Oil-to-telecom conglomerate Reliance Industries Ltd (RIL) on 31 July 2018 surpassed India’s biggest software services firm Tata Consultancy Services Ltd (TCS) to become the country’s most valued firm in terms of market capitalization—a first since April.
Data from the BSE showed RIL has a market cap of ₹ 7.51 trillion after its shares rose 3.1% on the BSE to record high of ₹ 1,185.85. TCS, which closed 0.19% lower at ₹ 1,941.25 per share, was valued at ₹ 7.43 trillion. The surge in RIL share price follows its Q1 results where its standalone net profit increased 18% to ₹ 9,459 crores. TCS, on its part, reported quarterly revenues of over $5 billion for the first time in Q1.
RIL shares have beaten the market by a wide margin in the past two months on expectations of a regulatory boost for its refining business and excitement about revenue accretion from its telecom subsidiary Reliance Jio’s non-mobile businesses. TCS on 10 July reported a 24% profit rise, the fastest pace in two years, to ₹ 7,340 crore due to robust growth in banking, financial services and insurance and the North American operations. Revenue grew 16% to ₹ 34,261 crore.