More Stories

Informist, Wednesday, Jan. 14, 2026

 

By Pallavi Singhal

 

NEW DELHI – JK Cement Ltd.'s net profit for the December quarter is expected to rise, supported by strong volume growth and lower operating costs, even as cement prices remained under pressure, according to brokerages. Improved demand towards the end of the quarter and the company's relatively higher exposure to north India and central India are expected to cushion the impact of weaker realisations, according to analysts.

 

The cement maker is expected to post a standalone net profit of INR 2.11 billion for the December quarter, according to the average of estimates from nine brokerages. This is up over 3% from the year-ago quarter and over 20% from the trailing quarter. The company is expected to post standalone net sales of INR 30.72 billion, based on the estimates, up over 13% from the year-ago quarter and up over 7% from the September quarter.

 

The highest estimate for JK Cement's December quarter net profit was INR 2.50 billion by Systematix Shares and Stocks (India) Ltd., while the lowest estimate was INR 1.72 billion by Emkay Global Financial Services Ltd. For revenue, estimates ranged from INR 29.06 billion by Emkay Global to INR 32.54 billion by Motilal Oswal Financial Services Ltd., with differences largely driven by volume growth assumptions.

 

The company's grey cement volumes, which accounted for over 90% of the overall volumes in the trailing quarter, are expected to rise about 15% on year in the December quarter, according to Nuvama Wealth Management. However, grey cement realisations are estimated to fall about 1.5% on quarter, reflecting continued pricing pressure across regions. As a result, blended earnings before interest, tax, depreciation, and amortisation per tonne are expected to fall to about INR 893 per tonne, from INR 1,040 per tonne in the same quarter a year ago, according to the brokerage.

 

The pressure on realisations mirrors broader weakness in cement prices during the quarter. Prices declined across regions, with the sharpest correction in the east and the south, followed by the west, north, and central regions, according to Motilal Oswal.

 

Cement demand was subdued in the initial part of the quarter due to the festive season and labour shortages, but recovered toward the end of November and remained firm through December, Motilal Oswal said. Demand improved sharply in the south and the west on the back of higher government spending, while the recovery in the north and central regions remained muted, it said.

 

Motilal Oswal expects the company's variable cost per tonne to decline about 2% on year, while overall operating expenditure per tonne is estimated to fall about 3% on year, providing partial relief to margins. Even so, EBITDA per tonne is expected to remain lower on year, as the benefit of cost savings is offset by weaker pricing.

 

JK Cement's EBITDA is estimated at INR 5.04 billion, based on the average of nine estimates. This is up over 3% on year and up about 15% on quarter. The highest EBITDA estimate is INR 5.53 billion by Motilal Oswal, while the lowest estimate is INR 4.80 billion by Nuvama Wealth Management.

 

JK Cement has an installed grey cement capacity of about 25.3 million tonnes per annum, alongside 1.12 million tonnes per annum of white cement capacity and 1.33 million tonnes per annum of wall putty capacity. The company's capacity accounts for about 4% of the country's total cement installed capacity of 700 million tonnes per annum. JK Cement has a strong presence in north and central India, alongside an expanding footprint in eastern markets.

 

At 1113 IST, shares of the company traded 0.6% lower at INR 5,748.50 on the National Stock Exchange. JK Cement is scheduled to announce its December quarter earnings Saturday.

 

Of the 16 brokerage reports on the company available with Informist, 14 have a 'buy' recommendation on the stock with an average target price of INR 6,636, while one has a 'hold' recommendation and one has a 'sell' recommendation.

 

Following are the Oct-Dec earnings estimates for JK Cement from nine brokerage firms in descending order by the estimate of net profit, in INR million:

 

Brokerage	Net sales	Net profit	EBITDA
Systematix Shares and Stocks (India) Ltd.	30,900	2,500	5,400
Motilal Oswal Financial Services Ltd.	32,543	2,410	5,525
Kotak Securities Ltd.	31,242	2,204	4,940
Elara Securities (India) Pvt. Ltd.	29,931	2,194	5,035
JM Financial Institutional Securities Pvt. Ltd.	30,789	2,122	5,153
ICICI Securities Ltd.	30,843	2,076	4,876
Nuvama Wealth Management Ltd.	29,314	1,984	4,804
Axis Securities Ltd.	31,880	1,810	4,820
Emkay Global Financial Services Ltd.	29,060	1,716	4,845
Average	30,722.44	2,112.89	5,044.22

 

End

 

IST, or Indian Standard Time, is five-and-a-half hours ahead of GMT

 

Edited by Tanima Banerjee

 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

 

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

 

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

 

© Informist Media Pvt. Ltd. 2026. All rights reserved.