Cement · JKLC
Cement
from 565 today
Revenue beat estimates by 5% while EBITDA and PAT missed by 2% and 7% respectively due to higher operating costs from rising fuel prices. We maintain a Buy rating with a revised target price of Rs. 675, reflecting near-term cost pressures while retaining confidence in medium-term growth and margin recovery.
JK Lakshmi Cement reported an inline operating performance in Q1FY27, with healthy volume growth of 8% YoY and a sharp 8.5% QoQ improvement in blended NSR. We cut our estimates for FY27/28E by 3%/5% on imminent cost inflation and expect JKLC to deliver EBITDA/volume CAGR of 8% & 11% each over FY26-28E, maintaining a BUY rating with a revised target price of INR714.
JKLC delivered a strong quarterly performance, surpassing expectations. We maintain our BUY recommendation on the stock with a revised target price of Rs 730 per share, supported by capacity expansion and multiple margin improvement levers.
JK Lakshmi Cement reported 1Q EBITDA largely in line with estimates as higher costs offset realization gains, and management expects costs to remain elevated in 2Q amid rising capex intensity.
Ratings and target prices as published by each firm. Each summary condenses that firm's stated view in its own note and is attributed to it; no report text is reproduced.
