Reliance Communications, headquartered at Navi Mumbai, India, is a premiere Indian broadband and telecommunications company. Also known as RCOM, it is the world's 15th largest mobile phone operator with more than 150 million subscribers. Established in 2003, as a subsidiary of Reliance Group, the company operates under five segments including wireless segment, broadband segment, global segment, investment segment and other segment (customer care and direct-to-home services).
Reliance Communications have a corporate clientele consisting of 2100 Indian and multinational corporations. With over 800 regional, domestic, and global carriers, it covers more than 24,000 towns and 600,000 villages. The company has, however, been saddled with a net debt of $6.4 billion as of June, which is more than five times the annual operating profit.
Dragged by the cost of its debts, RCOM has reported a larger than expected 60 per cent drop in the quarterly profit. The consolidated net profit of the company fell to 1.02 billion rupees in the financial second quarter as compared to 2.52 billion rupees in the last year. In a filing to stock exchanges, Reliance communications have reported that the finance costs have more than doubled to 5.93 billion rupees in the September quarter. The stock of RCOM is down 16 per cent this year underperforming the benchmark Mumbai index, which is up to 22 per cent.
Reliance Infra is a part of reliance group that distributes nearly 36 billion units of electricity to over 30 million consumers. The company has power stations located in Kerala, Andhra Pradesh, Maharashtra, Goa, and Andhra Pradesh that collectively generate 940 megawatt of energy. The company operates in two business segments namely; Electrical Energy & Engineering, procurement, and contracts.Reliance Infra is eyeing its Reliance Power's ultra mega power projects in order to boost its order book. The company has witnessed a decline in the segment revenues at Rs. 1800.49 crore in the quarter ending September. The company's income from the infrastructure business rose to Rs. 110.54 crore from Rs. 77.24 crore primarily due to operational eight projects. At present, the order book of Reliance Infra stands at Rs. 13910 crore with an exposure of nearly 5000 megawatts in the EPC segment.
According to Reliance Infra director and CEO Lalit Jalan, R power's two ultra mega power projects – Tilaiya and Krishnapatnam offer a huge in-house opportunity to boost the progress. RInfra has reported a 6 per cent increase in the total net profit at Rs. 382 crore in the quarter ending September.
Reliance Infrastructure Limited is a part of the Reliance Group. Reliance Infrastructure companies distributes about 36 billion units of electricity to over 30 million consumers across an area that spans over 1,24,300 square kilometers and includes India's two cities, Mumbai and Delhi. The Company generates over 940 Megawatt of electricity through its power stations located in Maharashtra, Andhra Pradesh, Kerala, Karnataka and Goa. The Company operates in two business segments: Electrical Energy and Engineering, Procurement and Contracts (EPC).
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