JK Cement is targeting to achieve a volume growth of 8-10% in the next financial year.
Cement demand expected to slow down in Q4 due to elections, but to pick up again in H2 FY25
K Cement is targeting to achieve a volume growth of 8-10% in the next financial year. This is despite the high base of the previous year. The company is confident of achieving this growth due to its new capacity expansions.
JK Cement is targeting an EBITDA of Rs 1,000 per tonne for the current financial year. The company is on track to achieve this target and is expecting to end the year with an EBITDA of Rs 1,080-1,090 per tonne.
JK Cement is targeting to increase its premium sales to 14-15% of total sales in the next financial year. The company is taking steps to increase its premium product offerings.
JK Cement is planning to spend Rs 2,800-2,850 crore on expanding its capacity by 6 million tonnes. The company will fund this expansion through a mix of internal accruals and debt.
JK Cement plans to maintain a healthy net debt to EBITDA ratio of around 2. The company's current net debt to EBITDA ratio is 1.64.
JK Cement's paints business is still in its early stages, but the company is optimistic about its prospects. The company is targeting to grow the business in the coming years and expects it to become profitable in 18-24 months.
Overall, Mr. Kella is bullish on the future of JK Cement. The company is well-positioned to benefit from the growing demand for cement in India.
Source: JK Cement: Bullish on the future, targeting 8-10% volume growth in FY24
