Profit jumps 69% to Rs 124 crore on demand

Business Standard


A Kolkata-registered company, SMPL owns limestone reserves, a key cement input, in Madhya Pradesh and is planning to come up with a cement unit there

Larger rivals UltraTech Cement and ACC Ltd beat December-quarter profit estimates on price hikes and strong infrastructure demand


India’s JK Lakshmi Cement reported a 69% rise in third-quarter profit on Thursday on healthy demand and higher prices.


The company, the construction materials arm of JK Group, said net profit after tax rose to Rs 124 crore (around $15 mn) for the quarter ended Dec 31, from Rs 73.59 crore a year earlier.


Revenue from operations rose 6.6% to rs 1,586 crore. Power and fuel costs, JK Lakshmi’s biggest expense, fell around 25%.


The housing and infrastructure sectors have seen a demand surge, aided by higher government spending ahead of the national elections, boosting cement makers’ bottom lines.


Cement prices also saw a 2.5% sequential rise during the quarter, brokerage Systematix said, helping cement makers earn more from their sales.


Larger rivals UltraTech Cement and ACC Ltd beat December-quarter profit estimates on price hikes and strong infrastructure demand.


On the other hand, Ambuja Cements and India Cements saw subdued demand in the quarter.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

First Published: Feb 08 2024 | 7:59 PM IST



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