Reliance Industries shares dropped more than 3% after investors were unimpressed by the company’s dismal earnings

After Reliance Industries’ June quarter earnings failed to excite investors, the company’s shares plummeted more than 3% on Monday.

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After Reliance Industries’ June quarter earnings failed to excite investors, the company’s shares plummeted more than 3% on Monday.

After a shaky start to the session, the market heavyweight stock dropped 3.31 percent to close at 2,420.15 on the BSE. It decreased 3.95 percent throughout the day to 2.403.995 per share.

It decreased by 3.42 percent to close at 2.417.30 per share on the NSE.

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On the BSE, the company’s market value decreased by 55,981.5 crore to 16,37,264.23 crore.

The benchmark indices also declined as a result of the decline in Reliance Industries shares.

The NSE Nifty fell 88.45 points or 0.53 percent to 16,631 points, while the 30-share BSE benchmark finished 306.01 points or 0.55 percent lower at 55,766.22 points.

4.66 lakh shares of the company were traded on the BSE and more than one crore shares were exchanged on the NSE throughout the day, both in terms of trading volume.

Reliance Industries announced on Friday that its June quarter net profit had increased by 46% as a result of strong profits from oil refining as well as growth in the telecom and retail sectors.

“RIL’s results, though impressive on the telecom and retail front, fell slightly below expectations in the refining space,” V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said.

The oil-to-retail-to-telecom conglomerate’s consolidated net profit for April through June was $17,955 billion, or $26.54 per share, up from $12,273 billion, or 18.96 per share, a year earlier.

Sequentially, net profit increased by 11%, but it fell short of analyst expectations since they assumed the company would have purchased Russian crude at the greatest discount and exported all gasoline when margins were at their highest.

“Nifty opened gap down dragged by index heavyweight Reliance after it reported below expected Q1 FY23 earnings,” Siddhartha Khemka, Head – Retail Research at Motilal Oswal Financial Services Ltd, said.