JK Lakshmi Cement , a prominent player in the Indian cement industry, has reported impressive financial results for the first quarter, showcasing substantial growth across key metrics.

Profit Surge

The company's consolidated net profit witnessed a remarkable surge, reaching ₹1.50 billion, up from ₹567.00 million in the corresponding period last year. This represents a staggering year-over-year increase of approximately 164%, underscoring the company's strong performance and improved profitability.

Revenue Growth

JK Lakshmi Cement's revenue also saw a healthy uptick, rising to ₹17.40 billion from ₹15.63 billion in the same quarter of the previous year. This 11% increase in revenue indicates robust demand for the company's products and effective sales strategies.

EBITDA and Margin Expansion

The company's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) showed significant growth, climbing to ₹3.30 billion from ₹2.35 billion year-over-year. This represents a substantial increase of about 40% in EBITDA.

More impressively, JK Lakshmi Cement's EBITDA margin expanded considerably, reaching 19.13% compared to 15.06% in the previous year. This 4.07 percentage point improvement in the EBITDA margin reflects enhanced operational efficiency and cost management.

Financial Performance Overview

The robust quarterly performance of JK Lakshmi Cement demonstrates the company's ability to drive growth and improve profitability in a competitive market environment. The significant expansion in EBITDA margin suggests successful implementation of cost optimization measures and operational enhancements.

As the construction and infrastructure sectors continue to play a crucial role in India's economic growth, JK Lakshmi Cement's strong financial results position it well to capitalize on future opportunities in the cement industry.

JK Lakshmi Cement Ltd (JKLC) has announced significant strategic moves, including a new power purchase agreement and key board appointments, as the company continues to focus on sustainable growth and corporate governance.

Power Purchase Agreement and Renewable Energy Investment

JK Lakshmi Cement has approved entering into a Power Purchase Agreement with Opera Vayu (Narmada) Private Limited. The company will acquire a 26% equity stake in this special purpose vehicle (SPV) for up to ₹4.00 crore through cash consideration. This strategic investment will enable JK Lakshmi Cement to source renewable power at competitive rates for 12 years.

The SPV will develop a 4 MWp Wind & Solar Hybrid Power Project under the captive power route. This move aligns with JK Lakshmi Cement's ongoing sustainability initiatives, which include increasing its Thermal Substitution Rate (TSR) from 4% to 16% at its Sirohi Cement Plant and maintaining a 49% share of renewable power in its overall power mix.

Board Appointments and Corporate Governance

In a significant board reshuffle, JK Lakshmi Cement has made several key appointments:

1. Shri Shrivats Singhania has been appointed as an Additional Director designated as Deputy Managing Director for a five-year term, effective August 1, 2025.
2. Shri Vimal Bhandari joins as an Additional Director in the category of Independent Director for a three-year term, also effective August 1, 2025.
3. Shri Arun Kumar Shukla has been re-appointed as President & Director for a three-year term, starting August 1, 2025.

These appointments are subject to shareholder approval at the upcoming Annual General Meeting.

Financial Performance

JK Lakshmi Cement reported strong financial results for the first quarter:

The company's net profit jumped by 169.1% year-on-year to ₹151.67 crore in the quarter, driven by higher volumes, improved product and market mix, and reduced fuel costs.

Expansion Plans

JK Lakshmi Cement is actively expanding its production capabilities:

1. Doubling cement grinding capacity at the Surat Grinding Unit from 1.35 to 2.7 Million Tonnes, with an investment of ₹225.00 crore.
2. Constructing a Railway Siding at the Dug Cement Plant, costing ₹325.00 crore.
3. Expanding clinker capacity at the Dug plant in Chhattisgarh and setting up new grinding units in Chhattisgarh, Uttar Pradesh, Bihar, and Jharkhand, with a total investment of ₹3,000.00 crore.

These expansions are expected to significantly boost the company's production capacity and market presence.

Outlook

With India's cement sector outlook projected to be positive, JK Lakshmi Cement is well-positioned to capitalize on the expected 6% volume growth driven by infrastructure activity and housing demand. The company's focus on sustainability, capacity expansion, and strong governance structure sets a solid foundation for future growth in the competitive cement industry.