Reliance Industries Ltd (RIL) had reported a premium of $3.1 per barrel over the Singapore gross refining margin (GRM) for the March quarter. On the contrary, RIL’s GRM in the June quarter came in at $11.5 per barrel. Most analysts had estimated its gross refining margins to be $9.5-10 per barrel; on the contrary, RIL’s margins in the June quarter came in at $11.5 per barrelEven as Reliance Industries delivered a great beat in the June quarter, the pertinent questions are whether that will sustain. In the near term, what is worrisome is that Singapore refining margins have hardly improved. Nonetheless, the fact remains that a strong performance by the refining segment did help the company beat analysts’ estimates by a good margin.

Source: Mint July 15, 2016 19:30 UTC