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The market expects JK Cement to do better than it ever has.
At today’s share price, buyers are assuming JK Cement grows about 21% a year, forever. Over the last ten years it actually grew about 15% a year. So the share price only makes sense if the business improves on its own track record. If it simply carries on as before, buyers today have paid for something they will not get.
- How it is valued: Discounted cash flow.
- What the price assumes: 21% growth, against 15% the model takes from its own record.
- Ten-year record: Between FY2018 and FY2026, JK Cement's revenue went from ₹4,758 crore to ₹13,722 crore — it compounded at about 14% a year over 8 years.
- Biggest swing factor: Capacity growth. Main risk: Price wars.
01A Singhania family cement company
J.K. Cement, part of the Kanpur-based Singhania family's JK Organisation, makes grey cement in northern, central and southern India and is expanding capacity.
It is one of India's leading makers of white cement and wall putty, and has entered decorative paints.
02What the market is assuming
Work backwards from today's share price and you can see what buyers are quietly taking for granted. Here is the growth that price implies for JK Cement, next to what the model assumes from the company's own record.
The further apart these two numbers are, the bigger the bet a buyer at today's price is making.
03JK Cement's record, in plain numbers
Between FY2018 and FY2026, JK Cement's revenue went from ₹4,758 crore to ₹13,722 crore — it compounded at about 14% a year over 8 years. Net profit grew from ₹342 crore to ₹988 crore, about 14% a year — roughly in step with revenue. In FY2026 it kept 7.2% of revenue as net profit — against a low of 4.3% in FY2023 and a high of 10.6% in FY2021. The latest year added 15.5% to revenue, close to its own long-run pace.
Revenue and earnings per share in ₹, return on equity and leverage as ratios — all from the filed statements.
Revenue and net profit by year (₹ crore)
| Year | Revenue | Net profit | Margin |
|---|---|---|---|
| FY2018 | 4,758 | 342 | 7.2% |
| FY2019 | 5,259 | 264 | 5.0% |
| FY2020 | 5,802 | 483 | 8.3% |
| FY2021 | 6,606 | 703 | 10.6% |
| FY2022 | 7,991 | 679 | 8.5% |
| FY2023 | 9,720 | 419 | 4.3% |
| FY2024 | 11,556 | 790 | 6.8% |
| FY2025 | 11,879 | 872 | 7.3% |
| FY2026 | 13,722 | 988 | 7.2% |
04How JK Cement gets valued — and why
Discounted cash flowThis business is valued on the cash it is expected to generate, discounted back at its cost of capital — with growth taken from its own ten-year record rather than from guidance.
05What decides JK Cement's value
Capacity growth
New plants drive volume.
White cement and putty
Higher-margin products.
Cement prices
Regional prices drive profit.
Fuel costs
Coal and pet coke prices.
06What could go wrong
- Price wars. Large rivals expanding fast.
- Debt. Expansion raises borrowing.
- Paints. A new, competitive business.
07What the full JK Cement valuation shows
Sign in free to see the complete JK Cement valuation
- ✓Fair value per share — from a ten-year discounted cash flow, every step shown
- ✓The Workbench — change revenue growth, the discount rate or terminal growth and watch JK Cement's value move
- ✓Bull, base and bear cases — and exactly which assumptions move between them
- ✓Peer comparison — against UltraTech, Shree Cement and Ambuja Cements
- ✓Downloadable report — the full write-up, yours to keep
08Questions people ask about JK Cement
What does JK Cement make?
Grey cement, white cement, wall putty and paints.
Who controls JK Cement?
The Singhania family of the JK Organisation.
Why does white cement matter?
It earns higher margins than grey cement.
Is JK Cement overvalued?
At ₹5,155 the market is pricing in roughly 21% sustained growth, against the ~15% its own record supports. That is more than it has delivered, so the price is justified only if the business can hold a rate it has not previously sustained.
What is the intrinsic value of JK Cement?
It is computed from the filed financial statements using the method that fits this business (discounted cash flow), with every assumption shown alongside the result. The per-share figure and the full working are in the report.
How much debt does JK Cement carry?
Debt to equity stands at 0.67, down from 0.89 at the start of the period — the balance sheet is a core input to the cost of capital used here.