The heavy weight Reliance Industries is expected to post good profit numbers this time. The company is expected to post a profit of Rs.5700 crores in this quarter. The crucial part with the BP deal has helped the company to convert their revenues with foreign exchange coming in. As the company had been very active in the treasury markets it is expected that it would post Rs.1,000 crores as interest income.
The expected profits could result in the company posting an EPS closer to Rs.17.50 which is a slight improvement from the last earnings. With the crucial BP deal that the company concluded on August 30th and the weakening Rupee from 10th of September by more than 7% would result in the foreign exchange being converted to the Indian Rupee at this declaration. The bottom line of the company may also be blotted by the financial as well as the treasury activity the company had been involved in. At the end of the quarter the company could have cash closer to the Rs.77,000 crores which would give it a good income.
Bell the Bull says: With good earnings and the BP deal struck at the right time will result in the company making higher profits and performing wellGoogle+