JK Lakshmi Cement Limited (JKLAKSHMI) AI Stock Analysis

• Market Cap: ₹76.24B
• Dividend Yield: 0.82%
• Average Volume (3M): 4.19K
• Price to Earnings (P/E): 42.4
• Beta (1Y): 1.07
• Revenue Growth: 6.13%
• EPS Growth: 31.60%
• Country: IN
• Employees: 1,621
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Construction Materials
• EPS (TTM): 5.70
• Shares Outstanding: 124,144,424
• 10 Day Avg. Volume: 3,053
• 30 Day Avg. Volume: 4,190
• PEG Ratio: -0.86
• Price to Book (P/B): 2.70
• Price to Sales (P/S): 1.51
• P/FCF Ratio: -324.65
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹890.00
• Price Target Upside: 11.56% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): 38.26
• Revenue Forecast (FY): ₹68.96B

• Rating: 61 Neutral
• Price Target: ₹626.00 ▼(-21.53% Downside)
• Action: Reiterated Date: 11/25/25
• Date: Action: Reiterated 11/25/25

The overall stock score of 61 reflects significant financial challenges and bearish technical indicators. While the valuation is reasonable, the financial performance and technical analysis weigh heavily on the score, indicating potential risks for investors.

Positive Factors

High gross profit margin

A 45.4% gross margin indicates efficient production and a cost structure that still supports healthy unit economics in cement manufacturing. Sustained gross margins provide a durable buffer against raw material and energy cost swings and underpin long-term cash generation potential.

Strong operating cash generation

Operating cash flow more than double net income shows solid cash conversion from core operations. This durable cash-generating capability supports working capital, funding for maintenance capex and debt service even when accounting profits fluctuate, improving operational resilience.

Reasonable capitalization (equity ratio)

An equity ratio around 40.9% reflects a stable capital structure with meaningful shareholder funding relative to assets. This provides long-term financial flexibility to absorb cyclical downturns, access borrowing capacity for expansion or modernization, and reduces insolvency risk.

Negative Factors

Rising leverage

An increasing debt-to-equity ratio to 0.75 signals higher financial leverage, raising interest and refinancing risk. Over a multi-month horizon this reduces financial flexibility, increases fixed obligations, and magnifies earnings volatility in a cyclical construction-materials industry.

Negative free cash flow

A move to negative free cash flow indicates the company is not generating surplus cash after maintenance and growth capex. Persistently negative FCF pressures the balance sheet, may force external financing, and limits the firm’s ability to invest, pay dividends, or reduce leverage.

Revenue and margin erosion

Declining revenue alongside compressed net and EBIT margins points to weakening demand, pricing pressure, or rising unit costs. Over several months this undermines reinvestment capacity and return on equity, making it harder to restore scale economics and sustain competitive positioning.

JK Lakshmi Cement Limited Business Overview & Revenue Model

Company Description

JK Lakshmi Cement Limited, together with its subsidiaries, manufactures and supplies cement in India. It offers Portland Pozzolana cement, and ordinary Portland cement under the JK LAKSHMI CEMENT and JK Lakshmi PRO+ Cement brand names for the construction of buildings, independent houses, hotels, bridges, airports, dams, etc. The company also provides composite and other cement under the Platinum Heavy Duty Cement, JKLC Sixer Cement, Platinum Supremo Cement, and Super Sixer Weather Guard Cement brand names. It offers ready mix concrete under the JK Lakshmi Power Mix name; autoclaved aerated concrete blocks under the JK SmartBlox name; gypsum plaster products under the JK Lakshmiplast name; gypsum-based plaster products under JK Lakshmiplast GypGold; wall putty under the JK Lakshmiplast Smart Wall Putty; white portland cement under the JK Lakshmi Smart White Cement name; concrete binding and water proofing agents under the name Brahmastra; and ready-to-mix jointing material for joining AAC blocks, fly ash bricks, concrete blocks etc. under the JK Smartbond Mortar brand name. The company markets its products through a network of dealers. JK Lakshmi Cement Limited was incorporated in 1938 and is based in New Delhi, India.

How the Company Makes Money

JK Lakshmi Cement primarily makes money by manufacturing and selling cement and other construction materials to a mix of customers that typically includes individual home builders, contractors, institutional buyers, and infrastructure/real-estate developers. Its main revenue stream is the sale of cement (across different product grades/brands) through a distribution network of dealers and retailers as well as direct institutional sales; revenue is generally recognized on dispatch/delivery based on sales volumes and realized pricing, with profitability influenced by demand cycles, regional competition, and input/energy costs. A second revenue stream comes from the sale of ready-mix concrete (RMC), where the company supplies batched concrete to project sites, typically earning revenue per cubic meter supplied under project-based orders. Where applicable, the company may also earn ancillary revenue from related building materials/products and services connected to cement and concrete sales; if further specifics are required (e.g., named subsidiaries, product-wise revenue mix, or major partnerships), null.

JK Lakshmi Cement Limited Financial Statement Overview

Summary

JK Lakshmi Cement is facing financial challenges with declining revenue and profitability margins, increased leverage, and negative free cash flow. Despite a stable equity ratio and strong operating cash flow, the declining return on equity and negative free cash flow signal potential risks.

Income Statement

JK Lakshmi Cement's revenue has shown a declining trend over recent years, with a negative revenue growth rate of approximately -8.8% from 2024 to 2025. The gross profit margin stands at 45.4% in 2025, which indicates efficient production but a reduction from previous years. The net profit margin has decreased to 4.8% from 6.9% in 2024, suggesting challenges in controlling costs or pricing pressures. The EBIT margin is 9.1%, down from 24.7% in 2024, indicating reduced operational efficiency. The EBITDA margin is 14.7%, also reflecting a decrease from 16.6% in 2024.

Balance Sheet

The company's debt-to-equity ratio increased to 0.75 from 0.65 in 2024, indicating higher leverage and potential financial risk. The return on equity is 8.6% in 2025, down from 14.8% in 2024, showing reduced effectiveness in generating profits from shareholder equity. The equity ratio is 40.9%, reflecting a stable financial structure but slightly lower than the previous year, potentially due to increased liabilities.

Cash Flow

The free cash flow has significantly declined to negative figures in 2025, showing a concerning trend in liquidity. The operating cash flow to net income ratio is 2.11, indicating strong cash generation relative to net income, which is a positive aspect. However, the free cash flow to net income ratio is negative, highlighting cash flow issues that need addressing.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	66.67B	61.93B	67.88B	64.52B	54.20B	47.27B
Gross Profit	43.12B	28.15B	34.99B	32.54B	27.18B	25.23B
EBITDA	11.40B	9.11B	11.29B	8.96B	9.92B	9.73B
Net Income	4.74B	2.99B	4.72B	3.59B	4.64B	4.05B
Balance Sheet
Total Assets	87.62B	84.79B	76.50B	65.41B	59.26B	52.86B
Cash, Cash Equivalents and Short-Term Investments	11.53B	7.96B	6.38B	8.50B	12.05B	8.28B
Total Debt	26.73B	26.14B	20.84B	18.80B	18.87B	16.72B
Total Liabilities	50.57B	48.24B	42.93B	37.00B	33.94B	31.79B
Stockholders Equity	37.07B	34.71B	31.87B	28.04B	25.05B	20.95B
Cash Flow
Free Cash Flow	991.40M	-288.60M	-1.12B	-1.03B	3.05B	7.41B
Operating Cash Flow	3.52B	6.32B	8.99B	6.34B	6.80B	10.32B
Investing Cash Flow	-2.61B	-11.97B	-8.80B	-2.99B	-6.65B	-4.36B
Financing Cash Flow	-1.45B	5.14B	-355.90M	-2.66B	108.10M	-5.51B

JK Lakshmi Cement Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 797.75
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:JKLAKSHMI, the sentiment is Negative. The current price of 797.75 is above the 20-day moving average (MA) of 661.55, above the 50-day MA of 721.25, and below the 200-day MA of 830.45, indicating a bearish trend. The MACD of -38.09 indicates Positive momentum. The RSI at 33.26 is Neutral, neither overbought nor oversold. The STOCH value of 29.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:JKLAKSHMI.

JK Lakshmi Cement Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INDIAGLYCO	65 Neutral	₹58.78B	23.54	―	0.47%	5.61%	33.63%
RALLIS	63 Neutral	₹47.38B	700.00	―	0.92%	0.91%	18.12%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
JKLAKSHMI	61 Neutral	₹76.24B	42.43	―	0.82%	6.13%	31.60%
STARCEMENT	58 Neutral	₹84.43B	30.41	―	0.45%	18.13%	52.87%
NUVOCO	55 Neutral	₹108.68B	64.48	―	―	5.09%	458.10%
BIRLACORPN	53 Neutral	₹65.52B	38.81	―	0.92%	6.82%	60.64%

JK Lakshmi Cement Limited Corporate Events

JK Lakshmi Cement Announces SEBI-Mandated Window for Old Physical Share Transfers

JK Lakshmi Cement has notified stock exchanges and shareholders about a special SEBI-mandated window that allows transfer and dematerialisation of physical securities sold or purchased before 1 April 2019. The company has published the notice in national newspapers and directed investors to its registrar and website for detailed procedures, while stressing that transferred securities will be credited only in demat form and locked in for one year, underscoring the regulatory push toward full dematerialisation and improved investor protection.

The special window, open from 5 February 2026 to 4 February 2027, covers previously executed transfer deeds and earlier rejected or unattended transfer requests, provided documentary deficiencies are rectified. JK Lakshmi Cement has urged eligible shareholders holding physical shares to use this limited-period facility and complete KYC and demat formalities, which is expected to streamline its share registry, reduce operational risks associated with paper certificates, and enhance transparency for all market participants.

JK Lakshmi Cement Publishes Transcript of Q3 & 9M FY26 Earnings Call

JK Lakshmi Cement Limited has notified the stock exchanges that it has made available the transcript and minutes of its Q3 and nine-month FY26 earnings conference call, which was organized by PhillipCapital on 4 February 2026. The disclosure, signed by Company Secretary Amit Chaurasia, fulfills the company’s regulatory communication obligations and provides investors and other stakeholders with detailed access to management’s discussion of recent financial performance.

JK Lakshmi Cement Confirms SEBI Dematerialisation Compliance for December 2025 Quarter

JK Lakshmi Cement Limited has submitted a compliance certificate under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018 for the quarter ended 31 December 2025, confirming adherence to depository-related norms. Its registrar and share transfer agent, MCS Share Transfer Agent Limited, certified that securities received for dematerialisation during the quarter were duly verified, listed on the appropriate stock exchanges, and that physical certificates were cancelled with the depository recorded as the registered owner, underscoring the company’s procedural compliance in handling its dematerialised shares.