This article first appeared on GuruFocus .
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Net Sales:INR3,614 crores for the quarter, up 15% from INR3,132 crores in the previous quarter; 11% year-on-year increase from INR3,261 crores.
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EBITDA:INR670 crores for the quarter, a 25% increase from INR536 crores in the previous quarter; 9% decrease year-on-year from INR736 crores.
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EBITDA Margin:18.5% for the quarter, compared to 17.1% in the previous quarter and 22.5% year-on-year.
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Profit After Tax:INR345 crores for the quarter, up 91% from INR181 crores in the previous quarter; 17% decrease year-on-year from INR412 crores.
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Earnings Per Share (EPS):INR44.50 for the quarter; INR133.70 for the year, up from INR110.1.
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Dividend:Proposed INR20 per share, subject to shareholder approval.
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Gross Debt:INR5,136 crores as of March 31.
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Net Cash:INR1,765 crores as of March 31.
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Net Debt:INR3,370 crores as of March 31.
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Net Debt to EBITDA:1.45.
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Net Debt to Equity:0.48.
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Equity:INR6,961 crores.
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Release Date: May 25, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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Net sales increased by 15% quarter-on-quarter and 11% year-on-year, indicating strong revenue growth.
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EBITDA for the quarter rose by 25% compared to the previous quarter, showing improved operational efficiency.
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Profit after tax for the quarter increased by 91% compared to the previous quarter, reflecting strong profitability.
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The company commissioned a greenfield expansion in Bihar, adding significant capacity to its operations.
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The Board of Directors proposed a dividend of INR20 per share, indicating confidence in the company's financial health.
Negative Points
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EBITDA was lower by 9% year-on-year, suggesting some challenges in maintaining previous year's profitability levels.
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Employee expenses grew by 25% year-on-year, partly due to new plant commissioning, impacting overall cost structure.
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Incentive income was lower than expected due to changes in GST and inability to claim certain incentives.
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The geopolitical situation has impacted white cement supply from UAE, potentially affecting market dynamics.
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The company faces increased competition in Central India, which could pressure margins and market share.
Q & A Highlights
Q: Can you explain the significant increase in employee expenses this quarter? A: Ajay Saraogi, CFO, explained that the increase is due to the commissioning of new plants, which shifted salaries from capitalized to revenue expenses. Additional manpower requirements, normal increments, and a one-time liability for leave travel assistance also contributed to the rise.
Q: What is the outlook for white cement volumes given the geopolitical situation affecting UAE plants? A: Ajay Saraogi, CFO, stated that domestic production will meet demand, and they have adjusted logistics to ensure no market loss. Prices have been increased to offset rising input costs.
Q: What is the CapEx guidance for FY27 and FY28? A: Prashant Seth, President of Business Information and Investor Relations, indicated that CapEx for FY27 is expected to be between INR3,500 crores to INR4,000 crores, and for FY28, it will be INR1,500 crores to INR2,000 crores.
Q: Can you provide details on the incentive income and its future outlook? A: Ajay Saraogi, CFO, mentioned that the incentive income was lower due to the expiration of certain incentives and GST input credit issues. However, they expect to accrue around INR250 crores in incentives for FY27 as new projects come online.
Q: What are the expectations for gray cement volume growth in FY27? A: Ajay Saraogi, CFO, expects double-digit growth, with the market growing at 6% to 8%. JK Cement anticipates an incremental volume of at least 2.5 million tonnes.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
