Just when the cement sector started acting like it had taken a dose of optimism pills, JK Lakshmi Cement came in with its trademark stoicism — calm, expansionist, and just a hint of “wait till FY30.” The management call was less about numbers and more about endurance — a five-year relay race to 30 MTPA capacity. CAPEX plans were dropped like confetti, but the street’s eyebrows went up faster than kiln temperatures. Still, for a company juggling Durg, Nagaur, Kutch, and Assam, they sounded surprisingly unfazed. Stick around — it gets spicy when the CFO starts talking ₹3,000 crore and green power tantrums.
At a Glance
- Revenue up (YoY)– Management skipped the bragging but hinted “higher volumes + Gujarat mix = better realization.”
- EBITDA margin– Hovering near 12%, but management claims “efficiency levers” are still pulling their weight.
- Non-cement revenue ₹153 Cr– 4% margin, aka “just enough to buy more Petcoke.”
- CAPEX ₹1,000–₹1,200 Cr FY26– Cement dreams don’t come cheap.
- Target 30 MTPA by FY30– “Because why not?” seems the motto.
Management’s Key Commentary
“We are currently at 18 million with the Surat grinding unit. Durg expansion will take us to 22.6 MTPA by FY28.”(Translation: 30 MTPA by FY30 — or bust. Buckle up.)
“Orders for all major long-delivery items have been placed.”(Translation: The cement boys have started shopping — kiln season is on.)
“Premium cement share rose from 23% to 26%.”(Translation: Because everyone deserves a little luxury… even concrete.😏)
“We’re using AI and ML to improve performance.”(Translation: When margins won’t budge, throw some algorithms at it.)
“Green power at 46% — lower due to plant shutdowns.”(Translation: Blame the monsoon for energy inefficiency — classic.)
“We will reach ₹120 per ton savings in 24 months.”(
Translation: 2027 called, it’s waiting for those savings.)
“Receivables doubled, but nothing to worry about.”(Translation: Don’t ask. Just don’t.)
Numbers Decoded
| Metric | Q2 FY26 | Comment |
|---|---|---|
| Cement Capacity | 18 MTPA | Target 30 MTPA by FY30 |
| Non-Cement Revenue | ₹153 Cr | 4% EBITDA margin |
| CAPEX FY26 | ₹1,000–₹1,200 Cr | Mostly Durg & maintenance |
| Durg Brownfield | ₹3,000 Cr | Orders placed, March ’27 commissioning |
| Premium Cement Mix | 26% | +3% QoQ |
| Green Power | 46% | Down due to shutdowns |
| Blended Cement | 62% | Rising share |
| Lead Distance | 395 km | Down from 399 km |
TL;DR: Expansion plans are chunky, costs are spicy, and Gujarat saves the day (again).
Analyst Questions (and Translations)
Q:What’s the CAPEX timeline to hit 30 MTPA?A:Durg by FY28, Nagaur-Kutch-Assam by FY30.(Translation: Ask again in FY29 for actual numbers.)
Q:Power & fuel costs up — why?A:“Less green power, more Petcoke.”(Translation: Blame the sun and OPEC.)
Q:Any inorganic expansion updates?A:“We’re exploring… continuously.”(Translation: Still window shopping.)
Q:Freight costs up?A:“We explored new markets.”(
