JK Lakshmi reports weak numbers though marginally better than estimates

News: JK Lashmi Cement’s revenue remained flat YoY at Rs.1193.4 crore. However, EBITDA and PAT declined by EBITDA for Q3FY22 declined by 23.7% and 42.1% YoY, respectively.

Views: While the company’s volume got impacted due to transporters strike in the Chhattisgarh, a rise in the cost across verticals led to margin contraction of over 381 bps YoY to 12.3%. However, that was marginally better than our estimated EBITDA margin of 11.7%.

Impact: Neutral.