JK Lakshmi Cement Profit Slumps 30% Despite Steady Revenue
The cement maker's Q1 profit fell sharply year-on-year, with net profit margin contracting significantly despite a modest revenue increase.
JK Lakshmi Cement reported a 9.4% rise in Q1 revenue, but profit plunged nearly 30%. The net profit margin fell to 5.6%, highlighting a significant squeeze on profitability.
JK Lakshmi Cement's first-quarter results for FY27 present a mixed picture. While revenue held steady, profit took a significant hit, pointing to a sharp squeeze on the company's bottom line.
Revenue for the quarter ended June 2026 came in at ₹1,904.78 crore, a 9.4% increase over the same period last year. However, profit after tax (PAT) fell sharply by 29.6% year-on-year to ₹106.77 crore. This divergence indicates that while sales volume or pricing held up, costs rose substantially, eroding profitability. The net profit margin contracted by 310 basis points to 5.6%, down from 8.7% a year ago.
The recent quarterly trend shows revenue has been stable near the ₹1,900 crore mark for the last two quarters, but profit has been volatile and is now on a declining trajectory sequentially as well.
Revenue (₹ Cr)
Profit (₹ Cr)
Net Profit Margin
| Metric | CurrentQ1 FY27 | PreviousQ4 FY26 | Same quarter LYQ1 FY26 |
|---|---|---|---|
| Period | Jun 2026 | Mar 2026 | Jun 2025 |
| Revenue (₹ Cr) | 1,904.78YoY +9.4% | 1,901.53 | 1,740.93 |
| Profit (₹ Cr) | 106.77YoY -30% | 138.22 | 151.67 |
| Net Profit Margin | 5.6%YoY -36% | 7.3% | 8.7% |
Key Points
- The trailing twelve-month (TTM) net profit margin stands at 5.6%, matching the latest quarter's level.
- The stock has faced significant pressure, down 37.9% over the past year, reflecting broader market concerns and these earnings challenges.
- The company trades at a price-to-earnings (P/E) ratio of 16.8, a substantial discount to the industry average P/E of 34.5.
The immediate challenge for management is to demonstrate control over costs to protect margins, especially if revenue growth remains modest in the coming quarters.
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· JKLAKSHMI
(BSE)
ISIN: INE786A01032
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