KCP Ltd
NSE:KCP
KCP Ltd
KCP Ltd. engages in the manufacture and sale of cement, heavy engineering, and power generation for captive use and hospitality. The company is headquartered in Chennai, Tamil Nadu and currently employs 634 full-time employees. The firm operates through five segments: Cement unit, Engineering Unit, Power Generation unit, Hotel and Sugar. Its cement business offers cement under various brands, namely KCP Cement, Grade 53 Ordinary Portland Cement (OPC) & Shreshtaa and Portland Pozzolana Cement (PPC). Cement business sells in the states of Andhra Pradesh, Telangana, Karnataka, Tamil Nadu, Kerala, Maharashtra, Madhya Pradesh, Chhattisgarh and Orissa, and also exported to Sri Lanka, Bangladesh and Myanmar. Its KCP Heavy Engineering (KCP HE) division of offers heavy manufacturing facility, with a fully integrated steel foundry, heavy fabrication, heavy machine shops with assembly facilities. Its power generation unit offers various power types, including hydel; wind; thermal, including waste heat recovery based; solar and thermal.
KCP Ltd. engages in the manufacture and sale of cement, heavy engineering, and power generation for captive use and hospitality. The company is headquartered in Chennai, Tamil Nadu and currently employs 634 full-time employees. The firm operates through five segments: Cement unit, Engineering Unit, Power Generation unit, Hotel and Sugar. Its cement business offers cement under various brands, namely KCP Cement, Grade 53 Ordinary Portland Cement (OPC) & Shreshtaa and Portland Pozzolana Cement (PPC). Cement business sells in the states of Andhra Pradesh, Telangana, Karnataka, Tamil Nadu, Kerala, Maharashtra, Madhya Pradesh, Chhattisgarh and Orissa, and also exported to Sri Lanka, Bangladesh and Myanmar. Its KCP Heavy Engineering (KCP HE) division of offers heavy manufacturing facility, with a fully integrated steel foundry, heavy fabrication, heavy machine shops with assembly facilities. Its power generation unit offers various power types, including hydel; wind; thermal, including waste heat recovery based; solar and thermal.
Cement Volume Growth: Cement business achieved 19% volume growth and 71% capacity utilization, but margins were hit by higher fuel costs.
Sugar Vietnam Performance: Sugar subsidiary in Vietnam showed strong results, with 20–25% higher prices and 10% higher volumes, driving group profits.
Margin Pressure: Rising coal and diesel costs significantly reduced EBITDA margins in cement, despite good demand and higher selling prices.
Engineering Losses: Engineering division continued to post losses due to rising input costs, despite a healthy order book; breakeven targeted for next year.
Strong Cash Reserves: Group cash reserves stand at about INR 500 crores; management is evaluating CapEx options and has no immediate plans for asset sales or buyback.
Power Segment Mixed: Green energy units performed well, but thermal power suffered due to high fuel costs; hydel and solar stable.
No Asset Sales: Management confirmed no plans to sell hotel or non-core assets, expecting improvement in these segments.
