology platforms have been designed to transform India with the power of Digital Revolution and reinvent Reliance as a Technology Platform Company."

Industry leading Customer Engagement

▪Subscriber growth has remained steady with net addition during the quarter of 26.6 million

▪Gross adds at 33.2 million inched up after modest disruption in previous quarter due to transition to the new KYC process. Monthly churn rate stayed much below industry average at 0.75% per month

▪Customer engagement was healthy with average data consumption per user per month of 10.9 GB and average voice consumption of 823 minutes per user per month

▪Video consumption drove most of the usage, increasing to over 500 crore hours per month

▪JioPhone Monsoon Hungama offer (by Reliance Retail) with enriched app store has continued to drive first time data users to Jio network

Registered Office:	Corporate Communications	Telephone	:	([phone]
Office 101, Saffron, Nr. Centre	Maker Chambers IV
Point Panchwati 5 Rasta,	9th Floor, 222, Nariman Point	CIN	:	U72900GJ2007PLC105869
Ambawadi, Ahmedabad-380 006	Mumbai 400 021, India	Website	:www.jio.comandwww.ril.com
Gujarat, India

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Media Release

Best-in-class Network

▪Jio is committed to achieve all-IP 4G LTE network population coverage of 99% shortly

▪Jio continues to build data capacity in line with increasing demand, and is the only network to deploy tri-band (850MHz/ 1800MHz/ 2300MHz) 4G across all its network sites

▪World's largest VOLTE network witnessed ~95% YoY growth in daily voice traffic, with best- in-class network experience (lowest call drop rate at 0.1%)

▪Ranked fastest network over last 25 months consecutively by TRAI's MySpeed Analytics app (average download speed of 20.9 Mbps during February 2019, as per TRAI)

Transfer of Fibre and Tower Undertakings to SPVs Controlled by InvIT

▪Transfer of RJIL fibre and tower undertaking to separate companies, through NCLT approved Composite Scheme of Arrangement, was completed with effect from 31st March 2019

▪RJIL has entered into long-term usage agreements as anchor tenant for these assets

▪SEBI registered Infrastructure Investment Trusts (Digital Fibre Infrastructure Trust and Tower Infrastructure Trust) under the SEBI (Infrastructure Investment Trusts) Regulations, 2014, have acquired 51% equity stake in these two entities, respectively

▪This transaction has led to deleveraging of RJIL balance sheet; future capex on passive infrastructure assets would be undertaken by the two entities

▪Liabilities reduction of ~₹ 107,000 crore from RJIL

FTTH and Enterprise Services

▪JioGigaFiber services for Home broadband, Entertainment, Smart Home Solutions, Wireline and Enterprise being rolled out across 1,600 cities

▪Post completion of the acquisitions of Den Networks Limited and Hathway Cable and Datacom Limited (now majority owned by RIL Group after the open offer process completed in Q4 FY2018-19), the go-to-market strategy is being optimised with successful test results from beta trials across the country

Largest Distribution and Service Network

▪Pan-Indiadistribution channel with over 1 million retailers for customer acquisition and selling prepaid recharges

▪Efficient sales channel with simplified tariff structure continues to deliver with monthly gross subscriber additions at more than ~11 million during the quarter

Registered Office:	Corporate Communications	Telephone	:	([phone]
Office 101, Saffron, Nr. Centre	Maker Chambers IV
Point Panchwati 5 Rasta,	9th Floor, 222, Nariman Point	CIN	:	U72900GJ2007PLC105869
Ambawadi, Ahmedabad-380 006	Mumbai 400 021, India	Website	:www.jio.comandwww.ril.com
Gujarat, India

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Media Release

Strong Financial Performance

▪Strong financial performance led by sustained subscriber growth and industry leading customer engagement

▪Growth to market leadership (in terms of Adjusted Gross Revenue share at 37.8% as of QE Dec-18 Financial data published by TRAI) over the past seven quarters

▪Quarterly operating revenue has crossed ₹ 11,000 crore in less than two years of commercial operations

▪Robust operational efficiency is reflected in industry leading EBITDA margin of 39% which has driven EBITDA to ₹ 4,329 crore during the quarter

Registered Office:	Corporate Communications	Telephone	:	([phone]
Office 101, Saffron, Nr. Centre	Maker Chambers IV
Point Panchwati 5 Rasta,	9th Floor, 222, Nariman Point	CIN	:	U72900GJ2007PLC105869
Ambawadi, Ahmedabad-380 006	Mumbai 400 021, India	Website	:www.jio.comandwww.ril.com
Gujarat, India

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Media Release

RELIANCE JIO INFOCOMM LIMITED

STANDALONE FINANCIAL RESULTS FOR QUARTER/ YEAR ENDED 31ST MARCH 2019

(₹ in crore, except per share data)

		Quarter Ended			Year ended
			(Unaudited)		(Audited)
Particulars
	31st Mar'19		31st Dec'18	31st Mar'18	31st Mar'19	31st Mar'18
INCOME
Value of Services	13,062		12,252	8,404	45,782	23,714
Service Tax/GST Recovered	(1,956)		(1,869)	(1,276)	(6,944)	(3,560)
Revenue From Operations	11,106		10,383	7,128	38,838	20,154
Other Income	3		1	1	6	4
Total Income	11,109		10,384	7,129	38,844	20,158
EXPENSES
Network Operating Expenses	3,401		3,190	1,812	11,338	4,921
Access Charges (Net)	1,099		1,005	1,066	4,207	4,287
License Fees/Spectrum Charges	1,180		1,136	745	4,159	1,767
Employee Benefits Expense	458		426	325	1,658	963
Finance Costs	1,294		1,091	711	4,148	2,049
Depreciation and Amortisation Expense	1,744		1,684	1,199	6,398	3,577
Selling and Distribution Expenses	329		296	246	1,150	797
Other Expenses	313		278	241	1,230	688
Total Expenses	9,818		9,106	6,345	34,288	19,049
Profit Before Tax	1,291		1,278	784	4,556	1,109
Tax Expenses
Current Tax	278		276	165	982	234
Deferred Tax	173		171	109	610	152
Net Profit for the period/year	840		831	510	2,964	723
Other Comprehensive Income
(i) Items that will not be reclassified to profit or
loss	10		(12)	8	6	8
(ii) Income tax relating to items that will not be
reclassified to profit or loss	(3)		4	(3)	(2)	(3)
Total Other Comprehensive Income/(Loss) for
the period/year (Net of Tax)	7		(8)	5	4	5
Total Comprehensive Income for the
period/year	847		823	515	2,968	728
Earnings per Equity share of face value of ₹10/-
each - Not annualised
Basic (in ₹)	0.19		0.18	0.11	0.66	0.16
Diluted (in ₹)	0.08		0.08	0.05	0.27	0.07
Paid up Equity Share Capital, Equity Shares of
₹ 10/- each	45,000		45,000	45,000	45,000	45,000
Other Equity	(4,600)		60,054	57,933	(4,600)	57,933
Net Worth	40,400		1,05,054	1,02,933	40,400	1,02,933
Paid-up Debt Capital	76,212		90,665	58,392	76,212	58,392
Debenture Redemption Reserve (Refer Note 7)	-		-	-	-	-
Debt Equity Ratio (Refer Note 8)	1.89		0.86	0.57	1.89	0.57
Debt Service Coverage Ratio (Refer Note 8)	1.66		0.62	1.65	0.56	0.59
Interest Service Coverage Ratio (Refer Note 8)	2.00		2.17	2.10	2.10	1.54

Registered Office:	Corporate Communications	Telephone	:	([phone]
Office 101, Saffron, Nr. Centre	Maker Chambers IV
Point Panchwati 5 Rasta,	9th Floor, 222, Nariman Point	CIN	:	U72900GJ2007PLC105869
Ambawadi, Ahmedabad-380 006	Mumbai 400 021, India	Website	:www.jio.comandwww.ril.com
Gujarat, India

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