India: JK Cement’s sales rose by 10% year-on-year to US$763m in the financial year to 31 March 2020 from US$691m in the same period in 2019. Its sales volumes of cement decreased slightly to 9.8Mt and its profit after tax nearly doubled to US$63.5m. However, its sales fell slightly in the fourth quarter, sales volumes of cement dropped by 7% year-on-year to 2.9Mt and it reported a significantly reduced standalone net profit.
The cement producer said that its operations had gradually stabilising since coronavirus lockdown measures were relaxed. All of its integrated and cement grinding plants had resumed production and despatch. It noted that due to lower power demands less fly ash was available so it is sourcing this from other locations. Labour shortages are also affecting bag supplies and the availability of drivers. As part of cash conservation measures it has restricted capital expenditure to US$66m in the current financial year.
