New Labour Laws Impact JK Lakshmi Cement's Profit Margin

JK Lakshmi Cement Ltd reported a significant decrease in profit for the December quarter, affected by the implementation of new labour laws. While revenue increased, exceptional costs led to a profit dip. The company's outlook for 2025-26 shows positive growth potential driven by infrastructure and housing demands.

JK Lakshmi Cement Ltd has reported a 23.66% reduction in consolidated profit during the December quarter, attributed to the implementation of new labour laws. The company's net profit plummeted to Rs 57.04 crore, down from Rs 74.72 crore recorded in the same period the previous year.

Additionally, JKLC incurred an exceptional cost of Rs 19.09 crore due to the new labour codes. Despite this, profit before exceptional items and tax rose by 5.55%, reaching Rs 94.26 crore compared to Rs 89.30 crore in the prior fiscal year.

The company's revenue from operations increased by 6.11% to Rs 1,588.40 crore. A robust 8.24% uptick in sales volume supported this growth. Looking ahead, JKLC expects a 6% industry growth, propelled by infrastructure and housing demand. Shares settled down 1.91% at Rs 761.80 on BSE.