Reliance Jio may roll out 4G by August, $17 billion investment in Jio, estimates Kotak Institutional Equities

Follow Us

As a significant Capex cycle ends for Reliance Industries over next 12 months, industry expert Kotak Institutional Equities calculates the return ratios of the company to surge with the increase of revenue from core businesses, particularly telecom.Reli

Reliance-jio




For the company to make faster return, Reliance may roll out 4G services as early as August 2015. This would help the Reliance to achieve the minimum roll out obligation as stated by Department of Telecom.

About $17 billion cumulative investments is estimated to be made in telecom sector by FY2017, a figure inclusive of the $13 billion in reported assets of Reliance Jio made by the company as of financial year 2015. The company possesses a $1.1 billion of liability in spectrum auction held in March 2015 along with a $3 billion incremental investment reports E.T.

Inclusive of the creditors for capital expenditure, the company has employed a consolidated capital of $69 billion as of the end of financial year 2015. ROACE (Return on Average Capital Employed) indicates a gloomy status, of seven percent.

However, the ROACE appears healthy at 13 percent, higher compared to the previous year, in case if the Work in Progress capital, $28 billion and cash investments of $14 billion are excluded from the calculations, estimated Kotak Institutional Equities.

Reported By

Reporter

An astute writer with a track record in writing and publishing content for various industries, Ria brings on board her wealth of experience in journalism and love for technology to TelecomTalk. When not writing or reading, she spends a copious amount of time daydreaming and finding obscure Japanese folklore on the internet.

Recent Comments

Shivraj Roy :

Train accident takes place* 300+ die in it But ur fav reel minister makes reels that hes working so hard…

New Aadhaar App Unveiled by Ashwini Vaishnaw

TheAndroidFreak :

Off Topic : Jio 4G at my place. Actually both speedtest hit 200Mbps before getting settled at this.

Bharti Airtel, Jio to See Revenue Growth in Q4FY25; Vodafone…

TheAndroidFreak :

Close to 3Gbps on 300Mhz bandwidth.OffTopic : Jio 5G at my place.

Bharti Airtel, Jio to See Revenue Growth in Q4FY25; Vodafone…

Load More
Subscribe
Notify of
guest
24 Comments
newest
oldest most voted
Inline Feedbacks
View all comments