KG-D6 Block Achieved the Milestone of Over 10 Reliance’S Position As Continued to Decline During Million Square Feet of Retail Space a Leading Large-Scale, the Year
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ANNUAL REPORT 2013-14 Reliance Industries Reliance Limited GROWTH IS Growth is Life... ANNUAL REPORT [[email protected]] 2013-14 Growth is Energy l Growth is Value Growth is Happiness l Growth is Life... creative consultants - aicl consultants creative Reliance Foundation Growth is Energy Reliance Foundation (RF) Growth is Value focuses on five core pillars of rural transformation, education, Growth is Happiness health, urban renewal and arts, culture & heritage. RF has a comprehensive approach Growth is Life... towards development with an overall aim to create and support meaningful and innovative activities that address some of India’s most pressing developmental challenges. l RF BIJ (Bharat India Jodo) Hindi newspaper in Braille. Over programme supports the top programme supports small and 3,500 visually impaired benefit scoring Higher Secondary Late Shri Dhirubhai Ambani marginal farmers. So far, the from this fortnightly circulation. students from financially weak Founder Chairman programme has catalysed the backgrounds and physically formation of farmers’ institutions l Sir HN Reliance Foundation challenged students from across in more than 400 villages and Hospital and Research Centre is all states and union territories has engaged with over 2,00,000 being revamped into a 19-storey, of India to pursue education at rowth, in all its facets, has Strategy at Reliance is about We are helping the country meet villagers. The programme has 800,000 square feet world-class college level. been a distinguishing factor making prudent choices, its growing energy demand in improved the nutritional intake tertiary health care facility. at Reliance, ever since our balancing risks and return, building a safe and responsible manner, of over 16,000 rural households l RF was one of the first G l ‘Health for All’ initiative was organisations to respond to inception. Our philosophy envisions competitive advantages and creating value for society through through Reliance Nutrition launched under an outreach growth as a universal concept, that envisioning the future through the our retail and telecom businesses, Gardens. the disaster in Uttarakhand programme in December represents multiple possibilities and power of innovation. widening our community and to reach out to those who 2012 to provide primary and touches all aspects of life. investments for social well-being l The Foundation’s Information were cut off post the disaster. preventive health care to the Innovation has always been a and elevating the quality of life. Services programme links Through a team of doctors and This explains why we have put cornerstone of our operations. It knowledge seekers with poor and the vulnerable using development professionals, RF in motion some of the most has enabled us to make significant Playing a role in creating a knowledge providers to provide state-of-the-art technology reached out to more than 100 ambitious plans, aligned to the technology-driven breakthroughs happy and prosperous India is need-based, locale-specific for service delivery. So far, villages. RF has also taken up needs of India as it develops into that add value to existing our mandate. Because growth is information in local languages. over 3,50,000 individuals have reconstruction of some of the a world-force. The continuing businesses, and create new ones. energy. Because growth is value. The programme has reached enrolled under the family health affected schools and building expansion of our key business We are partnering with leading Because growth is happiness. out to over 5,000 villages. card scheme and nearly 52,600 shelters in Uttarakhand. verticals places us at a vantage global institutions renowned patients (of which 72% are point with reference to the for excellence to strengthen our Because Growth is Life... l More than 12,800 cornea women and children). l RF partnered with the National aspirations of India. experience and expertise. transplants have been Basketball Association (NBA) undertaken under Reliance l Dhirubhai Ambani Scholarship to establish a comprehensive, We have taken strategic decisions From the manufacturing landscape Foundation Drishti, the largest programme has positively school-based youth basketball in key areas that will drive our to high-growth consumer service corporate-run cornea transplant influenced the lives of more than programme in India. The growth and also create better sectors, Reliance is making progress drive. The initiative also launched 10,000 young scholars and their programme seeks to reach one outcomes for our youthful nation. possible each day. India’s first registered national families so far. The scholarship million youth in three years. Inside this Report View the Annual Report online at www.ril.com/ar13-14 Letter to Shareholders Growth is Energy Growth is Value 04 10 12 "RIL has always prided itself in At RIL, world-class assets set RIL has consistently created investing and contributing to global benchmarks and help stakeholders value through a India’s economic growth." meet India's growing energy focus on operating sustainably needs. and profitably. Management's Discussion Growth is Happiness Review of Operations and Analysis 14 16 46 At RIL, sustainable business During FY 2013-14, RIL's businesses Read a comprehensive transformation is achieved by have delivered industry leading review of RIL's operations enhancing profits, empowering performances that have set the across businesses. people and protecting the planet. foundation for future growth. Company 02 Reliance at a Glance Financial 165 Independent Auditors’ Report on Overview 03 Key Performance Indicators Statements Financial Statements 04 Letter to Shareholders 168 Balance Sheet 08 The Board of Directors 169 Statement of Profit and Loss 10 Growth is Energy 170 Cash Flow Statement Standalone 12 Growth is Value 172 Significant Accounting Policies 14 Growth is Happiness 176 Notes on Financial Statements 16 Review of Operations 24 Awards and Recognitions 219 Independent Auditors’ Report on Consolidated 25 Company Information Financial Statements 26 Major Products and Brands 220 Consolidated Balance Sheet 32 Product Flow Chart 221 Consolidated Statement of Profit and Loss 33 Financial Highlights 222 Consolidated Cash Flow Statement 224 Significant Accounting Policies on Consolidated Statutory 34 Notice of Annual General Meeting Consolidated Accounts Reports 46 Management’s Discussion and 225 Notes on Consolidated Financial Statements Analysis 267 Financial Information of Subsidiary Companies 88 Business Responsibility Report 100 Report on Corporate Social Responsibility 110 Corporate Governance Report 138 Auditors’ Certificate on Corporate Shareholders 271 Shareholders’ Referencer Governance Information Members Feedback Form 146 Secretarial Audit Report Attendance Slip and Proxy Form 148 Directors’ Report 02-33 34-164 165-270 271-284 Reliance Industries Limited 2 Annual Report 2013-14 Growth is Life... Company Overview Statutory Reports Financial Statements Shareholders’ Referencer 3 Night view of Jamnagar Refinery Reliance at a Glance Reliance Industries Limited (RIL) is India’s largest private sector company with businesses across the energy and materials value chain and a strong presence in the rapidly expanding retail and telecommunication sectors. RIL is the first private sector company from India to feature in Fortune Global 500 list of ‘World’s Largest Corporations’ for the last ten consecutive years. RIL ranked 107th in terms of revenues and 128 th in terms of profits in 2013. RIL's international debt is rated by Moody’s at investment grade Baa2, with ‘positive’ outlook and by S&P at BBB+ with a ‘negative’ outlook, which are one notch and two notches above India’s sovereign rating, respectively. $ 67.0 billion 5th 8th (` 4,01,302 crore) Largest producer of Paraxylene (PX) Largest producer of Mono Annual revenue and Polypropylene (PP), globally Ethylene Glycol (MEG), globally $ 3.7 billion 9th 1,691 (` 21,984 crore) Largest producer of Purified Retail stores across India Net profit Terephthalic Acid (PTA), globally 80+ 4G 12 Major products and brands across Setting up pan India telecom Conventional E&P blocks – energy and service sectors network to provide high speed 9 domestic, 3 international; 2 CBM internet and digital services blocks in India, 3 JVs in US Shale Largest Refining complex globally – Producer of polyester fibre and Retailer in India by revenue 1.4 MMBPD of crude processing yarn, globally (Reliance Retail) at a single location 02-33 34-164 165-270 271-284 Reliance Industries Limited 2 Annual Report 2013-14 Growth is Life... Company Overview Statutory Reports Financial Statements Shareholders’ Referencer 3 Night view of Jamnagar Refinery Key Performance Indicators Turnover (` crore) Profit After Tax (` crore) 8.1% (year-on-year) 4.7% (year-on-year) 13-14 4,01,302 13-14 21,984 12-13 3,71,119 12-13 21,003 11-12 3,39,792 11-12 20,040 10-11 2,58,651 10-11 20,286 09-10 2,00,400 09-10 16,236 Networth (` crore) Market Capitalisation (` crore) 9.5% (year-on-year) 20.3% (year-on-year) 13-14 1,97,074 13-14 3,00,405 12-13 1,79,995 12-13 2,49,802 11-12 1,66,096 11-12 2,44,757 10-11 1,51,540 10-11 3,42,984 09-10 1,37,171 09-10 3,51,320 Earnings per Share* (`) Book Value per Share (`) 4.9% (year-on-year) 9.4% (year-on-year) 13-14 68.0 13-14 609.8 12-13 64.8 12-13 557.5 11-12 61.2 11-12 507.3 10-11 62.0 10-11 463.2 09-10 49.7 09-10 419.5 Dividend per Share (`) 5.6% (year-on-year) Debt Equity Ratio 13-14 9.5 13-14 0.45 12-13 9.0 12-13 0.40 11-12 8.5 11-12 0.41 10-11 8.0 10-11 0.44 09-10 7.0 09-10 0.46 1 crore = 10 million All figures for RIL Standalone * Normalised on account of issue of bonus shares in the ratio of 1:1 in 2009-10 02-33 34-164 165-270 271-284 Reliance Industries Limited 4 Annual Report 2013-14 Growth is Life..