Mukesh Ambani foregoes salary until COVID-19 impact recedes

Mumbai: Reliance Industries (RIL) Chairman Mukesh Ambani has decided to forego his entire salary until the impact of the coronavirus pandemic declines.

Ambani has capped his salary at Rs 15 crore since Rs 2008-09.

“The Board approved Mukesh Ambani’s proposal to forego his entire salary until the impact of Covid-19 abates. In light of the COVID-19 outbreak in India, which has exacted a huge toll on the societal, economic and industrial health of the nation, Mukesh Ambani, Chairman and Managing Director, has voluntarily decided to forego his entire salary,” the company said in a filing.

The RIL CMD is forgoing his salary until the company and all its businesses are fully back to their earnings potential, it said.

As per the filing, the company is taking all necessary measures to optimise costs and mount an effective operational response to Covid-led exigencies.

RIL on Thursday reported a fall of 37.2 per cent in its consolidated net profit on a year-on-year (YoY) basis for the January-March quarter of financial year 2019-20, due to an exceptional item.

The consolidated net profit during the fourth quarter of FY 2019-20 declined to Rs 6,546 crore, against Rs 10,427 crore reported during the corresponding period of the previous fiscal.

RIL said: “Net Profit excluding exceptional items increased by 3.7 per cent to Rs 10,813 crore ($1.4 billion)… Net Profit including exceptional items decreased by 37.2 per cent to Rs 6,546 crore ($0.9 billion).”

According to the company, the outbreak of coronavirus (COVID-19) pandemic globally and in India has caused significant disturbance and slowdown of economic activity.