JK Cement Reports 6.3% Rise in Q2 Net Profit as Subsidiary Plans New Paint Plant in Telangana

New Delhi: JK Cement Ltd has reported a 6.31 percent increase in its consolidated net profit, reaching ₹169.3 crore for the September quarter of FY2026-27. The growth was largely driven by higher sales volumes across its core segments during the quarter.

In the corresponding period last year, the flagship company of the JK Organisation Group had posted a net profit of ₹159.25 crore, according to a regulatory filing. Revenue from operations for the quarter under review grew 23.65 percent to ₹3,733.42 crore, compared to ₹3,019.20 crore in the same period of the previous fiscal year.

According to the company's Investor Presentation, JK Cement achieved robust volume growth and higher profitability despite ongoing cost pressures. Total income, which includes other income, rose 22.84 percent to ₹3,771.29 crore. However, total expenses also saw an increase, going up by 24.34 percent to ₹3,515.71 crore.

A closer look at the operational metrics shows strong demand in the cement segments. Grey cement sales volume registered a 21 percent increase, reaching 5.37 million tonnes (MT) for the second quarter of FY27. Similarly, white cement volume recorded a 13 percent growth, standing at 0.49 MT.

In a separate regulatory filing, JK Cement announced that its board of directors, during a meeting held on Saturday, approved a proposal by its wholly owned subsidiary, JK Maxx Paints Ltd. The subsidiary plans to set up a new water-based paint manufacturing plant with an annual capacity of 75,000 kilolitres. The facility will be located in Raghunadhapalem, within the Suryapet district of Telangana.

The upcoming manufacturing plant entails an estimated capital expenditure of ₹130 crore. This investment will be funded from the ₹600 crore allocation for the paints business that was previously approved by the board. The company stated that the new plant is expected to be commissioned within 12 months from the commencement of construction.

JK Maxx Paints currently operates a manufacturing facility in Bhiwadi, Rajasthan, which has an annual capacity of 73,000 kilolitres and is currently running at 60 percent utilisation. The company anticipates that its existing facility will reach full capacity utilisation by FY28, making the new capacity expansion necessary to meet future demand.

"JK Cement's latest quarterly performance demonstrates how steady volume growth can sustain profitability even amidst rising cost pressures. Furthermore, the strategic capital allocation by its subsidiary, JK Maxx Paints, toward expanding manufacturing capacity in Telangana indicates a disciplined approach to scaling operations ahead of projected demand milestones. This balanced focus on core operations and strategic diversification reflects sound long-term business planning." — Dr. Shishir Gupta, Founder & CEO, StartupLanes