‘RLIANCE O2C is a strong profitability; Limited Russian crude effect: Geoffrez; Maintains a “purchase” call

Jeffrez said in a new report (Ril) ‘RILIANCE Industries’ (RIL) is still elastic oil (O2C) with profitability in the first half of the fiscal year 26 tracked 15 % on an annual basis. The mediation attributed the power of fixed demand on automatic fuel, especially diesel, and expected to grow from two numbers in the unified Ebitda for FY26.

Jefferies maintained its “purchase” classification on RIL with the price of the price of $ 1,670, which means that there are 22 % of the current levels. The company said that the arrow is trading with a discount, which provides a small value to the new energy and data companies, and expects that the EV/EBITDA double will be reversed with the improvement of the profit vision.

Regarding the concerns related to the investor about Russian crude, Jeffrez estimated the benefit of Ril by about $ 1 only a barrel in refining, translating into about $ 500 million in annual Ebitda – only 2.1 % of the expected uniform Ebitda to FY27. The report pointed out that “the Russian raw feature is manageable and is not a major engine of profitability.”

European diesel differences remained firm after the European Union banned imports of refined products made of Russian crude. With European stocks less than an average of five years, the Rellence managed to export diesel flexible to the European Union, with the help of closing the refinery tightening the width worldwide. Meanwhile, gasoline margins have been supported by stable American stocks.

Jefferies has also informed the potential organizational risks from the imminent public subscription of JIO, which could call for customs tariffs. However, with improving visibility through O2C, Telecom and retail companies, mediation expects that unified profits will grow steadily during the 28th fiscal year.

Looking at the future, Jeffrez expected that net profits would rise from 69,600 rupees in the fiscal year 25 to more than 1 crores for rupees by the 28th fiscal year, with the share profitability from $ 51.5 to $ 76.2 during the same period.