JK Cement (JKCE IN) – Q4FY26 Result Update – Capacity ramp up to support volume growth – Accumulate
Published on 25 May 2026
JK Cement (JKCE) reported a largely inline operating performance in Q4FY26, driven by strong grey cement volume growth of 13% YoY, supported by healthy demand and an extended footprint in Central and Eastern markets. Blended NSR declined 0.9% QoQ mainly due to white cement business impacted by the ongoing geopolitical situation at Fujairah, while grey cement realizations improved 2.4% QoQ aided by better trade mix. Cost performance remained largely stable, with lower freight and raw material costs partly offsetting the increase in power & fuel costs due to elevated pet coke prices. Resultant, JKCE reported cons blended EBITDA/t of INR1,002 (PLe INR1,026). Mgmt. indicated that recent price hikes of ~INR10/bag have broadly offset the expected input cost inflation of INR150-200/t in Q1FY27. The stock is trading at EV of 17.6x/13.6x FY27E/28E EBITDA. Maintain ‘Accumulate’ with revised TP of Rs6,101 (earlier Rs6,017) valuing at 15x EV of Mar’28E EBITDA.
