JKLC posts highest profits in 25 years

Mumbai, May 16 (UNI) JK Lakshmi Cement (JKLC) has posted the highest ever profits and sales in the last 25 years.

In the quarter ended March 31, JKLC has recorded sales at Rs 304 crore, a 43 per cent jump over Rs 212.84 crore reported in the corresponding quarter of the previous year.

The profit after tax in the fourth quarter was Rs 60.83 crore as against Rs 23.70 crore in the corresponding quarter of the previous year.

Operating margin for the quarter at net sales were at 32 per cent while for the whole year it stood at 30 per cent due to higher capacity utilization, better realization, improved market distribution, and alround improvement in efficiencies.

The earning per share (EPS) for the quarter rose to Rs 10.79 as against Rs 4.76 in the corresponding quarter of the previous year, while EPS for the whole year stood at Rs 32.34.

''Company has joined the dividend list after a gap of ten years,'' JKLC vice chairman and MD Bharat Hari Singhania said.

''The momentum in the rapid infrastructure growth is expected to continue for some years to come which the Company hopes would lead to a double digit growth in the cement consumption as has been the experience of the other developed economy. With its capacity increase as well as efficiency improvement projects well timed, the Company is fully geared up to meet the challenges arising out of the buoyant demand,'' he added.

''To further maximize the return to the shareholders, the Company is simultaneously pursuing the RMC business aggressively. It is already operating 5 RMC plants and hopes to add at least six plants during the coming financial year. The Company is also studying the feasibility of entering into other value added products,'' Mr Singhania said.

JKLC whole-time director Shailendra Chouksey said, ''JKLC has already started the work on the projects for further expanding its capacity to 5 million MT. We are confident of continuing its excellent performance on the back of increased production, all-round improvement in the efficiency norms, cost compression and with an impeccable brand position.'' ''JKLC's expansion and efficiency improvement projects have been completed, full benefits of which would accrue in the coming financial year. Company has also been able to commission the Phase I (18MW) of its Thermal Power Project well in time. On stabilization of the thermal power project the Company expects to reap the benefits by substantial reduction in its power costs. The efficiency norms of the Company which are already in the league of best operating plants in the country would improve further,'' Mr Chouksey added.

UNI