Views on JK Lakshmi Cements 1QFY16 Results - Angel Broking

Views of Mr. Shrenik Gujrathi (Sr. Research Analyst - Cement, Angel Broking)on JK Lakshmi Cements 1QFY16 Results:

"JK Lakshmi Cement (JKLC) posted inline set of numbers on profitability front; its top line de-grew by 1.6% yoy to INR 590.7cr but was above our estimate of INR 553.9cr. However on the EBITDA front margin came in at 8.6% (against our estimate of 9.5%) a decline of 1032bp yoy largely due to sharp decline in sales realization. The operating cost increased by 10.9% yoy to INR 540cr mainly due to higher freight and power cost. The EBITDA came in at INR 50.7cr was marginally below our estimate of INR 52.6cr. The company reported a Net loss of INR 23.5cr was in line with our estimate of INR 24cr. It reported Net loss mainly due to additional interest and depreciation expenses on account of commissioning of new cement plant of 1.7mtpa at Durg, Chattisgarh in March 2015. We maintain our positive view on the stock with a price target of INR 443."

Shares of JK LAKSHMI CEMENT LTD. was last trading in BSE at Rs.345.45 as compared to the previous close of Rs. 355.05. The total number of shares traded during the day was 38187 in over 1444 trades.

The stock hit an intraday high of Rs. 349.75 and intraday low of 328.45. The net turnover during the day was Rs. 12985580.

Source : Equity Bulls

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