India: JK Lakshmi Cement 4Q net profit soars

JK Lakshmi Cement’s net profit soared in the quarter ended 31 March 2016 from INR60.5m (US$0.90m) to INR483.8m YoY. Total 4Q revenues of the company jumped 27 per cent from INR5.782bn in FY14-15 to INR7.351bn.

The commissioning of the Durg plant in March 2015 helped production increase by 42 per cent in the quarter.

"Company's steep growth in production and sales along with its relentless efforts to improve efficiency and cutting operation cost has enabled the firm to post profitability in the quarter January-March 2015-16," the company noted in a stock exchange filing.

JK Lakshmi Cement Vice Chairman and Managing Director, Vineeta Singhania, said: "It was definitely a good recovery for JK Lakshmi in the last quarter with things taking off to a positive start in 2016."

For full year FY15-16, JK Lakshmi’s net profit reached INR62.8m, significantly lower when compared with the previous year’s INR956m. However, total income was higher at INR26.196bn, up from INR23.08bn.
A good monsoon forecast and expected announcements of government infrastructure projects add to a positive outlook for the current financial year.