Thank you, Darwin. Good evening, everyone.

On behalf of PhillipCapital (India) Private Limited, we welcome you to the Q4 and FY '26 call of JK Cement Limited. On the call, we have with us Mr.

Ajay Kumar Saraogi, Deputy Managing Director and Chief Financial Officer, and Mr. Prashant Seth, President - Business Information and Investor Relations at JK Cement.

I would like to mention on behalf of JK Cement and its management that certain statements that may be made or discussed on today's conference call may be forward-looking statements related to future developments and statements which are based on current management expectations. These statements are subject to a number of risks, uncertainties, and other important factors which may cause actual developments and results to differ materially from the statements made.

JK Cement Limited and the management of the company assume no obligation to publicly alter or update these forward-looking statements, whether as a result of new information or future events or otherwise. I will now hand over the floor to the management of JK Cement for their opening remarks, which will be followed by an interactive Q&A.

Thank you, and over to you, Saraogi, sir.

Thank you, Vaibhav. Good evening and welcome to Q4 and annual call.

The Board of Directors met on 23rd of May to review the working for the quarter ended 31st March 2026 and the year ended 31st March 2026. The major highlights: during the quarter, the net sale has increased by 15% at 3,614 crores as compared to 3,132 crores vis-à-vis the previous quarter, and year-on-year, it was higher by 11%.

The previous year, the turnover was 3,261. Year-on-year, the net sale has increased by 16% at 12,568 crores as compared to 10,802 crores.

The EBITDA during this quarter was 670 crores as compared to 536 crores in the previous quarter, an increase of 25%. However, it was lower by 9% year-on-year, as the previous year number was 736.

Year-on-year, the EBITDA is higher by 18% at 2,318 crores as compared to 1,968 crores. The EBITDA margins for this quarter was 18.5%, previous quarter 17.1%, year-on-year 22.5%.

For the full year, the EBITDA margins were 18.5% as compared to 18.2% in the previous year. The profit after tax was 345 crores for this quarter as compared to 181 in the previous quarter, an increase of 91%, and it was lower by 17% as the previous year-on-year, previous year it was 412.

For the full year, the profit after tax was 1,033 crores as compared to 851 in the previous year, an increase of 21%. The earning per share was ₹44.50 in this quarter, and for the annual, it was ₹133.70 as compared to 110.1.

The Board of Directors also proposed a dividend of ₹20 per share, subject to the approval of the shareholders. If we look at the status of the projects: during this quarter, the company has commissioned the greenfield expansion at Buxar in Bihar, and with this, the total 6 million ton capacity expansion taken up in Central India gets commissioned.

Also, increased the capacity of the plant at Muddapur by 1 million ton, from 3.5 to 4.5 million tons. We started the work on the new greenfield project at Jaisalmer, a 7 million ton plant, 4 million ton integrated clinker capacity at Jaisalmer along with 3 million ton grinding, and 2 million ton each grinding locations at Bikaner and one in Punjab.

Here also, the work for the integrated plant is in advanced stage. The civil construction and erection work is progressing well.

The project cost for this, for the integrated unit works is expected around 3,630 crores, and we have already spent about 742 crores up to March. We expect the commissioning in H1 of FY '28.

The work on the grinding station at Bikaner, the main order has the orders for main plant and equipment has already been placed. The construction work at the site has begun, and here also, we expect the commissioning in H1 '28.

For the grinding units at Punjab, we have already acquired the land, and the other approvals are in process. We have already placed order for main plant and equipment, and here also, we expect that this would also get commissioned in H1 '28.

The company had also taken up for installation of a 6 lakh ton wall putty plant at Nathdwara in Rajasthan. The work is in advanced stage of completion, and we expect that by September, this plant should get commissioned.

If we see the balance sheet position: the gross debt as on 31st March is 5,136 crores. The net cash is 1,765, and the net debt is 3,370 crores.

The net debt to EBITDA is 1.45. The equity is 6,961.

The net debt to equity is 0.48. These are the major highlights.

We'll be pleased to address your queries. Thank you.

Thank you. Good evening to the team.

Sir, my first question pertains to the employee expenses. It grew 25% YoY.

I believe majority of this inflation could be attributed towards the commissioning of the grinding units, but was there any other one-off expenses included in employee expenses? Because there is approximately 32 crores of sequential rise in the expense cost.

This is my first question.

Yeah. As far as employee, one is that the commissioning of the new plant in Central India, which has been done in this year, earlier, the salaries were all capitalized, it has gone into revenue.

On account of increase business requirement also, there have been additional manpower requirements. Normal increments also impact is there.

Because of the labor code also, whatever is the impact during the year, that is also provided in this quarter. There is also one-time some liability pertaining to the leave travel assistance, so that is also provided in this quarter.

Sir,

can we safely assume a sustainable run rate of 260 crores going ahead, or there is probability of dilution in this employee expenses? See,

we feel that around 250 crores or so would be. See, what would happen, even on this base number, there would be increment impact of the annual increment with effect from 1st April.

We have already declared our annual increment, and that impact is around 10%. There would be, as the business requirement, certain additional manpower would be required.

Even Nathdwara the project will get commissioned in September, some manpower increase it would be there also. We do expect that from the whole year number of say 937, there could be about 12% to 14% increase year-on-year.

Right, right. Sir, second question is on the other expenses.

Again, there you have mentioned in the PPT that there is an increase in advertising expenses and packing costs. What is the component of the packing cost in the 80 crores rise in the other expenses cost?

Packing cost, the composition is it has increased on two accounts. One is because of the volumes and second is because of the price.

Combined impact is around 30 crores.

Got it, got it. Sir, last question is on the incentive income.

It seems to be a bit lower than the guidance provided in the earlier quarters around 75 crores. What is the reason for the same, sir?

Can we assume the same run rate going ahead, or should we expect any pick-up?

There is a reduction in the incentive. One of the Aligarh unit, there the incentive has already been availed for the full 10 years.

Then because of reduction in GST, and also, in case of Rajasthan, they're not able to avail the incentive because we are getting the CENVAT credit on investment. We can't avail that input credit is being done on the project, so as a result, we are not able to claim the incentive.

That GST input credit, we get immediately.

Got it. Sure, sir.

I'll fall back in the queue. Thank you.

These were my questions. Thank you.

Hi. Thanks for the opportunity.

One, I just wanted to understand on the white cement outlook. I believe white cement was also coming from your UAE plant, which is impacted because of the whole lead of turmoil situations.

What is the outlook on white cement volumes for FY '27 and particularly in the near term? That is the first question.

One, as far as the domestic white cement is concerned, we'll be able to meet out the entire demand from the domestic production. Yes, we were feeding it was more economical certain regions in the south from UAE.

At this point of time, we are feeding that from Gotan plant. We don't see losing any market of white cement on account of the present geopolitical situation.

Has the pricing increased because the flow has reduced from

Middle East? We have been able to increase the prices of both white cement and wall putty on account of increase in the input cost.

The chemicals cost have increased substantially, we have been tried to pass on the cost increase to the customer.

Sure. What is the capex guidance for FY '27, '28?

For this year, the capex should be in the range of 3,500 to 4,000 crores.

Okay. Next year?

Next year, it would be 1,500 to 2,000 crores. Understood.

Understood. That's it.

I'll come back in the queue.

Yeah. Hi, sir.

Good evening. Am I audible?

Yeah. Rajesh.

Yeah. Sir, great.

Some of my questions have been answered. On the incentives, what was the incentive accrued in Q4, and what is the outstanding on books as of March?

See, in Q4,

I just tell you the Q4 incentive. The outstanding as on 31st March is close to about 300 crores.

In this quarter, it is about 29 crores.

Oh, okay. This 29 crore or 29, 30 crore would be the assumed run rate here on in subsequent quarters?

It would not be the assumed run rate. The run rate, what has happened, because of the GST input credit for North, we are not able to take the incentive which we were getting for North, for Nimbahera.

That loss would be there, but whole year, we got a incentive of about 230 crores, and this year, we should close to about 250 to 260 crores because Bihar, though we are not accruing the incentive as on date because our policy is once we get the sanction letters, then only we start accruing it. We expect the sanction letter, the Bihar incentive would also come in.

Whenever we get the sanction letter, we will account for the incentive for Bihar. Other grinding units also now for Prayagraj, Hamirpur, and all, we shall be getting the incentive.

We feel that it will be around 250 crores for FY '27.

Understood. Sir, just for clarification, the sanction letter is just a formality, or start reporting it or accruing it once you get the sanction letter, or you are eligible to accrue it now, and only it will be reported when you get that sanction letter?

As our accounting, unless you have a document see, the scheme says you are eligible, right, but sanction letter says now it's an official eligibility. Then, after receipt of the sanction letter, we submit our application for getting the amount from the state government.

It is only as a prudent accounting policy, we start accruing in the books of accounts, though it will be from the back date, but only after receipt of the sanction letter from the government.

Understood. Understood.

Sir, second question, which even on the current geopolitical situation, the cost increases, given that ₹150 odd sort of cost increase everyone is looking at in Q1 versus Q4 on the variable cost side, how much of that have been passed on in month of April and May?

We could say that because you had inventory and other things in the month of April. In the May, we would have on an average a price increase of about ₹10 a bag.

So, ₹10 would mean say 18% less of that. Broadly, it is passed on as on date.

It

is what we could say. We have

to see

how we're able to pass on the new impact of diesel and all, which we have to wait and watch.

Okay. Understood.

Understood. Sir, second with the JP plant, the 5 million ton would get operational somewhere this year.

Do you see the competitive intensity would increase in the Central market, which is already reeling under margin pressures because of multiple companies ramping up capacities?

No, we don't see. Again, it is not something we were not expecting.

This was already there for past three, four years. In fact, Dalmia earlier had already started sending materials and seeding the market,

and

they could not. This is something not as a surprise.

Now it has come, okay, we will address it as it comes. We don't see immediately large volumes coming up.

We feel that it's only from beginning of Q3 that you should start seeing some material coming from the JP plants.

Okay. Understood.

Sir, two questions just on the again similar trajectory for Rajasthan market where a lot of capacities are coming up during FY '28. How would that market shape up in terms of volume and pricing FY '28 onwards?

Again, see, I'm saying we are well-prepared. When we took the expansion, we had factored in that competition would definitely intensify.

We are prepared for it. We are confident.

We have strengthened our team, processes. We have planned how will we consolidate our position in the market and how will we send our materials from Jaisalmer and the two grinding units.

This is an opportunity for us. We will be serving the market now from earlier there was only practically one source of supply, only coming from Nimbahera, Mangrol, which is one entity if you look at practically.

Now you will have three more locations, and we will have advantage on serving the market in shorter distance, which will be able to have a better market grip and improve upon our market share. We are very confident on that.

Even after commissioning of all those capacities,

North

has the highest utilization levels. That would be slightly reduced by say around 4% to 5%, but would again remain higher than the overall average for the country as a whole.

Agree. Agree, sir.

Any update on the SAFCO expansion and the Odisha expansion plans?

No. At this point, no plan for expansion.

For Odisha, we have not got any mining lease as yet. As and when mining lease comes, then we will think about the expansion with timelines.

As of now, there is nothing. Even for SAFCO, though we have the mining lease, first, we will stabilize our position in the market, stabilize the plant, and start earning profits from there, and then we will look at the expansion.

Sir. Nice to hear, sir.

Thank you, and I'll fall back in queue.

Thank you.

Hi, good afternoon, sir. Congratulations for a great performance, and thanks for taking my question.

My first question is regarding our expectation for FY '27 in terms of volume growth in the grey cement business.

In FY '27, we should also be growing in a double-digit growth. We expect the market to grow say around 6% to 8%, and as far as our volumes are concerned, as we said, we should get definitely 2.5 million tons incremental volume, maybe more.

That's great to hear, sir. The second question is regarding the progress on the cost reduction front.

Any commentary on that would be great. See,

as we have already achieved the major cost savings, but this is an ongoing. We see another ₹50, which we should get in this fiscal, mainly driven by share on the green power and on AFR in the South and the North plants.

Sure, sir. Last question, what was our fuel mix in Q4?

See, we were using based on the heat value around 50% of the petcoke. And 12 12% is the alternate fuels and balance is the Indian coal.

Great, sir. Thanks, and all the best.

Yeah. Hi, sir.

Most of my questions were answered. Just a couple more.

On the recent limestone block that you have won in Andhra Pradesh, any update to our medium-term expansion plans based off this block? What's the reserves here?

You are planning to add any capacity in?

No immediate. See, again, limestone deposits are being looked at and are being acquired looking into way forward, how we would like to expand and become maybe become a national player.

As of now, see, we already have a plan for 2030. This limestone of Telangana may be our next phase of expansion.

Okay. Understood.

What's the limestone reserves over here in this block?

500 million ton.

Okay. Understood.

Just one more question on the cost savings guidance that you have given, ₹50 per ton this year. Does this include generally you have a cost benefit when the new commissioned plants ramp up right, because you have been feeding the East India market through your other capacities, right?

You would have waste heat recovery etc. coming up in this plant.

Does this include this thing, or some additional cost benefit could come from?

No, no, no. Actually, these are for the existing operations.

When we say look at what are the initiatives. See, if you optimize more on whatever we optimize on the existing waste heat, that is part of the cost saving.

Installation of new waste heat is not part of the saving.

Okay. Could there be any additional benefit from this Central India ramp-up that you could get?

Central India ramp-up, cost benefit would definitely be there. It's when it's reflected because Central India, we have a major cost advantage in that region.

Okay. Understood.

Just one last question. Could you share the consolidated cash balance as of FY '26?

Actually, standalone and consolidated cash balance is the same because the subsidiaries are mainly SAFCO and Fujairah, where hardly there is no cash balance as such.

Okay. No problem.

Thanks. Yeah.

Thank you for the opportunity, sir. One of our peers mentioned that they're having some regulatory clearance issues in Punjab, which is also the location for one of our plants.

I just wanted to check, are we sort of also anticipating some similar issues, especially given the fact that there may be election-related slowdown there?

As of now, it's very difficult to say, but we don't foresee, what we have identified that there should be any issues. If there are, we will inform everyone.

As of now, there are no issues.

Understood, sir. That is very clear.

Secondly, sir, just wanted to get a sense of what sort of cost inflation we are looking at. Could you just break it down perhaps into different segments, such as fuel, packaging, etc.?

See,

as far as fuel is concerned, yes, it is an impact, but every day situation changes. Even as of now, today you see the situation.

Again, it will take some time for the things to Even to get things normalized, it will take about three to four months. I don't think so that what will be the fuel situation for supplies.

Whatever we have new orders which we have already secured for up to September. We have to have a planning till September.

That inflation, that cost trend, we have already informed you. It's about 150 and it may go up to 200.

There are other cost increases on account of whatever is a diesel price increase. Whatever it comes, that has an impact.

We do not know what could be the impact of that. Again, our efforts would be that we would try to pass on that increase.

Packaging cost?

Packaging cost, it was there, but now it has already reduced. The packing impact, which was there sudden because of increased demand and now the alternates have already been worked out, and the packing cost factor which was there, that has reduced, I think, substantially.

It has been addressed.

Understood, sir. Sir, if I may, say, in the recent, say, 10-odd days, we had a fairly substantial increase in diesel prices, about, say, ₹8 to ₹10 per liter.

What sort of impact does this sort of increase have on our freight costs, sir? Just a ballpark figure will do.

See,

as of now, whatever increase had taken place, there has not been any significant impact, maybe about ₹10, because it did not Yes, there is already some shortage in the market of diesel. It is a trend.

Now there's been an increase announced only yesterday. We have to see what is coming in the pipeline, how much we have to pass on.

It will depend. We have to wait and watch.

Understood, sir. Just a last bookkeeping question.

Sir, what was your paints revenue and EBITDA for this year?

The paint top line was 380 crores, and there was a 40

around 40 crores

of of 40 crores plus loss was there in the paint business.

Got it, sir. We expect it to break even next year?

Yes, yes. Now we expect a top line of 500 to 550 crores in this fiscal, and with the improve in the gross margins and other things, we expect that this year we should have a break-even or maybe a marginal EBITDA, but definitely

break-even. Understood, sir.

Thank you

and all the best.

Hi, am I audible? Sorry to interrupt you,

Pathanjali, you are not clearly audible.

Is it better now?

Much better, please go ahead.

Yes, sir. Sir, I have a couple of questions.

Firstly, with respect to our other expenses, is there any one-time or promotion kind of expense which we have spent on the higher side, because on a year-on-year basis, the increase seems pretty steep? See,

other expenses, one is an increase because of increase in the business, in the volumes. Other expenses includes packing costs, includes stores and spares, and certain selling expenses, which are variable in nature.

As our volumes increase, the impact is there. The other head where the increase is there that we are investing on some of the branding both in the grey and the white business.

Because of the investment in branding, which, with the current market, we need to do that. There's an increase, which is not very substantial, but incremental company may be doing about 50 to 60 crores additional branding.

One more area, our lead distance has come off quite a bit. Will we start seeing benefits from this on a per ton per kilometer basis going forward?

Yeah. We have to see, per ton per kilometer, as we enter new areas, every region has a different per ton per kilometer range.

Now, in our case, what is happening, all the incremental volumes which are coming, which is all road-based. We do not have the incremental volume or not rail-based, which will come with the new expansion when we do at Jaisalmer.

On per ton per kilometer, though we'll be able to maintain, but again, lead distance depends as you have to reach out to new markets. More or less, we should be able to maintain the same lead distance and increase upon our volumes.

Got it, sir. Just one related question, sir.

What is the impact for us with sensitivity with respect to increase in diesel prices? Could you give me some rough numbers for that?

See, diesel prices may have an impact both internal and external. One is internal material movement.

I think if suppose it goes up to ₹10, ₹11, which is a fair number, I think it will go up, as the way the government is doing. Today, it has already been now ₹7.

So, ₹11, ₹12, it may have an impact of maybe about ₹50 a ton, ₹60 a ton.

Got it, sir. Thank you so much, sir.

Hello. Thank you, sir.

Thanks for taking my question. Couple of questions.

First thing is about the pricing. Do you see any kind of pre-monsoon price hike?

Second will be on the demand. Don't you think we are a bit conservative on giving the full-year industry growth of around 6% to 7%?

Because, post-COVID, we saw some kind of a revive in demand. Again in 2000, FY '25, we saw a drop year-on-year volume growth or demand.

What's actually happening in ground level? Whether things are not working, kind of infra work or anything, any kind of issues or challenges we are facing that we are a bit conservative on our industry demand growth?

No, we are conservative. See, again, 6% to 8% is a fair, if you look at the cement industry, it has been growing at 6% to 8%.

Normally, it was a old formula, the cement grows at 1.2 times the GDP growth. GDP sometimes, but that is that was the old one.

I think cement infrastructure and as you said, on a on a infra spend, that is a there is a good demand. We have to see the present See, what we are saying 6% to 8%, look at the present geopolitical situation, which is having some impact on many businesses.

All this impact does have an impact on housing. We may see.

We have not seen any major, but we have to factor all this because people, if they are short of, their businesses are down, they may have to defer the their housing investment for some time.

Do you see any kind of liquidity crunch or cash flow issues from the government side? Do you see any kind of things?

Government side, I don't have to comment on that. Everybody knows.

You may be in a better position to know what is the cash position in case of government.

Okay. Pre-monsoon price hike, do we see any kind of price hike?

As there is a

cost increase, yes, we would like to pass on all the cost increase prior to the lean period. That would always be the effort, and we will see and wait and watch and see whatever price increase we can do at least pass on all the cost increase.

Okay. Thank you, sir.

Hi, sir. Thank you.

Surprised to get a chance at much later date despite pressing *1 at much earlier. A couple of questions are from my side.

Sir, first, when we said that for this year, we are looking at at least 2.5 million ton incremental volume and maybe more, similar way, one can also look at for FY '20 also, given Jaisalmer, all the Bikaner, Jaisalmer, and the Punjab would also support the incremental volume at least for second half? Maybe if you can also highlight even if we can try to start the plant by 2, 3 months earlier, so that can also have some extra volume.

Similar 2.5, 3 million ton extra volume is also one can look at in FY '28 also? Sure,

sure. See, again, we are making investment.

If we are making a capital investment on capacity, definitely we will like to have that volume growth. We are working.

We will definite going forward with our plans on 2030, you will see that minimum earlier I said that we should get on an annual 2 million additional volume. Now I've already revised that to say 2.5.

Going forward, I hopefully will revise it to minimum additional 3 million every year. We have to give the return on investment also,

no? Sir.

Sir. Yeah.

Second, sir, in terms of CC ratio, currently, maybe in fourth quarter or maybe entire FY '26, is it still at 1.55? Is there a way to further improve this?

See, there are ways. Again, it also depends on the demand pattern.

As we see, there is a good infra growth, and infra is more on OPC. We have to see in which way the demand is growing.

All the clinker-cement ratio depends upon the mix, and we cannot just ignore and it is not possible to get this growth only on trade. Okay.

Okay. Got it.

Sir, just to clarify on the staff cost, the previous answer, I think it was on the standalone basis. On a consol basis also, similar way when we are looking at 12%, 14% kind of on a full-year basis kind of a growth, because on this quarter, the consol employee cost is 291 odd crore.

From Q1, we should see the further increase here?

Yeah. Of course, from Q1, you will see an increase.

The increase, as I said earlier, increases on account of the increments and we have already as per the labor code, we have reclassified the salaries to meet out the labor code's requirements. That is also having some impact on the wages.

Okay. Sir, on the capex front, sir has mentioned that FY '27, we are looking at 3,500 to 4,000 crore kind of a capex.

Jaisalmer balance capex is 3,900 odd crore. Then from next year, does that also mean mostly we would be completing this and the extra FY '28 what we are saying 1,500 to 2,000 crore, this will be for Muddapur expansion, that will be the next?

No, no, we have not considered the next expansion in this because this 3,500 is not going towards the Jaisalmer expansion, the entire capex. It includes the normal capex.

It includes the capex on the putty plant, which is going on. Then we also consider the investment as part of it is whatever we are doing for the solar tie-ups or investing in the SAFCO or the paint.

There is an investment also in coal block and there is other normal capex. Out of 3,500 crores, which we expect maybe the overall capex, about 1,000 crores, 800 to 1,000 crores would be the normal capex and other capex and about balance would be on the greenfield expansion.

Okay. In Panna, the entire roughly 680 crore was supposed to be spent, the balance capex out of the announced 18 2,850.

Have we entirely done it in the fourth quarter, or still something is pending?

What is happening in case of Panna, there's some spillover capex and expenditure remaining to the railway siding. Number two, I'm happy to inform that out of 2,850, there would be a good amount, at least 200 to 250 crores saving, about 300 crores saving in Panna.

We will end up the project at a lower cost. Oh,

great. Great.

That's a great thing. Sir, on the paint, when we said that the 500 to 550 crore revenue that we are looking at for FY '27 and EBITDA break-even or maybe positive, this will be for entire full year on an average basis we are saying, not for by exit of FY '27?

No, no,

no. I'm talking about the full year.

The 550 is not exit, it is a full-year number. 500 crores is the full-year number.

When I said EBITDA positive is the full-year number.

Okay. The incentive maybe the 29 crore that we have said for fourth quarter, from third quarter onwards, we should start seeing this number should be significantly jumping up to 70, 75?

It may vary quarter-on-quarter, but I'm saying full-year number should be around 250.

I'm trying to understand the FY '28 that number. If the run rate goes to 70, 75 crore, then this number would be 300 crore for FY '28.

I'm trying to understand that.

Yes, definitely it will increase going forward then.

Yeah. On the white business front, on the volume front, now the 0.6 million ton, 6 lakhs will be there by Q2 or maybe one or two months early, we should be seeing for full-year basis how one can look at on the volume at a consol white cement?

Consol white cement, we expect we should see an 8% to 10% growth.

Okay. That run rate will keep on going on for us?

Yeah.

Yeah. Lastly, sir, thermal power plant capacity, 27.5 megawatt that we have reduced in this quarter, from which plant or any specific reason?

Actually, we have the thermal power plants at the white cement and one thermal power plant at the grey cement, that is now we have discarded that power plant. As it is, we are not operating, it is not economical to operate.

Now we're going for more green power.

Are we going to sell as a scrap, or can we get some kind of a revenue, or it will remain as it is, or maybe we can use as and when required?

Mostly we should sell it as scrap only.

Okay. Then green, sir, now the WHRS is there, this 51%, 52%, how we can look at for full-year FY '27, this number going up?

FY '27, it should increase by 2%, 3% because we have some approvals from the state government and from the group power, the listing is there. I think this should be closer to 55 by FY '27.

Okay. Because if the target is to reach a 75, the main increase will start coming from FY '28 onwards to reach that 75% share?

We will reach that number. Once when we put up green power, it takes time before it gets installed.

When combined, we have about already 80 megawatts in process. Once they get commissioned, it will substantially improve the green power.

Okay. Lastly, sir, what you said is basically the cost increase overall and the price increase, net-net for Q1, at least we'll be seeing the similar kind of a profitability if everything is one consider as on today's date, everything remains as on.

Maybe Q2, if the price increase is not there, then maybe some pressure can come in on the profitability. That's the way one can look at?

You can look at that way. It depends.

Okay.

Okay. Thank you, and all the best, sir.

Thank you.

Yeah. Good evening, sir.

I have a question. Firstly, on your white cement profitability, is this on EBITDA per ton basis including putty similar, or how does it compare to grey cement performance?

See, we don't share separately the white cement profitability and putty.

Directionally, I know it has been coming down from historical levels.

It has been coming down because of increased competition, and I think now going forward, it should not further reduce.

Okay. Another housekeeping question.

Your North operations would be now running at close to 100% utilization, right? Central region, your capacity is now increased to almost similar, I think maybe slightly higher than North.

How is the North No,

North still remains the highest capacity out of 32 million. Basically, if you say 15.5 is North and 16.5 are South and Central.

Central is 12, 4.5 is South.

The debottlenecking which you have done in this year are on which all plants?

Mainly it is in the South plant where we have increased the capacity from 3.5 to 4.5 million.

South has seen 1 million ton increase. Okay.

Yeah.

Just related question on Central region. It's cost in Central region on a expanded capacity, what could be the utilization?

Expanded capacity, overall utilization should be around 65%, 70% combined.

Okay. On a 12 million ton volume, you have 65%, 70% utilization, right?

The run

rate. Run rate, right.

Okay. Sure, these are my questions.

Thank you, and all the best.

Hi, good afternoon, and thanks for taking my follow-up question. Just couple of bookkeeping questions.

What was our kcal cost this quarter, the rail share, and the CC ratio? Thank you.

The kcal cost was ₹1.48. Hello?

Yes, sir. The railway share?

It was 8%.

Lastly, the CC ratio.

CC ratio we are at 67%.

Broadly flat sequentially. Great, sir.

Thanks, and all the best.

Yeah. Thank you.

Sir, I had a couple of questions. Actually, the first question was that this is especially regarding Central India operations.

A lot of your peers have been kind of since the time you've started the new kiln, they have been kind of giving the feedback that JK Cement is trying to push a lot of volumes, especially non-trade segment, which is actually bringing the broader pricing to a subdued level in Central India. What is your response to this, sir?

What is your strategy in Central India operations in terms of ramping up utilizations and in terms of correlation to pricing? How do you respond to that?

No, no. See, that was about two quarters back, but definitely it's not non-trade, but as per CAM, we see CAM as a major driver for the volumes, and we are not only Central India, across we are working out on key management account to increase our volumes.

We are not dumping any material anywhere.

In Central India per se, there's no reason for worry from JK Cement's perspective. Okay.

Sir,

second question was that when we had our recent investor meet in March, you had actually guided for and you have been guiding for a 50 million capacity by FY '30. Now given that a few players are kind of holding on their expansions, whereas companies like the industry leaders, especially UltraTech Cement, they are now talking about 300 million capacity.

What would be JK Cement's thought process would be after Jaisalmer? I know it's a little early to give a response to this, but as because you have been executing very well and in fact you have shown in your execution all the time through that you can execute capacity as well as volumes given by several things.

Going forward also, assuming that geopolitical situation doesn't settle down and other peers kind of reduce their capacity expansion, will JK Cement continue to move forward to the 50 million road map? Are you confident on that, or there could be possible delay?

See, as on date, we are confident that whatever we have planned for 2030, and we don't foresee any change in that plan. However, in case because of geopolitical situation, there is a major challenge on cash flows if because of geopolitical external factors, and we may have to shelf for another 6 months or so, but nothing long drawn.

We are quite sure that, as of now, we don't see any fall. We're quite confident that we will go ahead with our plan for '20.

Sir, just one last follow-up on this. Prashant, sir, gave a guidance of 1,500 crores of capex for FY '28.

That factors in your road map for 50 million, or should there would be additional? No, no,

no. See, what he has given a guidance is only with respect to the commitments as on date.

When we give a guidance, we don't include what we have not committed so far. The next expansion is definitely there on the cards.

We are planning for it. We will go ahead with it.

We will give the capex commitment plan only once it is approved by the Board.

Understood, sir. Understood.

Thank you, sir. On behalf of PhillipCapital (India) Private Limited, we would like to thank the management of JK Cement for the call and also many thanks for the participants for joining the call.

Darwin, you might now conclude the call. Thank you, sir.

Thank you, everyone, joining the call. Thank you.

Thank you, sir.

Thank you.