Reliance Industries Ltd (RIL) warned in its annual report that continuing geopolitical and tariff-related uncertainties could disrupt trade flows and the demand-supply balance in its oil-to-chemicals business.
The company said crude prices will remain volatile amid evolving sanctions, changing tariff regimes and output decisions by OPEC and non-OPEC members. However, oil demand is likely to maintain growth despite growing electric vehicle (EV) adoption, amid strong economic growth, China stimulus measures and possible easing of geopolitical tensions.
In its 2025 oil outlook, RIL said the ramp-up of new refineries may lead to weaker product cracks. "However, expected closures could create upside potential for refining margins. Fuel demand in India is expected to remain healthy with increasing economic activity," the company said.
"Demand for downstream chemical products in India is expected to grow ahead of the GDP growth rate, driven by demand from infrastructure, packaging, automobiles and agriculture," RIL added.
RIL said it maintains a robust liquidity management framework to "ensure financial flexibility and resilience in all market conditions". The company said it leveraged a diverse funding strategy and efficiently managed working capital. "RIL’s surplus funds were deployed in stable yield instruments, insulated from unfavourable market movements to ensure immediate access to liquidity," it said.
RIL said that despite a volatile environment, it successfully executed a multi-currency, multi-instrument financing strategy, achieving an optimal capital structure at competitive costs. The proceeds were primarily utilised to fund green capital expenditures and to refinance upcoming debt maturities, it said.
RIL said it remains on track to become net carbon zero by 2035 and is progressing rapidly to set up a 30 GWh modular battery gigafactory for cells, packs, containerised BESS (battery energy storage system), and the backward integration into battery materials.
Disclaimer: Moneycontrol is part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.
