JK Cement Ar 2017 18 Delux

DELIVERING
ON OUR VISION
ON OUR ASPIRATIONS
ON OUR STRATEGY
CONTENTs HIGHLIGHTs OF FY 2017-18
WORLD OF J.K. CEMENT1-37
Our identity
Core strengths
4
6 REVENUE
Highlights of FY 2017-18 8
Our footprint
Product profile
10
12 `4,758.17 CRORE 9%
Chairman and MD’s insight 14
Business model 16
Key performance indicators 18
Economic trends
Key priorities
Capacity expansion
20
21
22
EBITDA
Operational excellence
Marketing and branding
26
28 `760.65 CRORE 10%
Human resource 30
Corporate social responsibility 32
Board of Directors 34
Accolades 37
PAT
Management’s Discussion and 38
`341.87 CRORE 62%

STATUTORY REPORTS38-81
Analysis
Directors’ Report 42
Report on Corporate Governance 66
FINANCIAL STATEMENTS82-200
Standalone 82
EPs
`48.89 62%
Consolidated 141
MARkET cAPITALIsATION
`7,098 CRORE 8.56%
As ON 31 MARCH 2018 COMPARED TO 31 MARCH 2017
GROWTH OVER FY 2016-17

OUR CMD NAMED
THE BEsT CEO
IN THE cEMENT INDUsTRY
Mr. Yadupati Singhania, our Chairman and Managing Director,
was conferred with the prestigious Best CEO Award in the
cement
industry by Business Today magazine. This prestigious award comes
as a result of years of hard work, dedication and perseverance.
Under Mr. Singhania’s leadership, J.K. Cement has recorded

strong accomplishments, positioning itself as a premier
contributor to the industry. His dynamic vision and pursuit for
excellence positioned
J.K. Cement amongst the best-run cement companies in India.
He was also ranked 28th among the best CEOs in India.
WE ARE THINkING FORWARD
AND OPERATING ON A VIVID,
PROGREssIVE AND
EXPANsIVE ROADMAP FOR
THE FUTURE. OUR VIsION Is
TO cONTINUE TO PARTNER
NATION-BUILDING AND
cREATE sTAkEHOLDER VALUE
THAT ENDUREs FOR THE
LONG-TERM.
As A PART OF THAT
OVERARcHING VIsION, REDUcE ENVIRONMENT
WE HAVE cONsIsTENTLY FOOTPRINT, BUILD A
ENHANcED cAPAcITIEs, FORMIDABLE TALENT POOL
INVEsTED IN VALUE- AND DRIVE cOMMUNITY
ADDED PRODUcTs AND INITIATIVEs.
DELIVERED HIGHER
FREE cAsH FLOW. OUR WE HAVE OUTLINED A
AsPIRATION TO cAPEX PLAN OF OVER
sTEADILY GROW THE `5,000 cRORE FOR THE
scALE AND scOPE OF NEXT FIVE YEARs TO
THE BUsINEss Is ALsO A GROW OUR GREY cEMENT
LOGIcAL EXTENsION OF cAPAcITY TO 18 MNTPA,
OUR VIsION. WHIcH Is ALMOsT DOUBLE
OF THE PREsENT LEVEL.
OUR BROAD sTRATEGY
Is TO BRING ON WE BELIEVE DELIVERY
sTREAM NEW Is A MOVING TARGET.
cAPAcITIEs, THEREFORE, WE ARE
ELIMINATE OPERATIONAL WORkING WITH A
BOTTLENEcks, FLEXIBLE AND
ENRIcH PRODUcTs FEAsIBLE
AND sOLUTIONs, BLUEPRINT TO DELIVER ON
ENERGIsE OUR BRANDs, OUR VIsION, AsPIRATION
AND sTRATEGY.
Our
OUR IDENTITY
CREATING VALUE THAT ENDUREs

WE HAVE ALWAYS BELIEVED IN CREATING VALUE FOR THE
NATION IN A SUSTAINABLE MANNER AND HAVE SERVED AS
AN AGENT OF EMPOWERMENT FOR ALL STAKEHOLDERS.
J.K. Cement Limited is part of the

industrial conglomerate J.K. Organisation,
VIsION
To be the preferred manufacturer of cement and cement-based products that partners in natio
which was founded by Late Lala
Kamlapat Singhania, and has been in
business since the early 1900s.
As one of the India’s leading cement

companies, we are consistently
growing our capacity and enriching our
product portfolio. The objective is to
reinforce our footprint in existing
geographies and foray into unexplored
terrains. Our
focus has been to ensure product quality,
drive operational excellence, strengthen
marketing and distribution network and
nurture our talent pool to sustain our
growth trajectory.
MIssION
J.K. Cement aims to deliver innovative products and solutions that meet the needs of its cust
OUR AssETs
Nimbahera, Chittorgarh
(Rajasthan)
Commencement: 1975
Grey Cement: 3.25 MnTPA
Thermal Power Plant: 20 MW
Waste Heat Recovery: 13.2 MW
Mangrol, Chittorgarh
(Rajasthan) Muddapur, Bagalkot Gotan, Nagaur
Commencement: 2001
(Karnataka) (Rajasthan)
Commencement: 2009 Commencement: 1984
Grey Cement: 2.25 MnTPA
Grey Cement: 3.00 MnTPA White Cement: 0.6 MnTPA
Thermal Power Plant: 25 MW
Thermal Power Plant: 50 MW Grey Cement: 0.47 MnTPA
Waste Heat Recovery: 10 MW
Wall Putty: 0.5 MnTPA
Thermal Power Plant: 7.5 MW
4 J.K. Cement
World of J.K. Statutory Financial
OUR cAPAcITIEs
10.50 MNTPA 1.20 MNTPA 0.7 MNTPA

Grey Cement White Cement Wall Putty
VALUEs
Integrity
Quality
Honour our commitments
Strive for perfection
We are committed to being
We are passionate about
honest and ethical in all
creating a culture of perfection
interactions, maintaining the
that encourages and
highest ethical standards in
promotes excellence in
all our markets, financial and
products and services through
operational practices.
innovation and continuous
improvement.
Trust
Care
Take pride in our promises
Observe, understand, assist
We are serious about
We genuinely care about
accepting the responsibility
our relationships and use
to win and maintain the
compassion to observe and
trust of our stakeholders.
understand stakeholder needs;
and be available to assist in
improving the lives of all.
People
Empower, inspire and respect
We treat one another with
respect and collaborate
openly. All ideas are welcome,
and we value diversity and
perspective.
A view of the Nimbahera plant
Jharli, Jhajjar
(Haryana) Katni Fujairah
Commencement: 2014
(Madhya Pradesh) (UAE)
Commencement: 2016 Commencement: 2014
Split Grinding Unit: 1.5 MnTPA
Wall Putty: 0.2 MnTPA White Cement: 0.60 MnTPA
Annual Report 5
Core
CORE STRENGTHS
EQUIPPED TO PARTNER NATION-BUILDING
PROGRESSING CONFIDENTLY
WITH OVER FOUR DECADES ONE OF INDIA’S
OF EXPERIENCE, PARTNERING LEADING GREY CEMENT
NATION-BUILDING AND DELIVERING MANUFACTURERS WITH AN
STAKEHOLDER VALUE INSTALLED CAPACITY OF
10.5 MNTPA
EXTENSIVE PAN-INDIA
A TOTAL OF MARKET REACH ACROSS
125.70 MW 15
(COAL-BASED AND WASTE HEAT
RECOVERY POWER PLANTS) STATES
CATERING TO OUR ENERGY FOR GREY CEMENT WITH
REQUIREMENTS ENHANCED PENETRATION
IN TIER II AND TIER III
CITIES
NATIONAL DISTRIBUTION
PAN-INDIA NETWORK OF NETWORK OF
OVER 12,000 DEALERS 42,000+ DEALERS
AND RETAILERS FOR OUR GREY AND RETAILERS FOR MARKETING OUR
CEMENT PRODUCTS WHITE CEMENT AND WHITE CEMENT-
BASED WALL PUTTY
6 J.K. Cement
SECOND LARGEST PRODUCER

OF WALL PUTTY IN INDIA, WITH
THIRD LARGEST WHITE AN INSTALLED CAPACITY OF
CEMENT MANUFACTURER IN
THE WORLD WITH 0.7 MNTPA
AND EXPANDING CAPACITY
1.20 MNTPA BY ANOTHER
0.2 MNTPA
ACCESS TO EXTENSIVE LIMESTONE

WIDENED GLOBAL REACH FOR RESERVES THAT ARE CAPABLE OF
WHITE CEMENT THROUGH SUSTAINING PRODUCTION FOR AT
EXPORTS IN LEAST
35 COUNTRIES 30 YEARS,
ENSURING SEAMLESS PRODUCTION
TEAM OF 2,900+ `5,000 CRORE+

PEOPLE, CONTRIBUTING CAPITAL EXPENDITURE OUTLAY
TO ORGANISATIONAL FOR THE NEXT FIVE YEARS
OBJECTIVES FROM 2017-18
Annual Report 7
Highlights of 2017-
HIGHLIGHTS OF FY 2017-18
GLIMPsE OF OUR OPERATIONAL cANVAs

Growth in 2017-18 over 2016-17
GREY CEMENT
17% 29%
Production volumes Net sales
(from 6.77 MnTPA to (from `2,489.44 crore to
7.89 MnTPA) `3,211.71 crore)
WHITE CEMENT AND

WALL PUTTY
2%
White Cement production
14%
Wall Putty production
volumes volumes
(from 0.54 MnTPA to (from 0.54 MnTPA to
0.56 MnTPA) 0.62 MnTPA )
BUsINEss sUsTAINABILITY
49% 15%
CSR expenditure Water recycling (from 346,693
(from `3.23 crore to
`4.81 crore)
GREY CEMENT Vs WHITE

CEMENT - REVENUE MIX
69 70
(%) 72
67
71
28 30
31 33
29
GREY CEM ENT
8 J.K. Cement
WHITE CEMENT World of J.K.
FY13-14
Statutory Financial
Annual Report 9
Highlights of 2017-
15%
EBITDA
(from `328.77 crore to
`378.34 crore)
9% 5%
Net sales from business (from `1,216.28
EBITDAcrore
fromtobusiness
`1,330.99 crore) (from `364.66 crore to
`382.32 crore)
102%
Alternate fuels usage
(from 43,884 MT to 88,684 MT)
A view of the Gotan plant
INcREAsING sHARE OF sALEs FY 2017-18 FY 2016-17

FROM NORTH AND SOUTH INDIA
3,989,548
TO IMPROVE EBITDA 3,328,493
(MT)
1,723,55 1,541,90
1 2
1,187,297 1,149,173
1,000,846
NORTH SOUTH 7,71,542
WEST CENTRAL
1 J.K. Cement
Our
OUR FOOTPRINT
EXPANDING OUR REAcH

WE HAVE EXTENSIVELY DEVELOPED OUR DEALER NETWORK IN
ORDER TO DEEPEN OUR PENETRATION ACROSS INDIA AND
INTERNATIONALLY. CURRENTLY, WE HAVE A SIGNIFICANT NUMBER
OF DEALERS AND STOCKISTS IN THE GREY CEMENT AND WHITE
CEMENT SEGMENTS
AND HAVE PLANS TO INCREASE OUR CHANNEL STRENGTH IN
THE COMING YEARS.
WHITE CEMENT MARkET (GLOBAL)

1. Australia 19. Oman
2. Bahrain 20. Peru
3. Bangladesh 21. Philippines
4. Brazil 22. Qatar
5. Djibouti 23. Rwanda
6. Ecuador 24. Saudi Arabia
7. Hong Kong 25. South Africa
8. Iraq 26. South Korea
9. Japan 27 Sri Lanka
10. Jordan 28. Taiwan
11. Kenya 29. Tanzania
12. Kuwait 30. Thailand
13. Malawi 31. Uganda
14. Mozambique 32. United Arab 33
15. Myanmar Emirates (UAE)
16. Nepal 33. USA
17. New Zealand 34. Yemen
18. Nigeria 35. Zambia
6 4
GREY CEMENT MARkET (INDIA) 20
1. Andhra Pradesh
2. Delhi 9. Madhya Pradesh
3. Goa 10. Maharashtra
4. Gujarat 11. Punjab and
Chandigarh
5. Haryana
12. Rajasthan
6. Jammu &
Kashmir 13. Tamil Nadu
7. Karnataka 14. Uttaranchal
8. Kerala 15. Uttar Pradesh
1 J.K. Cement
STATE-WIsE GREY cEMENT VOLUME

(%)
STATE % OF VOLUME
RAJASTHAN 24.35
HARYANA 15.65
KARNATAKA 11.56
MADHYA PRADESH 10.55
MAHARASHTRA 10.22
UTTAR PRADESH 9.70
DELHI 5.16
PUNJAB AND CHANDIGARH 4.73
GUJARAT 3.60
OTHERS 4.47
11
14
5
122 15
8 12 26 9
10 2 9
16 4
24 22 32 3
28
157 10
19 30
5 34
18 31
23 11 21 3 71
27
29
13
35 813
14
1
25
17
Annual Report 1
Product
PRODUCT PROFILE
OFFERINGs THAT sET INDUsTRY

sTANDARDs
GREY CEMENT
Ordinary Portland Cement (OPC) Portland Pozzolana Cement (PPC) Portland Slag Cement (PSC)
WHITE cEMENT
JK White JK Wall Putty
VALUE-ADDED PRODUcTs
JK Primaxx JK Super Grip
1 J.K. Cement
Ordinary Portland Portland Pozzolana Portland Slag

Cement (OPC) Cement (PPC) Cement (PSC)
It is much in demand for its It is one of the premium and It has compressive strength,
extra strength and fineness. application-friendly Grey Cement primarily used in special structures
It is ideal for all kinds of brands in the country. It enjoys like
construction jobs and concrete significant demand from the retail pre-stressed concrete. It has a high
components production. and institutional segments. corrosive-resistance power. Hence,
it is widely used in coastal areas.
JK White Cement JK Wall Putty

It is suitable for numerous Its water-repelling and damp-
decorative and architectural resistant properties provide an
applications in white, light and ideal foundation for concrete
dark colours, be it interiors or / cement-plastered walls and
exteriors. ceilings, giving a smooth finish
for further application of paints.
JK Primaxx
It is a White Cement-based primer, JK Super Grip
ideal as an undercoat for exterior It is a premium product developed
cementitious surfaces, which for fixing ceramic and vitrified
enhances the quality and coverage tiles for interior walls and floors.
of paints for a long-lasting, smooth It lends an excellent bond on
and beautiful finish. It is a perfect cementitious surfaces such as
blend of strength, adhesion and concrete, cement plaster, cement
durability. mortar beds and others.
Annual Report 1
Chairman and MD’s
CHAIRMAN AND MD’S INSIGHT
DELIVERING sUsTAINABLY
WE ARE AIMING TO ALMOsT DOUBLE OUR GREY cEMENT PRODUcTION cAPAcITY TO 18 MN

A PRUDENT MIX OF INTERNAL AccRUALs AND DEBT.
DEAR SHAREHOLDERS,
believe that the next growth phase for It is deeply encouraging to see the
Our strategy, aspirations and vision
the Indian economy is likely to be magnitude of change around us, as the
revolve around one overarching objective,
driven by wide-ranging infrastructure Government of India is driving large-scale
nation building, as the India growth story
creation, investments and growing infrastructure programmes across sectors
continues to progress and evolve. The
consumerism, facilitated by higher such as real estate, ports, roadways and
reforms undertaken by the Government
incomes and an expanding middle-class energy. Flagship programmes - Housing
of India in the preceding couple of years
base. for All, Atal Mission for Rejuvenation and
have considerably bolstered India’s
Urban Transformation (AMRUT) and the
medium- and long-term outlook.
The year saw the rapid rollout of the Smart Cities mission - will transform
Goods and Services Tax (GST). It is a India’s urban and rural infrastructure
The size of India’s economy is over
landmark reform in post-independent across segments such as housing,
USD 2.5 trillion, making it the world’s
India, which is expected to expand the mobility and waste management.
sixth largest and it is growing at a
nation’s formal sector considerably and
healthy pace of 6.7% in FY 2017-18,
widen the tax base. The GST is likely to We believe, it is an exciting time for us to
despite unpredictable global headwinds. I
contribute to economic activity and fiscal contribute to the nation’s progress and we
strongly
sustainability, going forward.
1 J.K. Cement
are growing capacities, expanding reach, steadfast focus on enhancing

improving operational efficiencies and efficiencies across our plants.
strengthening the reputation and recall of
our brand. NET REVENUE
CAPACITY EXPANSION
We are aiming to almost double our Grey
Cement production capacity to 18 MnTPA
9 %
in the next four-five years. We plan to fund
our expansions through a prudent mix of
internal accruals and debt. EBiDTA
Aligned to our growth plans, we have
initiated in the first phase, a brownfield
expansion of 4.2 MnTPA to be on stream
by March 2020. The expansion envisages
1 %
a clinker capacity of 7,500 TPD at Mangrol,
with additional grinding capacity of 1
MnTPA each at Nimbahera and Mangrol.
NET PROFiT
62%
Besides, two split grinding units of 1.5
MnTPA at Aligarh, Uttar Pradesh and 0.7
MnTPA at Balsinor, Gujarat are planned.
The increased capacity will enable us to
reinforce our prominence in the northern
and western markets that promise
attractive growth. Our net profit grew by 62% to ₹341.87 crore in FY
2017-18, compared to ₹210.78 crore in FY 2016-17
We are also commissioning an additional and our Earnings per Share (EPS) stood at ₹48.89 in
installed capacity of 0.20 MnTPA of White FY 2017- 18 vis-à-vis ₹30.14 in FY 2016-17, a 62%
Cement-based Wall Putty at our Katni growth. Our focus on higher realisations and
plant in Madhya Pradesh. Post expanded portfolio of value-added products
expansion, our installed capacity for Wall ensured sustained profitability.
Putty will reach 0.40 MnTPA and our
total installed capacity will reach 0.90 To improve our market share, we are continuously
MnTPA. expanding our distribution network and also
investing in brand promotion. We are strengthening
SUSTAINABLE PERFORMANCE our relationships with existing dealers and retailers
I am happy to report another year of through multiple engagement initiatives. Besides, we
sustainable progress at J.K. Cement. are undertaking programmes to impart training to
During FY 2017-18, we reported 9% net teams on marketing and sales techniques and
revenue growth of ₹4,758.17 crore in technical applications of cement products.
FY 2017-18, compared to ₹4,379.83
crore in FY 2016-17, driven by volume PEOPLE MATTER AT J.K. CEMENT
growth The rich repertoire of experience and expertise that
across our core markets and multi- our teams bring on board
product strategy. Our EBITDA increased
10% to
₹760.65 crore in FY 2017-18 vis-à-vis
₹693.42 crore in FY 2016-17, owing to our
Annual Report 1
Chairman and MD’s
provides us a competitive advantage.
We are helping our people consistently
improve their skills through training,
while at the same time, strengthening our
leadership pipeline for the future.
PROGRESS WITH RESPONSIBILITY

Taking forward the legacy of the J.K.
Organisation, we continue to invest
in community wellbeing. We facilitate
various community development
initiatives in the realm of education and
vocational training, health and sanitation,
water management, environment
preservation and inequality.
At the same time, we are working

towards resource efficiency and energy
conservation by promoting blended
cement and the use of alternative energy
solutions to reduce our carbon
footprint.
We are taking confident strides in all

aspects of the business to deliver on
stakeholder commitments and to
contribute to India’s socio-economic
prosperity. On behalf of all members of the
Board and Executive Committee, I thank
all our stakeholders for their guidance
and support.
Warm regards,
Yadupati Singhania
Chairman and Managing Director
DIN - 00050364
1 J.K. Cement
Business
BUSINESS MODEL
A REsILIENT BUsINEss MODEL THAT

DELIVERs cONsIsTENT VALUE
FOR OVER FOUR DECADES, J.K. CEMENT HAS PARTNERED INDIA’S MULTI SECTORAL
INFRASTRUCTURE NEEDS ON THE STRENGTH OF ITS PRODUCT EXCELLENCE, CUSTOMER
ORIENTATION AND TECHNOLOGY LEADERSHIP.
KEY INPUTs LEVERAGING OUR cORE sTRENGTHs
MANUFAcTURED CAPITAL STRATEGIc LOcATION

• All the manufacturing facilities J.K. Cement’s manufacturing facilities are
that enable the entire process of adjacent to large reserves of high-quality
cement production starting limestone and core northern and southern
from the raw material extraction markets.
stage to the product packaging
and dispersal stage
NATURAL CAPITAL
• Primarily mineral reserves
(limestone and additives)
FINANCIAL CAPITAL
• Effective utilisation of equity,
free cash flows and borrowings
ENERGY EFFIcIENT
• Judicious capital expenditure
• Captive power
generation to provide
long-term sustained
HUMAN CAPITAL source of low-cost
power
• Collective skills and expertise of • Constant work
people at J.K. Cement towards reducing our
energy footprint
• Exploring non-
INTELLEcTUAL CAPITAL conventional energy
sources
• Product and process innovation
A view of the Mangrol plant
• Technical expertise in developing
cement and value-added
products
TEcHNIcAL EXPERTIsE
• Adoption of advanced technology
RELATIONsHIP CAPITAL • Constant technology
upgradation and robust R&D
• Long-term relationships with initiatives
customers, suppliers, dealers, • Constant addition of value-
shareholders and added products
communities
1 J.K. Cement
CREATING VALUE FOR

sTAkEHOLDER GROUPs
OPERATIONAL EFFIcIENcY
• Superior product mix as one of the
only two producers of White
SHAREHOLDERs
Cement in India • Dividend of `10 per
share proposed in FY
• The White Cement and Wall Putty
2017-18
segment contributes ~29% of top
line, providing stability in cash • 8.56% growth in market
flows capitalisation in FY 2017-18
• Rewarding shareholders with
• Focus on improving
operational efficiency to consistent dividend payout
reduce costs for 10+ years.
• EBITDA growing sustainably at
CAGR of 19.35% (FY 2014-15 to FY
2017-18)
PEOPLE
Team members are recognised for their
outstanding contribution towards the
organisation
MULTI-REGION PREsENcE
• Grey Cement plants and
offices in strategic locations
with wider market reach
CUsTOMERs
across Northern, Western Consistent R&D investment made to
and Southern regions meet evolving customer requirements
• Our White Cement and Wall
Putty are marketed and
sold across India and
globally COMMUNITY
Over `4.81 crore total community
investments made in FY 2017-18
EXPANsION PLANs PARTNERs/DEALERs

• Proposed expansion of Grey Cement • Annual Grey Cement Dealers
capacity by 40% - J.K. Cement well Conference held in Thailand with
positioned to capture future growth 450+ channel partners
• Proposed expansion of Wall Putty
• Annual White Cement Dealers
capacity by 0.2 MnTPA by June 2018
Conference held in Shanghai
with 150+ channel partners
Annual Report 1
Key performance
KEY PERFORMANCE INDICATORS
PROMIsING PERFORMANcE
NET sALEs EBITDA

(` IN cRORE) (` IN cRORE)
Our net sales Our EBITDA rose
increased owing to owing to economies
4,542.70 the growing 760.66 of scale and better
volume in both 693.43 realisation despite
3,705.72 Grey and White increase in input
3,337.31 3,531.22 Cement, driven by costs.
demand across our 519.89
2,781.54
463.82
core geographies.
374.91
13.05% 19.35%
CAGR CAGR
22.58% 9.69%
FY13-14 FY14-15 FY15-16 FY16-17 FY17-18 y-o-y growth FY13-14 FY14-15 FY15-16 FY16-17 FY17-18 y-o-y growth
PROFIT AFTER TAX (PAT) NET WORTH

(` IN cRORE) (` IN cRORE)
Our PAT Our consistent
strengthened on escalation in net
341.87 account of worth indicates
rationalised 2,147.35 sound financial
borrowings at 1,871.52 health and
lending lower 1,646.54 1,690.29 demonstrates
interest cost 1,543.38 that our assets
210.78
as well as are
156.92 temporary growing faster vis-
deployment of free à- vis liabilities.
97.03 103.33 cash flows in return
generating treasury
products.
8.61%
CAGR
37.01%
CAGR 14.74%
62.19%
1 J.K. Cement
World FY15-16
FY13-14 FY14-15 of J.K.FY16-17 FY17-18 Statutory
y-o-y growth Financial
FY13-14 FY14-15 FY15-16 FY16-17 FY17-18 y-o-y growth
Annual Report 1
Key performance
KEY FINANcIAL RATIOs

FY13-14 FY14-15 FY15-16 FY16-17 FY17-18
Debt equity ratio 1.37 1.40 1.45 1.32 1.04
Interest coverage ratio 2.88 2.37 2.15 2.87 3.62
Current ratio 1.32 1.22 1.10 1.18 1.34
Quick ratio 0.76 0.71 0.70 0.72 0.87
Fixed asset coverage ratio 1.09 1.42 1.44 1.49 1.61
Inventory turnover ratio 3.32 3.79 4.57 4.59 4.98
EARNINGs PER sHARE (EPS) BOOk VALUE PER sHARE

(`) (`)
Our EPS grew Our book value
48.89 owing to the per share also
Company’s showed an upward
growth in overall 307.08 movement,
operations and reflecting steady
267.64
profitability. growth in
235.46 241.72
30.14 220.71 shareholder value.
22.44
13.88 14.78
37.00% 8.61%
CAGR
CAGR
62.19% 14.74%
FY13-14 FY14-15 FY15-16 FY16-17 FY17-18 y-o-y growth FY13-14 FY14-15 FY15-16 FY16-17 FY17-18 y-o-y growth
DIVIDEND PAYOUT
(`) FREE cAsH FLOW
(` IN cRORE)
We remain Growing free
10.0 steadfast on our cash flow
commitment to allows us to
grow shareholder 429.40 pursue
8.0
value through opportunities
consistent dividend that enhance
payout 304.62 shareholder value
4.0 4.0 226.26 by pursuing
3.0 194.74 capacity expansion,
develop new
35.12% products,
pay dividends and
CAGR
reduce debt,
among others.
FY13-14 FY14-15 FY15-16
25.00% -1.77
FY16-17 FY17-18 y-o-y growth FY13-14 FY14-15 FY15-16 FY16-17 FY17-18
2 J.K. Cement
40.96%
y-o-y growth
Annual Report 2
Economic trends I Key
ECONOMIC TRENDS
MAcRO LANDscAPE sHAPING OUR sTRATEGIEs

AT J.K. CEMENT, WE ARE CONFIDENT ABOUT OUR CONSISTENT
PROGRESS OWING TO THE IMMENSE GROWTH POTENTIAL INDIA
OFFERS THROUGH MULTI-SECTORAL OPPORTUNITIES. WE CLOSELY
ANALYSE THE BROAD OPERATING SCENARIO TO UNDERSTAND
WHERE OPPORTUNITIES LIE AND HOW TO RESPOND TO THEM
THROUGH ROBUST STRATEGIES.
Infra promise Housing for All

The Union Budget FY 2018-19 increased allocation to
The Union Budget FY 2017-18 allocated USD 123.57
this vital sector by 21% to USD 92.3 billion, creating
million to achieve the Government’s mission of ‘Housing
significant opportunities for the cement industry. The
for All’ by 2022. The housing sector accounts for nearly
Government has devised large-scale infrastructure
67% of the total cement consumption in India, thereby
programmes such as Sagarmala, Bharatmala and AMRUT
paving the growth trajectory for the cement industry.
spanning sectors such as real estate, ports, roads and
power.
Railways gathers momentum

Smart Cities The Indian Railways is expected to execute projects worth
Over 95 million citizens across multiple
USD 127.8 billion by 2030, to expand and build railways
upcoming cities are expected to be benefited by
infrastructure across the country. The Indian Railways
the Smart Cities Mission; 147 projects are already
plans to develop infrastructure that will propel the cement
complete, with projects worth USD 21 billion
industry. (Source: KPMG report – India Soars Higher)
under various stages of implementation. (Source:
KPMG report – India Soars Higher)
Cement with bitumen

Urban Bharat The Government of India has decided to adopt cement
With growing urbanisation and an aspirational
instead of bitumen for the construction of roads. This is
population with more disposable income, there is a
because cement is more durable and cost-effective to
strong consumer demand for value-added products.
maintain compared to bitumen in the long-run. This is
expected to boost demand for grey cement.
2 J.K. Cement
KEY PRIORITIES
OUR sTRATEGIc ROADMAP
Objectives What’s on the radar Achievements, FY 2017-18
Capacity • Double Grey Cement capacity through • Initiated brownfield expansion of

expansion brownfield and greenfield expansions 4.2 MnTPA
• Increase efficiency and debottlenecking of
existing facilities
Operational • Manage resources through product • Enhanced input-output ratio in manufacturing
efficiency and technology innovations • Maintained EBITDA despite rise in fuel, diesel and
• Setup plants in strategic locations near grid power costs
limestone-rich areas and growth
markets
• Gain logistical advantages
Consolidation • Additional installed capacity of 0.20 MnTPA of White
• To maintain leadership in White Cement Cement-based Wall Putty at Katni, Madhya Pradesh
business by improving utilisation to be commissioned in Q1 FY 2018-19
• Increase Wall Putty capacity to maintain present • Experienced encouraging response for newer
revenue share products such as Primaxx
Enhance brand • Sales volume increased by 16% over FY 2016-17

visibility • Enhance brand visibility through print and • Conducted strategic marketing campaigns
online media and consumer promotions • Enhanced distribution strength
• Expand and improve distribution network
Overseas • Increased export footprint of White Cement
opportunities • Strengthen position in international markets • Steps taken to market other value-
added products in the international
markets
Customer-
centricity • Meet customers’ rapidly changing expectations • Adopted customer satisfaction practices
• Provide rich customer experience • Reinforced superior quality standards,
• Supply quality products at the right price ensuring customer satisfaction
• Resolve customer grievances
Water
conservation • Work towards reducing our water footprint • Recycled 399,969 m3 of water with ~25% of water
• Generate awareness among our stakeholders consumption across our plant sites
to encourage judicious water use • Adopted sustainable practices to ensure
prudent use of water
Environment
protection • Strive to reduce Greenhouse Gas (GHG) and other • Promoted the use of clean energy sources,
air emissions associated with the cement minimising clinker factor and increasing the
industry through innovation in operations and energy efficiency of our operations.
installation of greener and cleaner technologies • Increased utilisation of alternative raw materials
• Use alternate fuels with lower emission impact for the production of Grey Cement
• Manage our waste, focusing on reduce,
reuse and recycle
Annual Report 2
Capacity expansion
CAPACITY EXPANSION
NEW
UNLOck
EXcITING
OPPORTUNITIEs
THE GOVERNMENT OF INDIA IS NOW FOCUSING ON MEGA INFRASTRUCTURE
DEVELOPMENT PLANS, WHICH INCLUDE ROADS, RAILWAYS, PORTS, AIRPORTS
AND SMART CITIES. THIS WILL REQUIRE A HUGE HELPING HAND FROM THE
CEMENT INDUSTRY. WE, AT J.K. CEMENT, HAVE CONSISTENTLY INVESTED IN
GROWING OUR CEMENT CAPACITIES IN LINE WITH MARKET DEMAND ACROSS
THE COUNTRY.
GREY cEMENT cAPAcITY

EXPANsION
PHAsE 1
In FY 2017-18, we commenced our

LOCATION-WISE BENEFITS OF UPCOMING
brownfield expansion of 4.2 MnTPA,
CAPACITY GROWTH (MnTPA) CAPACITIES
which is expected to be ready by 2020.
• Expansion to increase presence
This involves a capital expenditure of
1.
in Gujarat and gain market share
about `2,000 crore.
in North India
OUR 4.2 MNTPA OUTLAY Mangrol, Rajasthan • Split unit expected to reduce overall
To consolidate market share in core
freight costs as well as fly ash cost
markets, we plan to expand the Grey
1.
due to close proximity to source
Cement capacity at Mangrol in
and consumption markets
Rajasthan. Our plan is to add 2.5 MnTPA
clinker capacity at Mangrol and two split
Nimbahera, Rajasthan • Current waste heat recovery capacity
grinding units of 1.5 MnTPA at Aligarh,
to be increased by 13 MW for further
Uttar Pradesh and 0.7 MnTPA at Balsinor,
reduction in power cost and to
1.
Gujarat, along with an additional grinding
meet green energy requirement
capacity of 1 MnTPA each at Nimbahera
and Mangrol locations. The expansion
Aligarh, Uttar Pradesh • Installing a belt conveyor, which will
is capital efficient at approximately USD
reduce the transportation cost of
73/tonne. The new capacity is expected
limestone and be more
0.
to reduce overall operating costs and
environment friendly
administrative cost on account of
better efficiencies.
• Cement-loading facility in wagons
Balasinor, Gujarat
at Mangrol to further reduce overall
transportation cost besides increasing
the flexibility
22 J.K. Cement Limited
Annual Report 2
Financial Statements
World of J.K. Cement Statutory Reports
PHAsE 2
We are also planning a 3.5 MnTPA

greenfield project with a capital
expenditure of `2,500 crore.
POST COMPLETION OF OUR TWO-

PHASED EXPANSION PLAN, OUR
PRODUCTION CAPACITY OF GREY
CEMENT WILL BECOME 18 MNTPA
IN THE NEXT FIVE YEARS.
WALL PUTTY CAPACITY GROWTH

To further strengthen our base in the
Central region, we are set to commission
an additional installed capacity of
0.20 MnTPA of White Cement-based
Wall Putty at our Katni plant in
Madhya Pradesh by Q1 FY 2018-19.
This would result in a total installed
capacity of
0.90 MnTPA. Existing Mangrol plant, where we are further expanding capacity
Annual Report 2017-18 23

Capacity expansion
CAPAcITY
EXPANsION
JOURNEY
2004
Expanded capacity
at Nimbahera to
2.8MnTPA
1988
Installed a pre-calciner
at Nimbahera; capacity
1984 enhanced to 1.54 MnTPA
Commenced a lime-based
White Cement plant at
1979 Gotan, with a capacity of
Doubled capacity from
0.05 MnTPA
0.30 MnTPA to
0.72 MnTPA by adding
a second line at
Nimbahera
2006
Enhanced White
2001 Cement capacity to
Established a new
0.30 MnTPA
1987 Grey Cement plant
Installed a with a capacity of
1982 captive
1975 thermal power 0.75 MnTPA at

Added a third Mangrol
plant at Bamania
Entered production line
the cement with increase in
business with capacity from
a 0.3 MnTPA 0.72 MnTPA
capacity plant to 1.14 MnTPA
at Nimbahera at Nimbahera

2023
Intend to achieve Grey
2018 Cement capacity of
• Initiated work on 18 MnTPA
4.2 MnTPA brownfield
2014 expansion for Grey
Cement at Mangrol,
• Commissioned a
Rajasthan, which is
1.5 MnTPA grinding
~40% of existing capacity
2007 unit for
capacity
Grey
at
Cement
Jhajjar,
• Enhanced Grey Cement Haryana • Enhancing Wall
capacity at Nimbahera Putty capacity at
by • Commissioned a
1.5 MnTPA Grey Cement Katni by
0.50 MnTPA
capacity at Mangrol, 0.20 MnTPA
• Set up a 20 MW coal-based Rajasthan
and 13.2 MW heat-recovery- • Commissioned a
based power plant at 0.6 MnTPA White
Nimbahera Cement capacity at
• Enhanced White Fujairah, UAE
Cement capacity to 0.4 • Commissioned a 25 MW
MnTPA coal-based power plant
• Acquired a 0.1 MnTPA and 10 MW WHR power
White Cement unit at Gotan; plant at Mangrol, Rajasthan
converted the unit to produce • Expanded Wall Putty
0.47 MnTPA of Grey capacity to 0.5 MNTPA at
Cement Gotan, Rajasthan
• Commissioned a 2020
0.05 MnTPA Wall Putty
plant at Gotan, Rajasthan Targeted completion of
2016 our Phase 1 expansion of
Set up a 0.20 MnTPA 4.2 MnTPA Grey Cement
2012 Wall Putty plant in
• Enhanced White Katni, Madhya Pradesh
2009 Cement capacity at
• Commissioned a Gotan by
3 MnTPA greenfield 0.2 MnTPA,
plant in South India increasing total White
at Muddapur, Cement capacity to
Karnataka 0.6 MnTPA
• Set up a coal-based
• Enhanced Wall
50 MW power plant at Putty capacity to
Muddapur, Karnataka
0.3 MnTPA at
and 7.5 MW coal- Gotan, Rajasthan
based power plant at
Gotan, Rajasthan
Operational excellence
OPERATIONAL EXCELLENCE
STREAMLINE
OPERATIONs FOR A
sUsTAINABLE FUTURE
WE ENSURE RAW MATERIAL SECURITY, ADVANCED OPERATIONS AND
STRINGENT QUALITY STANDARDS TO GROW OUR PRODUCTION VOLUME AND
DISPATCHES CONSISTENTLY. OUR ABILITY TO SWEAT OUR PLANTS BETTER AND
OPERATE THEM AT A HIGHER CAPACITY ENABLES US TO BE CONFIDENT ABOUT
MEETING OPPORTUNITIES OF THE FUTURE AND TEST OUR OPERATING VALUE-
CHAIN AT OPTIMAL LEVELS. THAT IS EXACTLY WHAT WE DID IN FY 2017-18.
MINING STRENGTH
the Company managed to grow its • Improved heat utilisation and losses
We are an integrated player with
EBITDA despite a multi-pronged pressure • Reduced wastage across processes
strategic advantage of access to high-
on costs. Because of the increase in pet • Conducted preventive maintenance
quality limestone mines. We operate
coke prices, the fuel cost went up by and part replacements for better
six limestone quarries in proximity to
almost 15%. efficiency
Nimbahera and Mangrol and two
Similarly, ban on pet coke for power
mines in South India to cater to the
plant impacted captive power- In the second half of the year, we
Muddapur plant. Based on geological
generation costs by more than 20%. An witnessed a higher demand and that
surveys, limestone reserves for both
increase of nearly 8% in diesel costs had allowed us better manufacturing and
Grey and White Cement are expected
an impact on the freight cost. preventive maintenance in order to run
to meet the existing and planned
our plants
limestone
We undertook various initiatives during at full capacity. This helped us test the
requirements for ~30 years. Recently, we
the year for better operations and readiness of our entire business value
were granted mining lease in Madhya
outcomes: chain and be confident of handling
Pradesh for two mines with an
• Reduced our raw material utilisation higher volumes going forward.
estimated reserve of ~518 MT – which
• Optimised the use of equipment
provides ample opportunity for
greenfield expansion up to 15 MnTPA.
We are making our mining processes

more efficient to ensure that those are
at par with global best practices. Our
focus is on improving resource
efficiency in clinker and cement
production by optimising energy usage,
utilising waste in production processes
and targeting higher alternative fuel
and raw material usage. We are also
working towards reducing the emissions,
effluents and wastes produced.
OPERATIONAL EFFICIENCY
We are optimising our utilisation levels
across all our plants. During the year,

GROWING PRODUcTION VOLUMEs (MT) IMPROVING OPERATING METRIcs

Grey Cement
White Cement Wall
7%
7,886,364 Putty
6,894,890 6,769,524
544,397 556,094 620,013 Average capacity utilisation

501,168 across all grey plants (64% in
477,627 543,349 FY 2016-17)
FY15-16 FY16-17 FY17-18 FY15-16 FY16-17 FY17-18 FY15-16 FY16-17 FY17-18

93%
ALTERNATIVE MATERIALS LOGISTICS EDGE Capacity utilisation in
In FY 2017-18, there was an increase in the Our Nimbahera and Gotan plants White Cement plants
utilisation of alternative raw materials for have railway sidings at the plant (91% in FY 2016-17)
the production of Grey Cement. The use of sites, reducing transportation cost
industrial wastes such as fly ash and slag significantly. We are expanding
as alternative raw material helps to reduce the clinker-loading facility to
the requirement of natural raw materials, cement-
8
without compromising product quality. loading facility at Mangrol to decrease
ENHANCED PROFITABILITY
the logistics cost via transport of
cement through rail. %
The realisations from White Cement and Capacity utilisation in Wall
White Cement-based products are higher Our strategy for new split grinding Putty (78% in FY 2016-17)
than that of Grey Cement and prices are locations will give us quicker access-
less volatile. We are strengthening Wall to-market and also provide
Putty volumes through expansions to significant advantage for logistics
cater to the growing demand for wall (both for fly ash and finished
putty in India. products).
White Cement plant at Gotan

Marketing and branding
MARKETING AND BRANDING
SMARTER sTRATEGIEs
BUILD AGILE BRANDs
WE ARE CONSTANTLY Our robust supply chain management Our distribution strength is being further
FOCUSING ON EMERGING ensures our products reach the right bolstered by policy initiatives such as the GST,
MARKET TRENDS AND markets with speed to address the which is allowing us to make greater direct
CONSUMER ASPIRATIONS TO demand scenario. We leverage mass dispatches and optimise our distribution
RECRAFT OUR MARKETING media, personal communication and presence and reach newer markets without
professional forums to enhance our brand investing in additional infrastructure such as
AND DISTRIBUTION STRATEGY visibility. This comprises channel partners, depots and warehouses.
TO STRENGTHEN THE dealers, specifiers, applicators and end
VISIBILITY AND OUTREACH customers. Our sales team works closely
OF OUR PRODUCT BRANDS. with a distribution channel that supports
a strong network of stockists.
GREY cEMENT ANNUAL DEALERs CONFERENcE, THAILAND
During the year, we revamped our Grey

Cement brand identity to reinforce the
assurance of safety and security. Our
brand, JK Super Cement is driven by
our core value of ‘Build Safe’. Through
our aggressive marketing and branding
efforts, our Grey Cement volume has
grown by 17%.
ANNUAL DEALERS CONFERENCE,

THAILAND – GREY CEMENT
The first-ever International Annual Dealers
Conference for JK Super Cement’s Gold
and Platinum dealers was held on 30th
July at Bangkok, Thailand. Our dealers
have been indispensable in helping us
achieve a higher growth and a stronger
brand presence due to their incessant
efforts. The meet was a small token of our
appreciation for our channel partners as
we gear up for new horizons of success
together. The meet was attended by over
450 channel partners from across the
12,000+
Strong network of dealers and
201+
Feeder depots serviced by 21
country. retailers for Grey Cement sales offices for Grey Cement

World of J.K. Cement Statutory Reports Financial Statements
WHITE CEMENT
We have strengthened our marketing
strategies in response to the ever-
increasing need for a White Cement-based
primer for external surface application.
We re-launched JK Primaxx with the
popular artist, Sunil Grover, as its brand
ambassador. Its top-notch filling property
inspired the new tagline ‘Best Finish Best
Nikhaar, Bahari Deewaron ka Sachha Yaar’.
Another TVC campaign was launched
with our brand champion for JK Wall
Putty, Shri Chhutkauji. These campaigns
received widespread appreciation and
participation from our social media
fraternity.
ANNUAL PLATINUM DEALERS
CONFERENCE, SHANGHAI ANNUAL DEALERs CONFERENcE, SHANGHAI
We organised our first ever International
Platinum Dealers Meet in February 2018.
This landmark event was organised to
celebrate the fierce passion of the channel
partners and their contribution towards
the Company’s success story. This meet
was a huge success and it motivated the
indomitable spirits of our valued dealers
and the Company officials, enabling us
to forge ahead towards a brighter and
successful future. It was attended by over
150 channel partners from across the
country.
8
Feeder depots serviced by 32 sales
42,00 +
Dealers and retailers for White Cement
offices for White Cement and and White Cement-based Wall Putty
White Cement-based Wall Putty
Human resource
HUMAN RESOURCE
TEAM OF GO-
GETTERs AT THE
VANGUARD
AT J.K. CEMENT, WE FOSTER A CONDUCIVE, MERIT-BASED AND DIVERSE
WORKPLACE THAT ATTRACTS AND RETAINS TALENT. WE UPSKILL OUR 2,900+
STRONG TEAM THROUGH FOCUSED TRAININGS AND EMPLOYEE ENGAGEMENT
PROGRAMMES. AT THE SAME TIME, WE ENSURE THAT OUR WORK
ENVIRONMENT IS SAFE AND HARMONIOUS SO THAT OUR PEOPLE CAN
CONTRIBUTE THEIR BEST PERFORMANCE EVERY DAY.
TRAINING AND DEVELOPMENT 30 J.K. Cement Limited
IT CONcLAVE AT NIMBAHERA
We invest to provide relevant learning and career
development opportunities to our people, with a focus on
technical and soft skills training. We conduct leadership INITIATIVES UNDERTAKEN IN FY 2017-18
and problem-solving sessions in tandem with other • Conducted multiple training programmes for both
trainings to enable individuals drive change in a dynamic technical and management trainings in association with
operating environment. the Regional Training Centre (RTC)
We conduct trainings across hierarchies to promote a • Organised Samanvaya 2018, a two-day leadership meet to
culture of knowledge share and continuous innovation. train senior executives of Nimbahera and Mangrol plants
on leadership and team building
EMPLOYEE ENGAGEMENT
We recognise the importance of employee engagement and

ensure to provide various activities that empower and engage
our teams. We encourage open dialogue to create an inclusive
workplace culture and enable our people to realise their full
potential. Additionally, we celebrate various festivals and
organise regular trips and excursions along with annual events
for our people. These activities are aimed at building team spirit
and adding vibrancy to the Company’s work culture.
INITIATIVES UNDERTAKEN IN FY 2017-18

• Organised a team-building session at Gotan for ~200
staff members
• Celebrated a colourful and vibrant Holi Milan
function in association with Roshni Ladies Club
• Observed International Workers’ Day at Jharli, with a
Bhandara for all workers
• Conducted various dealer and employee outings
SAFETY AND HEALTH

We provide a safe and healthy work environment for our
employees and are constantly working towards achieving zero
injuries across all our operations. We have a well-established
Environment, Health and Safety (EHS) Management system
that further reinforces our safety culture. During FY 2017-18, we
conducted multiple health, safety and environmental trainings at
all our locations.
Our safety practices across all manufacturing units are supervised
by a safety committee. Apart from safety, the health of our
people is one of our primary concerns, which translates to
regular medical examinations and health camps for our people
at different levels. We conduct bi-annual medical check-ups and
provide medical counselling to our people.
We organise regular awareness sessions on various diseases
such as Hepatitis B, HIV and blood transfusion diseases, first-
aid training, high blood pressure, diabetes, obesity and
abnormal lipid profile. We also arrange awareness and
counselling sessions on seasonal diseases to promote the well-
being of our people.
INITIATIVES UNDERTAKEN IN FY 2017-18

• Conducted safety management workshops in mines,
where risks and mitigations were discussed
• Celebrated National Safety Week across locations to
build awareness, emergency preparedness and
management
• Observed Fire Service Week during November 2017
across locations, with sessions on accident awareness,
principles of fire-fighting and so on
Corporate social responsibility
CORPORATE SOCIAL RESPONSIBILITY
CITIZENsHIP EFFORTs FOR sOcIETAL WELFARE

AS A PART OF THE J.K. ORGANISATION, WE CONTINUE TO INVEST IN COMMUNITY
WELL-BEING; AND OUR STRATEGY IS TO EXTEND OUR OUTREACH AND TOUCH LIVES
IN DIVERSE WAYS. WE WORK PRIMARILY IN THE REALMS OF EDUCATION,
HEALTHCARE, COMMUNITY INFRASTRUCTURE, SANITATION FACILITIES AND
ENVIRONMENT PROTECTION.
KEY INITIATIVES
UNDERTAKEN IN FY 2017-18 CSR FOcUs AREAs
• Conducted various activities for art
and culture promotions for preserving
and encouraging cultural heritage and
art at Nimbahera
• Executed infrastructural development EDUCATION

at different cultural and religious places
• Collaborated with Non-

Governmental Organisation (NGOs)
to promote
art- and culture-related activities SANITATION ENVIRONMENTAL WELLBEING
• Undertook development initiatives at

Angarbari centres, constructed roads
in rural areas and developed and
maintained parks (at Ahirpura,
Karunda, Mallikhera, Pipliya and
Charliya)
• Provided potable water by

COMMUNITY HEALTHCARE INFRASTRUCTURE DEVELOPMENT
establishing borewells and pipeline in
and around Gotan and Mangrol
• Commenced Sparsh sanitary pad

project that also generates livelihood
for women self-help groups
4.81
• Installed rain water harvesting
`
systems at various locations for
environment protection CRORE
• Contributed to J.K. Gramin Trust for
TOTAL EXPENDITURE 0N
rural development in Maharashtra
CSR ACTIVITIES IN
FY 2017-18
3 J.K. Cement
EDUCATION
Education is the key that unlocks the helps keep the environment clean. We
doors to many opportunities. participated in this nation-wide
Therefore, we inspire people from campaign by conducting cleaning drives
underprivileged communities near us near our administrative building
to pursue education. Our pioneering premises, packing plant area and
institutes, Sir Padampat Singhania residential colony at the Muddapur plant.
University and L.K. Singhania We motivated our people and
Education Centre, actively promote communities to enthusiastically
literacy and work towards carving a participate in this activity. Plantation drive
bright future for the youth. We provide
adequate infrastructure and organise INFRASTRUCTURE DEVELOPMENT
workshops and awareness camps to Infrastructure development is crucial for SWAcHHABILITY RUN 2017
encourage education, thereby ushering economic growth. Our efforts have
in a constructive change in the society, always been towards enhancing the
and hence the nation. available infrastructure and introducing
new and innovative facilities. We aim to
COMMUNITY HEALTHCARE provide better rural-urban connectivity to
Healthy communities build a healthy assist in the growth of rural economy. With
SwachhAbility Run 2017
nation. At J.K. Cement, community better connectivity between rural and
healthcare remains one of our core urban regions, provision of services has
After the stupendous success of the maiden J.K. C
focus areas. We organise various become easier and cheaper.
the participants, including divyangs (people with d
medical camps such as eye check-up of the Swachh Bharat Mission and inclusion of divy
camps, vaccination camps, blood
donation camps, cancer awareness
camps for women and medical
treatment camps free of cost to
promote healthy living across
communities around us.
ENVIRONMENTAL WELLBEING
We give back what we take. We have
always been proactive in reducing our Promoting education
carbon footprint through enhanced
operations. During the reporting
period, we planted trees in and
around our operational areas, in
addition
to spreading awareness about the
conservation of our environment.
SANITATION
Effective sanitation facilities pave
the way for good health and a clean
ENT specialist examining a patient
atmosphere. We support the noble
cause of Swachh Bharat Abhiyan
that
Annual Report 3
3 J.K. Cement
BOARD OF DIRECTORS
GUIDED BY EXPERIENcED
LEADERsHIP
COMMITTEE CHAIRMANsHIP C1 Audit Committee
COMMITTEE MEMBERsHIP C2 Nomination and Remuneration Committee
C3 Stakeholders’ Relationship Committee
C4 Corporate Social Responsibility Committee
MR. YADUPATI SINGHANIA

Chairman and Managing Director (B.Tech from IIT Kanpur)
Mr. Yadupati Singhania has been associated with cement business
since 1975. He holds a bachelor of technology degree from the Indian
Institute of Technology, Kanpur. He is also a chief patron of
Merchants Chamber of
Uttar Pradesh and Kuladhipati of Dayanand Siksha Sansthan. Besides, being
Chairman of the Board of Governors of Dr. Gaur Hari Singhania Institute of
Management & Research, he is also President of Kanpur Productivity
Council. He is presently the Vice President of J.K. Organisation and is also
involved in various Educational and Social Organisations in the city of
Kanpur like Juhari Devi Girls College, Kailashpat Singhania Sports
Foundation, Uttar Pradesh Cricket Association and Agrawal Sabha among
others.
SMT. SUSHILA DEVI SINGHANIA

Non-Executive, Non Independent Director
Smt. Sushila Devi Singhania has been functioning as a Director of our
Company since July 26, 2014. She is also a Director of Yadu International
Limited and G. H. Securities Private Limited. She is a member of Managing
Committee of Seth Anandram Jaipuria School, Kanpur, President of
Juari Devi Girls Inter College, Kanpur and President of Juari Devi Girls
Post Graduate College, Kanpur. She has been actively associated with
programmes for welfare and upliftment of economically weaker sections,
children and women, along with religious activities.
C4
MR. ACHINTYA KARATI

Non-Executive Independent Director (Law Graduate from Calcutta
University)
Mr. Achintya Karati has served as the country head of Government and
Institutions, NCDEX and has also worked as senior advisor to ICICI
Securities Limited, and also with ICICI Prudential Life Insurance Company
Limited. He retired as the country head, Government and Institutional
Solutions Group, ICICI Bank Limited in March, 2004. During his association
with ICICI Limited, he served in various capacities, including as the Deputy
Zonal Manager (North) and Head of Major Client Group (North). He has been
C1
associated with our Company since 2005.
C2
Annual Report 3
MR. JAYANT NARAYAN GODBOLE

Non-Executive Independent Director (B.Tech from IIT Mumbai, Certificate
in Financial Management)
Mr. Jayant Narayan Godbole has officiated as the Chairman and Managing
Director of the Industrial Development Bank of India in 2005 and has also
served as the Chairman of an empowered group working on the
stabilisation of the corporate debt restructuring mechanism in India.
C1
C2
C4
MR. K. N. KHANDELWAL
Non-Executive Non-Independent Director (Commerce Graduate and a
Chartered Accountant)
Mr. Kailash Nath Khandelwal has been the Director of our Company since
2004. He is a fellow of the Institute of Chartered Accountants of India and a
practising Chartered Accountant. He has over 45 years of experience in the
field of finance, accounts, and taxation. He has served as President (finance
and accounts) of Jaykay Enterprises Limited (formerly J.K. Synthetics
Limited). He commenced his career with J.K. Synthetics Limited in 1969.
C1
C3
DR. K. B. AGARWAL
Non-Executive Independent Director (Graduate of Law, PhD, ICWA and CS)
Mr. Krishna Behari Agarwal has rich experience in the domains of finance,
accounts and capital markets. He has served Merchants Chamber of
Uttar Pradesh and Uttar Pradesh Stock Exchange Association Limited as
their President. He has been a member of the Federation of Indian
Chambers of Commerce and Industry and the Associated Chambers of
Commerce & Industry of India. C1
C3
C4
Annual Report 3
Board of Directors I Accolades
MR. PAUL HEINZ HUGENTOBLER

Non-Executive Non-Independent Director (Civil Engineer & Degree in
Economic Science)
Mr. Paul Heinz Hugentobler has served as the area manager for
Holcim’s Asia Pacific region and was a member of the Holcim Executive
Committee responsible for South Asia and ASEAN. He is also the
Chairman of Siam City Cement Group having its operations in Thailand,
Vietnam, Indonesia, Bangladesh and Sri Lanka.
MR. RAJ KUMAR LOHIA

Non-Executive Independent Director (Bachelor of Arts in Economics)
Mr. Raj Kumar Lohia joined our Board in 2004 and is also on the Board
of Directors of several other companies.
C1
C2
C3
MR.SUPARAS BHANDARI
Non-Executive Independent Director (Graduate of Science and Law)
Mr. Suparas Bhandari is the Founder, Chairman and Managing Director
of Agriculture Insurance Company of India Limited and has served as
the
General Manager of Oriental Insurance Company of India Limited and as
the Assistant General Manager of United India Insurance Company
Limited.
C2
C3
C4
MR. SHYAM LAL BANSAL

Non-Executive Independent Director (M. Com from Delhi University, B.
Com from Shri Ram College of Commerce, New Delhi, and CA [Inter])
Mr. Shyam Lal Bansal superannuated as Chairman and Managing Director
from Oriental Bank of Commerce. He was actively involved as an Executive
Director in the financial inclusion plan of United Bank of India in the whole
of West Bengal and North East India, as part of the banks’ responsibility as
state- level bankers’ committee convener in Tripura and West Bengal and
lead bank responsibility in 10 districts of Assam. He is also acting as an
Independent Director of IL&FS Tamil Nadu Power Company Limited,
Indiabulls Ventures Limited and Indiabulls Asset Reconstruction Company
Limited. He has been functioning as a Director of our Company since
C1
February 6, 2016.
3 J.K. Cement
ACCOLADES
AWARDs THAT INsPIRE
Rajasthan Chamber of
Commerce and Industry
conferred the Lifetime
Achievement Award on Mr.
Yadupati Singhania for his
exemplary contribution to the
Cement Industry
Our Chief People Officer (Mr. Andleeb Jain) was awarded the Awarded the India’s Most Desirable 30 Power Brands 2018 by
‘100 HR Super Achievers Award at the Global HR Excellence the Indian Council of Market Research (ICMR)
Award
Bestowed with the prestigious Rajasthan Energy Bagged the ‘CSR Campaign of the Year’ for J.K. Cement
Conservation Award 2017 by the Rajasthan Government SwachhAbility Run and ‘Best Social Media Campaign’ for JK
Super Cement — Build Safe at the Realty Plus Interior Exterior
Annual Report 3
Management Discussion &
(INEX), Awards 2018
3 J.K. Cement
MANAGEMENT DIsCUssION & ANALYsIs
GLOBAL ECONOMY
INDIA’S GDP GROWTH (%)
The world economy has strengthened during FY 2017-18,
2014-15 2015-16 2016-17 2017-18
as lingering fragilities in the global financial markets
7.3 7.6 7.1 6.7
began
Source: Central Statistics Office (CSO)
subsiding. According to IMF – World Economy Report, global
growth is projected to rise at 3.9% in 2018 vis-à-vis 3.8% in
2017. The improvement in global economy provides an OUTLOOK
opportunity to countries to adopt more sustainable policies India’s GDP is expected to reach US$ 6 trillion by FY 2027 owing
that work towards low-carbon economic growth, economic to consistent reforms, digitisation, globalisation and
diversification, reducing inequalities and eliminating deep- favourable demographic conditions. Over the next 10-15 years,
rooted barriers to the growth and development of an India is
economy. expected to be among the top three economic powers, backed
by its strong democracy and partnerships.
INDIAN ECONOMY
During FY 2017-18, India’s economy was marked by various Government initiatives for infrastructure development, emphasis
structural reform initiatives aimed at strengthening the country’s on creation of smart cities and focus on affordable housing
macro-economic scenario for sustainable future developments. programme is likely to bolster India’s industrial development.
Despite a tepid performance in the first half of FY 2017-18, owing Additionally, the services sector is expected to continue to thrive
to disruptions like the implementation of Goods and Services owing to services exports, financial inclusion and rising per
Tax (GST), India maintained its stability to record a growth of capita income. The GDP growth of the country is estimated to
~6.7%. rise to
~7.4% in FY 2018-19.
India has also emerged as a major global investment economy,
gaining the top 5th spot as an international investment INDIAN CEMENT INDUSTRY
destination. Moreover, Moody’s Investors Service upgraded India is the world’s second largest cement market, both in
India’s sovereign rating to Baa2 with stable economic terms of production and consumption. During FY 2017-18, the
conditions. According to the World Bank report, India has cement sector grew by 6% owing to increased infrastructure
improved its ranking by 30 spots in terms of ‘Ease of Doing spending by the Government of India and re-materialisation of
Business’ and is ranked at 100 out of the 190 countries. demand from the private sector.
Annual Report 3
A view of Mangrol plant
4 J.K. Cement
India needs an investment of ` 50 lacs crore in the infrastructure produce

sector and the Government of India has undertaken various
infrastructure projects to facilitate it including:
Selected cities for the Smart City project with a cost of `

2.04 lacs crore
Planned ~35,000 km of road development under the

Bharatmala project Phase I with an outlay of ` 5.35 lacs
crore
Chalked out construction plan of 10 million houses in rural

India and 20 million toilets under Pradhan Mantri Awas
Yojana and Swachh Bharat mission, respectively
Additionally, the implementation of GST has eliminated multiple

points of taxations and increased access across markets for the
organised sector, allowing smoother movement of goods. Also,
the introduction of Real Estate Regulatory Act (RERA) ensures
accountability for all real estate projects and assures timely
completions, which are likely to increase buyer confidence. These
factors will impact the cement industry positively by facilitating
access to various markets and bolstering the real estate market.
INDUSTRY TRENDS
Increasing presence of small and mid-sized cement players
diminishing market concentration
Growing adoption of cement instead of bitumen in

construction of roads
Huge investments in infrastructure development by the

government
Grey Cement
As per IBEF Report, June 2018 India has a cement production
capacity of ~455 MT, of which almost 98% is dominated by
the private sector. The top 20 companies account for ~70% of
the total production. Grey cement is one of the most
important building materials used in construction and
infrastructure activities. The rise in real estate sector, housing
demand and infrastructure spending will augment grey
cement demand.
Performance
Grey cement registered a growth of 16% in production volumes
over the last year. The North and South region recorded a rise
to the tune of 17% and 14%, respectively.
White Cement
White cement provides a classy touch to architectural designs
and is used in combination with inorganic pigments to
Annual Report 3
brightly coloured concretes and mortars. It is also used as an
input for the manufacture of value-added products like wall putty
and primers.
Performance
White cement registered a growth of 2% y-o-y in production
volumes, whereas the value-added product, wall putty showed a
growth of 14% on y-o-y basis.
INDUSTRY GROWTH DRIVERS

Housing
Housing forms the major portion of cement demand at ~65%
Improved rural incomes, higher rural credit and increased

allocation for rural, agriculture and allied sectors are likely
to encourage rural housing demand
Government initiatives provide demand impetus in the sector
Infrastructure
100 smart cities planned
Projects like dedicated freight corridors and ports under

development
Metro rail projects underway in most major cities
Urbanisation
Development of 500 cities with population of more than
100,000 under new Urban Development Mission
INDUSTRY OUTLOOK
India’s cement production capacity is expected to reach 550
million tonnes by 2025. Growth in the cement sector in 2018-19 is
likely to be fairly high driven by the slew of infrastructure projects
like Bharatmala, Smart Cities, PM Awas Yojana and Housing for
All. The Union Budget 2018-19 looks promising with increased
allocations to infrastructure spending, energising the segment.
INDUSTRY RISKS
Inflation rate
Inflation plays a pivotal role in Indian economy. In 2017-18,
average inflation dipped to a six-year low of 3.3%, however, it
is expected to rise 4.40% during FY 2018-19. One of the major
causes of inflation is overall increase in demand for goods
and services, which escalate their prices. Besides, in case
normal monsoon is affected, inflation may further rise
making commodity prices dearer.
4 J.K. Cement
costs of the
A view of Fujairah plant
Interest rate
Reserve Bank of India has kept repo rate unchanged for the last
year at 6.0%. However, due to increasing cost of funds for banks,
the marginal cost of lending rate has started increasing. All
banks have started lending on the basis of marginal cost of
funds-based lending rate (MCLR), leading to higher cost of
borrowing for property buyers, resulting in lower demand in the
housing segment.
Raw material risk

The cement industry depends on limestone and other raw
materials. However, availability of limestone is limited and thus,
it is essential to promote the use of blended cement, which
uses alternative raw materials such as fly ash and slag. The
increase in the cost of these alternative materials — now fly
ash is available on auction and slag on the basis of prevailing
market prices — may further increase production costs.
Competition risk
India’s cement sector has become highly competitive with
multiple large players operating in the domestic market. While
earlier most companies were catering to specific parts of the
country, now most players are expanding their reach pan-India,
thus creating greater market competition.
Infrastructure risk
Infrastructure sector drives overall development of the
economy and is a major focus of the Government of India. Any
pull back by the government on its initiatives will result in de-
growth for the cement industry. Moreover, too many regulatory
approvals and compliances might be a hindrance to the
segment’s progress.
Power and fuel risk

Cement industry is highly energy intensive and ~23% of its total
expenditure consists of power and fuel costs. At J.K. Cement,
~80% of our requirement for kiln fire is met by petcoke,
which is a derivative of crude oil. Thus, any rise in crude oil
prices will adversely impact prices of petcoke and operating
Annual Report 4
Company. In case of increase in petcoke prices or non-
availability, we use imported or indigenous coal (through
e-auction) as the availability of linkage coal is limited.
Further, owing to the ban
on using petcoke for captive power generation,
production costs would escalate more. Therefore, we are
looking towards adoption of green energy, which offers
almost same calorific value as of low grade coal for a more
sustainable and cost-efficient energy option.
Logistics risk
With the rise in diesel prices, cost of road
transportation increases. At J.K. Cement, we currently
use railways for only
10-15% of our logistics needs for cement. This cost
increase and huge dependence on road transportation
would have an impact on our operational costs.
ABOUT J.K. CEMENT

J.K. Cement Limited is an affiliate of the industrial conglomerate
J.K. Organisation, which was founded by Late Lala
Kamlapat Singhania. With over four decades of
experience, J.K. Cement has partnered India’s multi-
sectoral infrastructure needs on the strength of its
product excellence, customer orientation and technology
leadership. The Company is the third largest white
cement manufacturer in the world with 1.20 MTPA
capacity,
including 0.6 MTPA white cement plant at Fujairah, U.A.E.
Besides, it is the second largest producer of wall putty in
India with installed capacity of 0.7 MTPA. The Company
intends to add up
to 8 MTPA capacity by December 2022, taking the total
installed capacity to 18 MTPA for grey cement. Further
capacity expansion of wall putty by 0.2 MTPA at Katni,
Madhya Pradesh is likely to commission shortly.
Mangrol expansion project

With a view to tap the growing demand for grey cement,
J.K. Cement commenced its brownfield expansion plan of
4.2 MTPA capacity. This integrated unit at Mangrol will have
a clinker capacity of 2.5 MTPA that would cater to the
requirement of split grinding units of 1.5 MTPA at Aligarh,
Uttar Pradesh and 0.7 MTPA at Balsinor, Gujarat along with
an additional grinding capacity of 1 MTPA each at
Nimabhera and Mangrol locations.
The cost of the project is ~` 2,000 crores, which will be

financed by debt and internal accruals/equity. The project
is likely to be commissioned by March 2020.
Once complete the project will provide the following key advantages:
Reduce power cost through waste heat recovery of 13 MW
Diminish logistics and raw material costs through

strategically located split grinding units
Decrease limestone transportation cost, as well as
serve the environment through conveyor belts at
limestone mines
Scale down costs with increase in grinding capacity

at Mangrol and Nimbahera
4 J.K. Cement
Business drivers
HUMAN RESOURCES (HR)
Superior product mix offering blended products such as
J.K. Cement, as part of the group legacy, has deeply imbibed
PPC and PSC
the belief of ‘People first’. The Company firmly believes that
Use of alternative materials, reducing use of existing natural its people provide it the most significant competitive
resources advantage and are the reason for its success. The Company’s
HR team works relentlessly to attract, engage and nurture top
Multi-region presence provides a wide market coverage
talent in the industry through progressive human capital
Captive power generation ensures meeting power acquisition and development initiatives. It endeavours to
requirement at lower cost provide a
congenial workplace environment for consistent innovation and
Access to captive limestone reserves adjacent to
improvement by rewarding employees for their dedicated efforts
manufacturing facility
in helping the Company achieve its objectives. Its manpower
strength stood at 2,967 as on March 31st 2018.
Performance highlights
FY 2017-18 FY 2016-17 y-o-y The Company began its HR transformation journey last year,
growth (%) which is now culminating into technology-oriented systems and
Revenue from 4,758.17 4,379.83 9% processes. In a pioneering move, it adopted the SAP success
operations factors as its cloud-based HR platform to simplify processes.
(` in crore) Moreover, the employer brand building initiatives have duly
EBITDA 760.65 693.42 10% emphasised on positioning J.K. Cement as a competitive and
(` in crore)
preferred employer across all segments and generations of
PAT (` in crore) 341.87 210.78 62%
employees.
EPS (`) 48.89 30.14 62%
In line with its philosophy of nurturing talents and enriching

SUSTAINABILITY GOALS
careers, the Company has undertaken several training and
As a socially and environmentally responsible company, J.K.
development programmes. The HR team consistently
Cement consistently adopts sustainable practices to
address the skills gaps within the Company’s talent pipeline
demonstrate corporate citizenship. Besides, working on its
and helps to strengthen the Company’s leadership bench
group-wide transformational strategy to leverage synergies,
strength.
develop
Additionally, women’s safety has always been an important
best-in-class practices and seek future growth
aspect at J.K. Cement and as responsible corporate citizen,
opportunities, the Company is undertaking active measures
POSH (Prevention of Sexual Harassment) at workplace has
to preserve and conserve its surroundings.
been adequately emphasised and addressed.
It is focussed on conservation of resources, better environment

ADEQUACY OF INTERNAL CONTROLS
management and community engagement to create value
The Company has well placed internal control system
for all its stakeholders. The Company’s environmental
according to the size, scale and complexity of its operations. The
actions emphasise on managing biodiversity, promoting
management of the Company is responsible for ensuring that
energy-efficiency, encouraging initiatives related to resource
all internal financial controls are adequate and operates
optimisation, reducing effects on climate change and
effectively. It has inbuilt policies and procedures for
pioneering water and waste management.
safeguarding its assets, prevention and detection of fraud and
errors if any, accuracy and completeness of the accounting and
The Company is promoting the use of blended cement to
timely preparation of financial information based on IND AS.
preserve the depleting natural resources. Moreover, it is replacing
the use of fossil fuels with alternative fuels like agro waste,
Further, internal audit functions are looked by internal audit
carbon black, fibre mass, ETP sludge, liquid mixed waste and
department, which reports to the Audit Committee of the Board.
solid mixed waste. The use of alternative fuels will support
Internal audit function works independently and evaluates the
reduced utilisation of existing natural resources and increased
efficacy and adequacy of internal control system, its compliance
application of waste products, along with being more cost-
with operating system and policies of the Company and
effective for the Company.
accounting procedure at all locations, namely plant, marketing
office and depots. Based on the input of internal audit report,
J.K. Cement believes in giving back to the society. Therefore, it
designated process owner takes corrective actions in their
has undertaken various initiatives to uplift communities around
respective area, thereby strengthening controls and checks. In
it. The Company has been focussing on imparting education,
case any significant observations is noticed same is brought to
promoting community healthcare, contributing for
the knowledge of Members of Audit Committee for corrective
infrastructure development, and encouraging cleanliness and
actions.
sanitation to enhance the living standards of the society.
Annual Report 4
Directors’
DIRECTORs’ REPORT
Dear Members,
Your Directors have pleasure in presenting Company’s Twenty Fourth Annual Report and Audited Financial Statements for the
year ended 31st March, 2018
1. FINANCIAL RESULTS
`/Lacs
Particulars 2017-18 2016-17
Gross Turnover 470955.40 4,32,784.00
Profit before depreciation & tax 62599.53 50,052.75
Less: Depreciation 18626.77 17,609.58
Profit Before Tax 43972.76 32,443.17
Tax Expense (Including deferred tax and tax adjustment of earlier years) 9785.40 11364.72
Profit After Tax 34187.36 21078.45
Add: Restated balance of retained earning at the begining of the year 69700.05 58,143.04
Add: Dividends on 3% cumulative preference shares - 555.72
Transfer to General Reserve 6000.00 5,000.00
Transfer to Debenture Redemption Reserve 9.40 1,711
Dividend to Equity Shares (including tax thereon) 6733.02 3366.51
Balance to be carried forward 91144.99 69700.05
2. PERFORMANCE OF THE COMPANY

JK Cement Works (Fujairah) FZC is involved in principal
Your Company’s performance during the year under report
business of manufacturing and sale of white cement in
has overall improved. The Company’s gross turnover
Middle East and GCC market and has recorded a turnover
increased by 8.82% to ` 4709.55 Crore during the year
of AED 147,803,976 (Previous year AED 143,747,087)
compared to ` 4327.84 Crore in previous year. Profit before
reflecting a growth 2.82% over the prior year. However, it
Depreciation and Tax increased to ` 626.00 Crores
recorded a loss of AED 30,883,604 (equivalent to ` 5567.40
compared to ` 500.53 Crore.
Lacs) for the year ended 31st December, 2017 {Previous
year a loss of AED 31,117,399 (equivalent to `
Indian Accounting Standards (IndAS) –IFRS Converged
4467.63.Lacs)}
Standards.
The Company has adopted Indian Accounting Standards
Jaykaycem (Central) Ltd, intends to set up grey cement
(Ind AS) with effect from 1st April, 2016 pursuant to Ministry
manufacturing facilities, recorded a loss of ` 64.41 Lacs
of Corporate Affairs’ notification of the Companies (Indian
(previous year ` 3.14 Lacs) for the year ended
Accounting Standard) Rules, 2015 and the Annual 31st March, 2018
Accounts of 2017-18, has been drawn in terms of
provisions of the IndAS. JOINT VENTURE
Bander Coal Company Private Limited recorded a net
3. PERFORMANCE OF THE SUBSIDIARY/JOINT profit of ` 1.89 Lacs for the year ended 31st March, 2018
VENTURE COMPANIES (Previous year profit of ` 1.17 Lacs).
The Company has three subsidiaries and one joint venture
Company as on March 31, 2018. There has been no 4. CONSOLIDATED FINANCIAL STATEMENTS
material change in the nature of the business of The statement as required under Section 129 of the
subsidiaries. Companies Act, 2013, in respect of the subsidiaries of the
Company viz. J.K. Cement (Fujairah) FZC, J.K. Cement Works
SUBSIDIARY COMPANY (Fujairah) FZC and Jaykaycem (Central) Ltd are annexed
J.K. Cement (Fujairah) FZC recorded net income of AED and forms an integral part of this Report. Consolidated
1,501,678 (equivalent to ` 266.26 Lacs) for the year ended Financial Statements prepared in accordance with relevant
31st December, 2017 (Previous year loss of AED 27,522 Accounting Standards issued by the Institute of Chartered
equivalent to ` 30.28.lacs) Accountants of India, form part of the Annual Report and
Accounts.
4 J.K. Cement
5. DIVIDEND
year while production of value added product wall putty
In terms of Dividend Policy your Directors are pleased to
registered increase of 14% at 6.20 Lac Tonne during the
recommend dividend of ` 10 per equity share (previous
year as compared to 5.43 Lac Tonne last year. Sale was also
year
in tandem with production.
` 8 per equity share) of face value of ` 10 each aggregating
to ` 84.30 Crore (Previous Year ` 67.34 Crore) for the
financial year ended 31st March, 2018 .
12. PROJECTS OF THE COMPANY
Projects undertaken/completed
6. TRANSFER TO RESERVES Your Company undertaken a brownfield expansion at
Mangrol, Chittorgarh, Rajasthan with split grinding unit in
The Company proposes to transfer ` 9.40 Lacs (previous
year ` 1710.65 Lacs) to Debenture Redemption Reserve U.P. and Gujrat having total cement production capacity of
and 4.2 Million Tonne Per Annum at estimated cost outlay of
` 6000 Lacs (previous year ` 5000 Lacs) to General Reserve ` 2000 Crores.
during Financial Year 2017-18
13. PERSONNEL
7. SHARE CAPITAL 13.1Industrial Relations
The paid up Equity Share Capital as at 31st March, 2018 The industrial relations during the period under review
remained at ` 69.93 Crore. During the period under report, generally remained cordial at all cement plants.
your Company has not issued any share including Sweat
Equity, ESOP and/or Convertible Debentures. 13.2Particulars of Employees
List of employees getting salary in excess of the
8. FINANCE limits as specified under the provisions of Section
During the year under report, your Company has not 134 of the Companies Act, 2013 read with
availed any disbursement of term loans (previous year ` Companies (Appointment and Remuneration of
151.74 Crore). However it repaid ` 241.46 Crores (previous Managerial Personnel) Rules, 2014 throughout or
year part of the financial year under review is annexed
` 99.23 Crore) towards Term Loan and NCD. separately marked as Annexure - E. However, the
Annual Report excluding the aforesaid information
9. CREDIT RATING is being sent
Inspite of challenging cement industry scenario, CARE to all the members of the Company pursuant to
has reaffirmed your Company’s rating as “CARE AA” for proviso to Section 136 of the Companies Act, 2013.
long term bank facilities and “CARE A1+” for short term Any member interested in obtaining such
bank facilities. particulars may inspect and/or send the request to
the Company at its Registered and Corporate Office.
10. PARTICULARS OF LOANS, GUARANTEES None of the employee listed in the said Annexure is a
OR INVESTMENTS BY THE COMPANY relative of any Director of the Company except Shri
Details of Loans, Guarantees and Investments covered Yadupati Singhania, Chairman and Managing
under the provisions of Section 186 of the Companies Act, Director. None of
2013 are given in the Notes to the Financial Statements. the employee hold (by himself or along with his
spouse and dependent children) more than two
11. OPERATIONS percent of the equity shares of the Company
Grey Cement
During the year under report production increased by The information required pursuant to Section 197(12)
16.53 read with Rule 5(1) of The Companies (Appointment
% at 7.89 Million Tonne (compared to 6.77 Million Tonne and Remuneration of Managerial Personnel) Rules,
last year) and sales increased by 15.98% at 7.88 Million 2014 and Companies (Particulars of Employees) Rules,
Tonne (compared to 6.79 Million Tonne last year). 1975, in respect of employees of the Company and
Directors is furnished hereunder:
White Cement
Production of White Cement increased by 2 % at 5.56 Lac
Tonne during the year compared to 5.44 Lac Tonne last
Annual Report 4
Directors’
Particulars about Key Managerial Personnel including Chairman & Managing

Director.
Ration/Time
Remuneration Paid % increase in
per Median
Remuneration of employee
S.No. Name Designation from previous
2017-18 2016-17 Remuneration
year
1 Mr. Yadupati Singhania** Chairman & Managing 14,23,82,400 12,66,92,000 12.38% 242:1
Director (KMP)
2 Mr. Ajay Kumar Saraogi** President (Corporate Affairs) 2,34,55,160 1,97,34,000 18.85% 40:1
& Chief Financial Officer (KMP)
3 Mr. Shambhu Singh Asst. Vice President (Legal) & 50,36,784 38,15,000 32.02% 9:1
Company Secretary (KMP)
**includes remuneration in AED from foreign subsidiary companies during the calendar year
2017.
Particulars about other Non Executive Directors. Remuneration Paid % increase in

Remuneration
S. No. Name Designation
2017-18 2016-17 from previous
year
1 Smt. Sushila Devi Singhania Non Executive, Non Independent 14,26,000 12,52,250 13.87
2 Shri A. Karati Non Executive, Independent 12,00,500 11,76,875 2.00
3 Shri J.N. Godbole Non Executive, Independent 13,75,875 12,27,125 12.12
4 Dr. K.B. Agarwal Non Executive, Independent 16,51,250 14,78,375 11.69
5 Shri K.N. Khandelwal Non Executive, Non Independent 13,50,750 12,02,000 12.38
6 Shri Raj Kumar Lohia Non Executive, Independent 12,50,875 12,52,250 (-)0.10
7 Shri Suparas Bhandari Non Executive, Independent 13,25,625 12,27,120 8.02
8 Mr. Paul Heinz Hugentobler Non Executive, Non Independent 1,18,63,380 1,11,30,942 6.58
9 Shri Shyam Lal Bansal Non Executive, Independent 1,050,375 10,26,125 2.36
13.3Human Resources and Industrial Relations
The Company has a structured induction process at all locations. Objective appraisal systems based on Key Result
Areas (KRAs) are in place for Senior Management company’s operations. However, members’ attention is
Staff. The Corporate HR is effectively involved in drawn to the statement on contingent liabilities in the notes
nurturing, enhancing and retaining talent through forming part of the Financial Statements.
job satisfaction, management development
programme etc.
14. SIGNIFICANT AND MATERIAL ORDER PASSED BY

THE REGULATOR(S) OR COURT(S)/ MATTER OF
EMPHASIS
The Competition Commission of India (CCI) has imposed
penalty of ` 12,854 lacs and ` 928 lacs in two separate
orders dated 31.08.2016 and 19.01.2017 respectively for
alleged contravention of provisions of the Competition
Act 2002 by the Company. The Company has filed
appeals with Competition Appellate Tribunal (COMPAT)
against above orders. The appeals with COMPAT are
transferred to National Company Law Appellate Tribunal
(NCLAT) and
appeals are being heard. NCLAT has stayed the CCI order
in first matter on deposit of ` 656 lacs and hearing of
appeal concluded, order reserved. In second matter,
COMPAT
has stayed the demand. The Company, backed by a legal
opinion, believes that it has a good case.
Other than the aforesaid, there have been no significant

and material orders passed by the courts or regulators
or tribunals impacting the ongoing concern status and
4 J.K. Cement
World of J.K.
15. CORPORATE GOVERNANCE
Statutory Financial
A report on Corporate Governance alongwith the
Auditors’ Certificate on its compliance, forms an
integral part of this Report.
16. PUBLIC DEPOSITS

Your Company has not invited any deposits from
public/ shareholders under Section 73 and 74 of
the Companies Act, 2013.
17. WHISTLE BLOWER POLICY/VIGIL MECHANISM

The Company has a Whistle Blower Policy to report
genuine concerns or grievances, if any. The Whistle
Blower Policy has been posted on the website of the
Company.
18. MITIGATION OF RISK

The Company has been addressing various risks
impacting the Company which is morefully provided
in annexed Management Discussion and Analysis.
However, as per
the Listing Regulation constitution of Risk
Management Committee for enforcing Risk
Management Policy is not applicable to the
Company.
19. REMUNERATION POLICY

The Board of Directors and Nomination &
Remuneration Committee, follows a policy
concerning remuneration of Directors, Key
Managerial Personnel and Senior Management of
the Company. The Policy also covers
Annual Report 4
Directors’
criteria for selection and appointment of Board ensuring orderly and efficient conduct of its business
Members and Senior Management and their including
remuneration. The Remuneration Policy is stated in the
Corporate Governance Report.
20. RELATED PARTY TRANSACTIONS

All the related party transactions are entered on arm’s
length basis, in the ordinary course of business and
are in compliance with the applicable provisions of
the
Companies Act, 2013 and the Listing Regulations. There are
no materially significant related party transactions made
by the Company with Promoters, Directors or Key
Managerial Personnel etc. which may have potential conflict
with the interest of the Company at large or which warrants
the approval of the shareholders. Accordingly, no
transactions are being reported in Form AOC-2 in terms of
Section 134 of the Act read with Rule 8 of the Companies
(Accounts) Rules, 2014. However, the details of the
transactions with Related Party are provided in the
Company’s financial statements in accordance with the
Accounting Standards. All Related Party Transactions are
presented to the Audit Committee and the Board.
Omnibus approval is obtained for the transactions which
are foreseen and repetitive in nature. A statement of all
related party transactions is presented before the Audit
Committee on a quarterly basis, specifying the nature,
value and terms and conditions of the transactions. The
statement is supported by the certificate from the CMD and
the CFO. The Related Party Transactions Policy as
approved by the Board is uploaded on the Company’s
website at www.jkcement.com.
21. AUDITORS’ REPORT

Your Company prepares its financial statements in
compliance with the requirements of the Companies Act,
2013 and the Generally Accepted Accounting Principles
(GAAP) in India. The financial statements have been
prepared on historical cost basis (except items
disclosed in significant accounting policies). The estimates
and judgements relating to the financial statements are
made on a prudent basis, so as to reflect a true and fair
manner, the form and substance of transactions and
reasonably present the Company’s state of affairs, profits
and cash flows for the year ended 31st March, 2018.
Auditors’ Report to the shareholders does not contain

any qualification in the standalone or in the
consolidated financial statements for the year under
report. However,
Auditors have drawn attention of shareholders on penalty
imposed by Competition Commission of India (CCI), the
matter is adequately covered by para 14 above read
alongwith notes on accounts.
22. INTERNAL FINANCIAL CONTROLS AND ITS ADEQUACY

The Board has adopted policies and procedures for
4 J.K. Cement
adherence to the Company’s Policies, the safeguarding of
its assets, the prevention and detection of Frauds and
errors, the accuracy and completeness of the accounting
records and the timely preparation of reliable financial
disclosures.
The Company’s internal control system is commensurate

with its size, scale and complexities of its operations. The
Audit Committee of the Board of Directors actively reviews
the adequacy and effectiveness of the internal control
system and suggests improvements to strengthen the
same. It also reviews the quarterly Internal Audit Reports.
23. DIRECTORS AND KEY MANAGERIAL PERSONNEL.

23.1In accordance with the provisions of Section 152
of Companies Act, 2013 and the Company’s Articles
of Association, Shri K. N. Khandelwal (DIN 00037250)
will retire by rotation at the ensuing Annual General
Meeting and being eligible, offers himself for
reappointment.
All Independent Directors have given declaration that

they meet the criteria of independence as laid down
under Section 149(6) of the Companies Act,2013 and
Listing Regulation
23.2Key Managerial Personnel

During the year under report, Following Officials acted
as Key Managerial Personnel:-
S.No. Name of the Official Designation
1. Shri Yadupati Singhania Chairman &
Managing Director
2. Shri Ajay Kumar Saraogi President (Corporate
Affairs) & CFO
3. Shri Shambhu Singh Asst. Vice President (Legal) &
Company Secretary
24. MEETINGS OF THE BOARD OF DIRECTORS

During the year 2017-18 , five Board Meetings were
convened and held, the details of which are given in the
Corporate Governance Report. The intervening gap between
the Meetings was within the period prescribed under the
Companies Act, 2013.
25. BOARD EVALUATION

Pursuant to the provisions of the Companies Act, 2013
and Regulation 17 of the Listing Regulations, the Board
has carried out an annual performance evaluation of its
Independent Directors and the Independent Directors
also
evaluated the performance of Non- Independent Directors.
The Board of Directors expressed their satisfaction with
the evaluation process. The Board of Directors also
evaluated the functioning/performance of Audit Committee,
Stakeholders Relationship Committee, Nomination &
Remuneration Committee, CSR Committee, Committee of
Directors and expressed satisfaction with their functioning/
performance.
Annual Report 4
Directors’
26 DIRECTORS’ RESPONSIBILITY STATEMENT recommended their

Pursuant to Section 134(5) of the Companies Act, 2013 the
Board of Directors to the best of their knowledge and ability
confirm that :
i) In the preparation of the annual accounts, the

applicable accounting standards have been
followed along with proper explanations relating to
material departures;
ii) The Directors have selected such accounting policies,
judgments and estimates that are reasonable and
prudent and applied them consistently, so as to give
a true and fair view of the state of affairs of the
company as on 31st March, 2018, and of the statement
of Profit and Loss and cash flow of the company for
the period ended 31st March, 2018;
iii) Proper and sufficient care has been taken for the
maintenance of adequate accounting records in
accordance with the provisions of the Companies
Act, 2013 for safeguarding the assets of the
company and for preventing and detecting fraud
and other irregularities;
iv) The annual accounts have been prepared on
an ongoing concern basis;
v) Proper internal financial controls to be followed by the

company has been laid down and that such internal
financial controls are adequate and were operating
effectively and
vi) Proper systems to ensure compliance with the
provisions of all applicable laws has been devised
and that such systems were adequate and
operating effectively.
27 STATUTORY AUDITOR
At the 23rd Annual General Meeting held on 29/07/2017,
M/s S.R. Batliboi & Co. LLP, Chartered Accountants, (ICAI
Firm Registration No. 301003E/E300005) were appointed as
the Statutory Auditors of the Company to hold office till the
conclusion of 28th Annual General Meeting. As per
amended provisions of Companies (Amendment) Act, 2017
the Board of Directors ratified appointment of M/s S.R.
Batliboi & Associates from conclusion of 24th Annual
General Meeting till 25th Annual General Meeting. The
Statutory Auditors have consented to the said appointment
and confirmed that their appointment, if made, would be
within the limits mentioned under Section 143(3)(g) of the
Companies Act 2013 and the Companies (Audit and
Auditors) Rules, 2014.
28. COST AUDITOR

Pursuant to section 148 of the Companies Act, 2013
the Board of Directors on the recommendation of the
Audit Committee appointed M/s K.G. Goyal & Company
Cost Accountants, as the Cost Auditors of the
company for the Financial Year 2018-19 and has
4 J.K. Cement
World of J.K. Statutory
remuneration to the Shareholders for their ratification
Financial
Companies Act 2013 read with Rule 8(3) of Companies
at the ensuing Annual General Meeting. M/s K.G.Goyal (Accounts) Rules, 2014 in respect of
& Company, have confirmed that their appointment is
within the limits of the Section 139 of the Companies
Act, 2013, and have also certified that they are free
from any disqualifications specified under Section 141
of the Companies Act, 2013.
The Audit Committee has also received a certificate
from the Cost Auditor certifying their independence
and arm’s length relationship with the company.
The Cost Audit Report for the financial year 2016-
17 was filed with Ministry of Corporate Affairs.
29. SECRETARIAL AUDIT

The Board had appointed M/s Reena Jakhodia &
Associates, Kanpur, a firm of Company Secretaries in
Practice, to carry out Secretarial Audit under the
provisions of Section 204 of the Companies Act, 2013
for the Financial Year 2017 -18 . The report of the
Secretarial Auditor is annexed to this report as
Annexure A. The report does not contain any
qualification.
30. REPORTING OF FRAUD

The Auditors of the company have not reported
any fraud as specified under Section 143(12) of the
Companies Act, 2013. Further, no case of Fraud has
been reported to the Management from any other
sources.
31. COMPLIANCE WITH SECRETARIAL

STANDARDS ON BOARD AND ANNUAL
GENERAL MEETINGS.
The Company has complied with Secretarial
Standards issued by the Institute of Company
Secretaries of India on Board meetings and Annual
General Meetings.
32. CORPORATE SOCIAL RESPONSIBILITY (CSR)

Corporate Social Responsibility is an integral part
of the Company’s ethos and policy and it has
been pursuing this on a sustained basis. The
Company assists in running of Schools at their
Cement Plants, ITIs and Sir Padampat Singhania
University, Udaipur imparting value based
education to students. Also the Company played
a constructive role in the infrastructural
development of surrounding areas.
During the period under report, the Company
undertook various arts, cultural promotion activities,
supporting activities e.g. Community welfare
activities. The Annual Report on CSR activities is
annexed herewith as Annexure B.
33. STATUTORY INFORMATION

1.1 Conservation of Energy, Technology
Absorption, Foreign Exchange Earnings
and Outgo. Particulars with regard to
Conservation of Energy,
Technology Absorption, Foreign Exchange
Earnings and outgo in accordance with the
provisions of Section 134 (3)(m) of the
Annual Report 4
Directors’
Cement plants are annexed hereto as Annexure C

37. FAMILIARISATION PROGRAMME FOR INDEPENDENT
and form part of the Report.
DIRECTORS
The familiarization programme aims to provide
1.2 Extract of Annual Return
Independent Directors with the cement industry scenario,
The details forming part of the extract of the Annual
the socio-economic environment in which the Company
Return in form MGT- 9 as required under Section 92
operates, the business model, the operational and
of the Companies Act, 2013. For details
financial performance of the Company, significant
please click www.jkcement.com.
developments
so as to enable them to take well informed decisions in a
1.3 Business Responsibility Reporting
timely manner. The familiarization programme also seeks
The Business Responsibility Report for the year
to update the Directors on the roles, responsibilities, rights
ended 31st March, 2018 as stipulated under
and duties under the Act and other statutes. The policy on
regulation 34 of the Listing Regulations is annexed as
Company’s familiarization programme for Independent
Annexure D and forms part of the Annual Report.
Directors is posted on the Company’s website.
1.4 Management Discussion & Analysis (MDA)

38. EQUAL OPPORTUNITY BY EMPLOYER
Statement
The Company has always provided a congenial
The MDA as required under Listing Regulation is
atmosphere for work to all employees that is free from
annexed hereto and forms an integral part of
discrimination and harassment including sexual
this Report
harassment. It has provided equal opportunities of
employment to all irrespective of their caste, religion,
35. TRANSFER TO INVESTOR EDUCATION
colour, marital status and sex.
AND PROTECTION FUND
During the year, the Company has transferred a sum of
39. CAUTIONARY STATEMENT
` 11,94,049/- Lacs to the Investor Education and Protection
Statements in the Directors Report and the Management
Fund in compliance with provisions of the Companies Act,
Discussion and Analysis describing the company’s
2013 which represents unclaimed dividend.
objectives, expectations or predictions, may be forward
looking within the meaning of applicable securities laws
36. DISCLOSURES UNDER THE COMPANIES ACT, 2013
and regulations. Actual results may differ materially from
AND LISTING REGULATIONS
those expressed in the statement. Important factors that
36.1COMPOSITION OF AUDIT COMMITTEE:
could influence the company’s operations include global
The Board has constituted the Audit Committee
and domestic demand and supply conditions affecting
which comprises of Dr. K.B. Agarwal as the Chairman
selling prices, new capacity additions, availability of critical
and Shri A. Karati, Shri J.N. Godbole, Shri K.N.
materials and their cost, changes in government policies
Khandelwal,
and tax laws, economic development of the country, and
Shri R.K. Lohia and Shri Shyam Lal Bansal as
other factors which are material to the business
members. More details on the committee are given in
operations of the company.
the Corporate Governance Report.
40. ACKNOWLEDGEMENTS
36.2POLICY ON SEXUAL HARASSMENT OF WOMEN
Your Directors wish to place on record their
AT WORKPLACE:
appreciation for the valuable support received by your
The Company has zero tolerance towards sexual
Company from Banks, Govt. of Rajasthan, Govt. of
harassment at the workplace and towards this end,
Karnataka, Govt. of
has adopted a policy in line with the provisions
Haryana, Government of Madhya Pradesh, Central Govt.
of Sexual Harassment of Women at Workplace
and Government of Fujairah. The Board thanks the
(Prevention, Prohibition and Redressal) Act, 2013
employees
and the Rules thereunder. All employees (permanent
at all levels for their dedication, commitment and hard work
contractual, temporary, trainees) are covered under
put in by them for Company’s achievements. Your
the said policy. An Internal Complaints Committee
Directors are grateful to the Shareholders/ Stakeholders for
has also been set up to redress complaints received
their confidence and faith reposed in Board.
on sexual harassment. During the financial year
under review, the Company has not received any
For and on Behalf of the Board
complaints of sexual harassment from any of the
women employees of the Company. Yadupati Singhania
Place : Kanpur Chairman & Managing Director
Dated : 12th May, 2018 DIN - 00050364
5 J.K. Cement
ANNEXURE A
SECRETARIAL AUDIT REPORT

FOR THE FINANCIAL YEAR ENDED 31st MARCH, 2018
[Pursuant to section 204(1) of the Companies Act, 2013 and Rule No. 9 of the Companies (Appointment and Remuneration of
Managerial Personnel) Rules, 2014]
To,
The Members,
J. K. Cement Limited,
Kamla Tower,
Kanpur.
We have conducted the Secretarial Audit of the compliance of applicable statutory provisions and the adherence to good corporate
practices by J. K. Cement Limited (“the Company”) having its registered office at Kamla Tower, Kanpur, U.P. and manufacturing units at
(i)Kailash Nagar, Nimbahera, Dist. Chittorgarh, Rajasthan, (ii)Mangrol, Dist. Chittorgarh, Rajasthan, (iii) Gotan, Dist. Nagaur, Rajasthan,
(iv)Muddapur, Dist. Bagalkot, Karnataka, (v)Jharli, Dist. Jhajjar, Haryana , (vi) Village: Rupand, Tensil- Badwara, Dist. Katni, M.P.
Secretarial Audit has been conducted in a manner that provided us a reasonable basis for evaluating the corporate
conduct/statutory compliances and expressing our opinion thereon.
Based on our verification of books, papers, minute books, forms and returns filed and other records maintained by the Company
and also the information provided by the Company, its Officers, Agents and Authorized representatives during the conduct of
secretarial audit, we hereby report that in our opinion, the Company has, during the audit period covering the financial year
ended on 31st March, 2018, complied with the statutory provisions listed hereunder and also that the Company has proper
Board-processes and compliance-mechanism in place to the extent, in the manner and subject to the reporting made hereinafter:
We have examined the books, papers, minute books, forms and returns filed and other records maintained by the Company for
the financial year ended on 31st March, 2018 according to the provisions of:
i. The Companies Act, 2013 (‘the Act’) and the rules made there under;
ii. The Securities Contracts (Regulation) Act, 1956 (‘SCRA’) and the rules made there under;
iii. The Depositories Act, 1996 and the Regulations and Bye-laws framed there under;
iv. Foreign Exchange Management Act, 1999 and the rules and regulations made thereunder to the extent of Overseas
Direct Investment etc;
v. The following Regulations and Guidelines with amendments thereto prescribed under the Securities and Exchange Board of
India Act, 1992 (‘SEBI Act’):-
a) The Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011;
b) The Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015;
c) The Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009;
d) The Securities and Exchange Board of India (Issue and Listing of Debt Securities) Regulations, 2008;
e) The Securities and Exchange Board of India (Listing Obligations and Disclosure Requirement) Regulations, 2015
as amended.
f.) The Competition Act, 2002 and Rules/Regulations framed thereunder;
vi. Following other laws are applicable specifically to the company
a) Factories Act, 1948;
Annual Report 5
Directors’
b) Industries (Development & Regulation) Act, 1951;
c) Laws prescribed related to mining activities;
d) Labour Laws and other incidental laws related to labour and employees appointed by the Company either on its
payroll or on contractual basis as related to wages, gratuity, provident fund, ESIC, compensation etc;
e) Laws prescribed under prevention and control of pollution;
f) Laws prescribed under Environmental protection;
g) Laws prescribed under Direct Tax and Indirect Tax;
h) Land Revenue laws of respective States;
i) Labour Welfare Laws of respective states;
j) Local laws as applicable to various offices, plants, grinding stations/Units and bulk cement terminals.
We have also examined compliance with the applicable clauses of the following:
(i) Secretarial Standards issued by The Institute of Company Secretaries of India.
(ii) The applicable provisions of SEBI (LODR) Regulations 2015 for listing of Company’s shares with the Bombay Stock Exchange
and National Stock Exchange of India Ltd.
During the period under review the Company has complied with the provisions of the Acts, Rules, Regulations, Guidelines,
Standards, etc. mentioned here in above. We have relied on the representation made by the Company and its Officers for systems
and mechanism formed by the Company for Compliances under other Act, Laws and Regulations to the Company.
We further report that during the year under report, following events/actions had major bearing on the Company’s affairs in pursuance
to the above referred laws, rules, regulations, guidelines, standards etc:-
The Competition Commission of India (CCI) has imposed penalty of ` 12,854 lacs and ` 928 lacs in two separate orders dated
31.08.2016 and 19.01.2017 respectively for alleged contravention of provisions of the Competition Act 2002 by the Company. The
Company has filed appeals with Competition Appellate Tribunal (COMPAT) against above orders. The appeals with COMPAT are
transferred to National Company Law Appellate Tribunal (NCLAT) and appeals are being heard. NCLAT has stayed the CCI order in
first matter on deposit of ` 656 lacs and hearing of appeal concluded, order reserved. In second matter, COMPAT has stayed the
demand. The Company, backed by a legal opinion, believes that it has a good case.
We further report that The Board of Directors of the Company is duly constituted with proper balance of Executive Director, Non-
Executive Directors and Independent Directors. The changes in the composition of the Board of Directors that took place during
the period under review were carried out in compliance with the provisions of the Act.
Adequate notice is given to all directors to schedule the Board Meetings, agenda and detailed notes on agenda were sent at least
seven days in advance, and a system exists for seeking and obtaining further information and clarifications on the agenda items
before the meeting and for meaningful participation at the meeting.
Majority decision is carried through while the dissenting members’ views, if any, are captured and recorded as part of the minutes.
We further report that there are adequate systems and processes in the Company commensurate with the size and operations of
the Company to monitor and ensure compliance with applicable laws, rules, regulations and guidelines.
Place : Kanpur For: Reena Jakhodia & Associates
Dated : 02th May, 2018 Company Secretaries
(Reena Jakhodia)
Proprietor
Membership No:
F6435
C.P. No.: 6083
This report is to be read with our letter of even date which is annexed as Annexure A and forms an integral part of this report.
5 J.K. Cement
To,
The Members,
J. K. Cement Limited,
Kamla Tower,
Kanpur.
Our report of even date is to be read along with this letter.
1. Maintenance of Secretarial record is the responsibility of the management of the company. Our Responsibility is to
express an opinion on these secretarial records based on our audit.
2. We have followed the audit practices and processes as were appropriate to obtain reasonable assurance about the
correctness of the contents of the Secretarial records. The verification was done on test basis to ensure that correct facts are
reflected in secretarial records. We believe that the processes and practices, we followed provide a reasonable basis for our
opinion.
3. We have not verified the correctness and appropriateness of financial records and Books of accounts of the company.
4. Where ever required, we have obtained the Management representation about the compliance of laws, rules and regulations
and happening of events etc.
5. The compliance of the provisions of Corporate and other applicable laws, rules, regulations, standards is the
responsibility of management. Our examination was limited to the verification of procedures on test basis.
6. The Secretarial Audit report is neither an assurance as to the future viability of the company nor of the efficacy or effectiveness
with which the management has conducted the affairs of the company.
Dated : 02nd May, 2018 Company Secretaries
(Reena Jakhodia)
Proprietor
Membership No:
F6435
C.P. No.: 6083
Annual Report 5
Directors’
ANNEXURE B
ANNUAL REPORT DETAILS OF THE CSR ACTIVITIES

1. A brief outline of the Company’s CSR policy, including overview of projects or programs undertaken and a reference to
the web-link to the CSR policy and projects or programs.
The CSR Policy was approved by the Board of Directors at its Meeting held on 1st November, 2014 and has been uploaded on
the Company’s website. The web link is http://www.jkcement.in/ce/policies/csrp/csr_policy.html.
The Company undertook activities relating to education and rural development.
2. The Composition of the CSR Committee.

i. Smt. Sushila Devi Singhania (Non-Executive, Non-Independent Director)
ii. Dr. K. B. Agarwal (Non-Executive, Independent Director)
iii. Shri J. N. Godbole (Non-Executive, Independent Director)
iv. Shri Suparas Bhandari (Non-Executive, Independent Director)
3. Average net profit of the Company for three Financial Years.

The average Net Profit for the last three years is ` 23053.10 lacs.
4. Prescribed CSR Expenditure (two percent of the amount as in item 3 above)
The Company is required to spend ` 461.06 lacs towards CSR for the Financial Year 2017-18
5. Details of CSR spent during Financial Year
a. Total amount spent for the Financial Year: RS 481.07 lacs
b. Amount unspent, if any: NIL
c. Manner in which the amount spent during the financial year is detailed below:
Following expenditure has been made in accordance with the Company’s CSR Policy and permissible under Schedule
VII of the Companies Act, 2013 and rules framed thereunder:-
NIMBAHERA
Cumulative Amount
expenditure spent:Direct
CSR Project or activity Section in which the project Specify
Local Area or other Amount Outlay upto the or through
S. identified (60-75 words) is covered
State and reporting implementing
period Agency
1 Various activities and Art And Culture Chittorgarh, RAJASTHAN 571000 571000
promotions for preserving Nimbahera and
and encouraging Cultural Nearby Area
heritage and Art like Srajan
the spark (Mushaira
bhartiya Lok kalamandal).
Charity
on various community
gatherings like Vande
Mataram Program & other
National Functions, Fairs,
Infrastructural development
of Cultural & Religious
places of importance to
community. Charity to NGOs
for Art &
Culture related activities.
5 J.K. Cement
Cumulative Amount
period Agency
2 Construction of a fully Community Welfare Ahirpura, Karunda, RAJASTHAN 22390941 22390941
modern Convention Maliakhera ,Pipliya
Center for the society, and Charliya
Development work at
Angarbari Centers, Road
Construction in nearby Rural
area, Park Development and
Maintenance.
3 Drinking Water arrangement Community Welfare Karunda and RAJASTHAN 941045 941045
at nearby villages and setting Nimbahera
up borewells and pipeline for
ensuring availability of water
4 Environment protection and Environment Nimbahera and RAJASTHAN 15000 15000
awareness activities nearby area
5 Sparsh Sanitary pad project Livelihood Promotion Nimbahera-Rural RAJASTHAN 2102089 2102089
for Women self help groups
and providing structured
setups and training for
earning through production
and sale of low cost sanitary
pads
6 Organised a multi speciality Health Nimbahera,Pipliya RAJASTHAN 1916460 1916460
medical camp and follow up Gadiya
camp with the support of
Geetanjali Medical College
and Hospital
NIMBAHERA 27936535 27936535
MANGROL
7 Construction of rest Community Welfare Mangrol.Arniya RAJASTHAN 1258613 1258613
houses for travellors and Joshi and Shahbad
other Community Welfare
structures
8 Providing drinking water and Community Welfare Mangrol,Shahbad RAJASTHAN 350500 350500
making stable arrangement and Tilakhera
for drinking water supply in
Villages, laying pipelines and
tubewell for drinking.
9 Environment protection and Environment Arniya Joshi RAJASTHAN 127563 127563
awareness activities like
installation system for rain
water harvesting.
10 Residential training program
at villages for Women for
skill development and Livelihood Promotion Mangrol & RAJASTHAN 2482888 2482888
Tilakhera
livelihood development.
11 Health care and awareness Health Mangrol & RAJASTHAN 136000 136000
Tilakhera
activities like pest control in
rural area
MANGROL 4355564 4355564
MUDDAPUR
12 Establishment of Soil Testing Rural Development Haliyal, Karwar Karnataka 3000000 3000000 Direct
lab at Haliyal Taluka
MUDDAPUR TOTAL 3000000 3000000
TOTAL GREY 35292099 35292099
WHITE CEMENT
Annual Report 5
Directors’
Cumulative Amount
period Agency
13 Charges For Bus Hiring For Promoting education, Gotan Rajasthan 779000 779000
Student Located In Rural including special education
Areas For Their Educational and employment enhancing
Support And Development. vocation skills especially
among children, women,
elderly, and the differently
abled and livelihood
enhancement projects,
14 Repair work at Government Rural development projects Gotan Rajasthan 414000 414000
school, Dhannapa Village
15 Safe and Clean Drinking Eradicating hunger, poverty Gotan Rajasthan 256000 256000
Water Supply in rural areas and malnutrition, promoting
through RO Plant. preventive health care and
sanitation and making
available safe drinking water
16 Cooler purchase and Rural development projects Gotan Rajasthan 76000 76000
installation of bench for
Public use at Government
Hospital, Gotan
17 Air Conditioner Purchase Rural development projects Gotan Rajasthan 43000 43000
for Pollution Control Board,
Chittorgarh
18 Contribution in Inter District Dhanappa Rajasthan 100000 100000
Games
19 JAL MANDIR GOTAN & Rural development projects GOTAN Rajasthan 140000 140000
PLANTATION WORK
20 PRADHANMANTRI AWAS Rural development projects Rajasthan 118000 118000 Direct
YOJANA GRAMIN
21 Construction of Class Room Rural development projects GOTAN Rajasthan 168000 168000 Direct
at Government School,
Natiya Basti Gotan
22 JCB Deployed at Chepia Rural development projects GOTAN Rajasthan 95000 95000
Nada Tanak(Talab) Area for
removal of Bushes
KATNI WHITE CEMENT
23 Putty application at Rural development BADWARA MADHYA 41000 41000 Direct
Badwara
Tehsil Police Station PRADESH
24 Repair and maintenance of Rural development RUPAUND MADHYA 17000 17000 Direct
Rapaund Village Government PRADESH
Road
25 Sitting chairs contributed to Rural development BADWARA MADHYA 14000 14000 Direct
Tehsil Office PRADESH
26 Curtains, Table Cover and Rural development BADWARA MADHYA 3000 3000 Direct
Towels contributed to Tehsil PRADESH
Office
27 Cow Catcher making work at Rural development BADWARA MADHYA 36000 36000 Direct
Governemt Hospital PRADESH
28 Carpet contributed to Tehsil Rural development BADWARA MADHYA 3000 3000 Direct
Office PRADESH
29 Airconditioner contributed Rural development BADWARA MADHYA 35000 35000 Direct
to Navodaya Vidhyalaya PRADESH
Badwara
30 Education material such Education RUPAUND MADHYA 22000 22000 Direct
as copies, stationery etc. PRADESH
distributed to
5 J.K. Cement
Cumulative Amount
period Agency
childrens at Rupaund Village
school
31 Cricket kit distributed to Promote Rural Sports BADWARA MADHYA 21000 21000 Direct
Badwara School PRADESH
192000 192000
37673099 37673099
HO CSR EXPENDITURE(UPTO
31.03.2018)
32 CONTRIBUTION TO J.K. RURAL DEVELOPMENT MAHARASHTRA & MAHARASHTRA 10000000 10000000
GRAMIN VIKAS TRUST
RAJASTHAN & RAJASTHAN
33 MEDICAL HEALTH CAMP HEALTH MADHYA PRADESH MP 92083 92083
34 Catering of food and LIVELIHOOD DELHI NEW DELHI 342090 342090
distribution of blankets
to
orphangage & poors
HO(UPTO 31.03.2018) 10434173 10434173
TOTAL JKCL UPTO 31.03.2018 48107272 48107272
6. In case the company has failed to spend the two percent of the average net profit of the last three financial years or
any part thereof, the company shall provide the reasons for not spending the amount in its Board Report.
Not Applicable
7. A responsibility statement of the CSR Committee that the implementation and monitoring of CSR Policy, is in
compliance with CSR objectives and Policy of the Company.
The CSR Committee hereby confirms that the implementation and monitoring of CSR activities is in compliance with CSR
objectives and the CSR Policy of the Company.
Place : Kanpur Yadupati Singhania Dr. K. B. Agarwal

Dated : 12th May, 2018 Chairman & Managing Director Chairman - Corporate Social and Responsibility Committee
DIN:- 00050364 DIN:- 00339934
Annual Report 5
Directors’
ANNEXURE C
PARTICULARs OF ENERGY CONsERVATION , TECHNOLOGY

ABsORPTION , FOREIGN EXCHANGE EARNINGs AND OUTGO
REqUIRED UNDER COMPANIEs (ACCOUNTs) RULEs 2014
PURsUANT TO sECITON 134(3)(M) OF THE COMPANIEs ACT,2013
READ WITH RULE 8(3) OF THE COMPANIEs(ACCOUNTs)
RULEs,2014
A) ENERGY CONSERVATION
Sustainable Development and continuous improvement of Key Performance Indicators is of prime importance for the
company. Electrical and Thermal energy being major cost element in cement manufacturing , remained main focus to reduce
cost.
During the year 2017-18 , following measures were taken giving reduction of power consumption by 13126335 kwh ,
reduction of thermal energy by 412518 Giga Joules yielding savings of ` 2306.94 lacs combined together for all the plants.
Process Optimisation to improve operational
efficiency Variable Frequency Drives to conserve
electrical power Installlation of Energy Efficient
Equipment / Device.
R&D Activities and Adopting new Technology.
PROCESS OPTIMISATION
Through process optimisation of all Plants, Company has saved ` 656.72 lacs by reducing 8564548 kwh of electricity and
114623 Giga Joules of thermal energy with expenditure of ` 94.72 lacs which means payback period of less than one year.
Major process optimisation measures are as under:-
` in lacs
Savings
Improving Output and Efficiency 225.16
Optimisation & downsizing equipment 191.42
Improving Heat Utilisation and Minimising Losses 240.14
656.72
Installation of Variable Frequency Drive (VFD)

In a process industry , operational conditions keeps on changing depending upon the process variables and thus to maintain
uniform and smooth running of the system , it becomes essential to control air flow , motor speed , fan speed with the changing
conditions. There are various ways to do so and among them the best technology is to control the speed according to the
demanding situation as it gives maximum saving in power consumption and can be automated. With installation of variable
frequency drive , company saved
` 159.01 lacs reducing 3139099 kwh by investing only ` 71.27 lacs i.e. payback period of less than one year.
` in lacs
Savings
Installation of VFD in CPP for Pumps & fan 81.12
Installation of VFD Process fans, water pump, compressors in various Sections 77.89
5 J.K. Cement
159.01
Annual Report 5
Directors’
Installation of Energy Saving Equipments

Adopting new technology is an ongoing process for the company. During the year electrical power 728951 kwh was reduced by
replacing conventional lights with LED lights giving savings of ` 41.86 lacs and installation of energy efficient equipment
replacing old types gave savings of ` 14.29 lacs reducing electrical power by 156423 kwh by investing INR 3,364,198.00. Thus, by
investing ` 82.49 lacs savings of INR 56.15 lacs was made i.e. payback period of eighteen months.
` in lacs
Savings
Installation of new energy efficient pump(CEP) (WHR 13.2 MW) 7.31
Installation of A3L14 Lime Stone belt(Installation of Energy Efficient Motor) 0.31
Replacement of 125W and 250W HPSV Light by LED light 0.28
Power Factor improvement by installation of active filter 6.66
Replacement of conventional lights with LED light 31.86
Heat Exchange installed in CBD line 0.01
Replacement of Conventional lights with LED in MCC rooms & Offices 4.20
Replacement of CFL lights with LED light in preheater tower and mill area 0.42
CFL lights replaced with LED light for Plant Lighting and Buildings 5.11
56.15
B) TECHNOLOGY ABSORPTION AND R&D ACTIVITIES

Process upgradation with Technology Upgradation along with R&D activities is important for development of an industry
and to be ahead of the competitors as it results to Quality Improvement , improvement in efficiency as well as cost saving.
The company took technology upgradation and R&D activities in the areas of Process Improvement , Sustainable
Development and Energy Management with estimated investment of INR 225.78 lacs and major ones are
i. Soild Waste as Alternative Fuel use at Nimbahera plant which has reduced coal use equivalent to 45062 Giga Joules
and power saving of 98224 kwh. The project accrued savings of ` 119.95 lacs in the year 2017-18.
ii. At Mangrol plant clinker factor reduced from 80.47% to 76.60% by installation of Fly Ash storage and handling system
with an investment of ` 191.24 lacs which has given savings of ` 1268.19 lacs in terms of 252834 Giga Joule thermal
energy.
iii. Further , amount of ` 5711.36 lacs has been planned for Nimbahera & Mangrol plant for Technology Absorption &
Energy Conservation measures at Nimbahera & Mangrol plant for the year 2018-19.
Savings (lacs)
Coal Grinding power saving due to AFR usage in Kiln 4.78
Coal saving by AFR Usage 115.16
Reduction of Clinker factor from 80.47% to 76.60%, savings in clinker and fuel 1268.19
PD logic for controlling preheater outlet pressure 12.60
Modification of Bag filter Bin in Packing Plant 5.70
Astronomical Switch for auto control of lightings 28.60
1435.04
C) FOREIGN EXCHANGE EARNINGS AND OUTGO

Particulars ` in lacs
Foreign Exchange earned in terms of Actual inflows 934.90
Foreign Exchange outgo in terms of Actual inflows 21460.74
6 J.K. Cement
ANNEXURE D
BUsINEss REsPONsIBILITY REPORT 2017-18

SECTION A: GENERAL INFORMATION ABOUT THE COMPANY
1. Corporate Identity Number (CIN): L17229UP1994PLC017199
2. Name of the Company JK Cement Limited (JKCL)
3. Registered Address Kamla Tower, Kanpur – 208001, Uttar Pradesh, India
4. Website http://www.jkcement.com/
5. Email id shambhu.singh@jkcement.com
6. Financial Year reported FY 2017-18
7. Sector(s) that the Company is engaged in (industrial activity code-wise) Cement and cement related products
Industrial Group Class Sub Class Description

269 2694 26941 Manufacturing of Cement and Cement related products.
26942
As per National Industrial Classification – Ministry of Statistics and Programme Implementation

8. List three key products / services that the Company manufactures /
1. Grey Cement
provides (as in balance sheet):
2. White Cement
3. White Cement based Wall Putty
4. Water Proof Compound
5. Tile Adhesive
6. Primaxx
9. Total number of locations where business activity is undertaken by the Company Head Office in Kanpur, Central Marketing Office in New Delhi
and Cement Plants in Nimbahera, Mangrol and Gotan in
Rajasthan, Muddapur in Karnataka and Jharli in Haryana,
Katni in M.P.
Number of International Locations (Provide details of major 5) --
Number of National Locations Head Office in Kanpur, Central Marketing Office in New Delhi
and Cement Plants in Nimbahera, Mangrol and Gotan in
Rajasthan, Muddapur in Karnataka and Jharli in Haryana,
Katni in M.P.
10. Markets served by the Company - Local / State / National / International White Cement & White Cement Based Wall Putty –Pan India
Grey Cement - Andhra Pradesh, Delhi, Goa, Gujarat, Haryana,
Jammu & Kashmir, Karnataka, Kerala, Madhya Pradesh,
Maharashtra, Punjab & Chandigarh, Rajasthan, TamilNadu,
Uttaranchal, Uttar Pradesh
SECTION B: FINANCIAL DETAILS OF THE COMPANY (STANDALONE)

1. Paid up capital (INR) : 699,272 lacs
2. Total turnover (INR) : 470,955.4 lacs
3. Total profit after taxes (INR) : 34,315.24 lacs
4. Total spending on Corporate Social Responsibility (CSR) as percentage of profit after tax (%): During the year, an amount of INR
481.07 lacs was spent on CSR activities. This represents 1.4% of profit after tax spend on CSR activities during the financial year
2017-18.
Annual Report 6
Directors’
5. List of activities in which expenditure in 4 above has been incurred:

1) Education, Art & Culture & Community Welfare – INR 263.13 lacs
2) Environment– INR 1.43 lacs
3) Rural Infrastructure Development – INR 143.24 lacs
4) Health & Livelihood – INR 73.27 lacs
SECTION C: OTHER DETAILS

1. Does the Company have any Subsidiary Company / Companies?
JKCL has two wholly owned subsidiary Jaykaycem (Central) Limited & J.K. Cement (Fujairah) FZC and one step down Subsidiary
i.e. J.K. Cement Works (Fujairah) FZC.
2. Do the Subsidiary Company / Companies participate in the BR Initiatives of the parent Company? If yes, then indicate
the number of such subsidiary Company(s).
No subsidiary Companies of JKCL participates in the BR Initiatives of JKCL.
3. Do any other entity / entities (e.g. suppliers, distributors etc.) that the Company does business with, participate in the
BR initiatives of the Company? If yes, then indicate the percentage of such entity/entities?
No, none of the entity / entities with whom Company does business participates in the BR initiatives of the JKCL.
SECTION D: BR INFORMATION
1. Details of Director / Directors responsible for BR:
a) Details of the Director / Directors responsible for implementation of the BR policy / policies:
DIN Number : 00050364
Name : Shri Yadupati Singhania
Designation : Chairman & Managing Director
b) Details of the BR Head:

Name : Shri Shambhu Singh
Designation : Company Secretary and Asst. Vice President (Legal)
Telephone no. : +91-512-2371478-81
E-mail id : shambhu.singh@jkcement.com
2. Principle-wise (as per NVGs) BR Policy / policies (Reply in Y / N):

The National Voluntary Guidelines on Social, Environmental and Economic Responsibilities of Business (NVGs) released by
the Ministry of Corporate Affairs has adopted nine areas of Business Responsibility.
Principle 1 Businesses should conduct and govern themselves with Ethics, Transparency and Accountability
Principle 2 Businesses should provide goods and services that are safe and contribute to sustainability throughout their life
cycle Principle 3Businesses should promote the well-being of all employees
Principle 4 Businesses should respect the interests of, and be responsive towards all stakeholders, especially those who
are disadvantaged, vulnerable and marginalized
Principle 5 Businesses should respect and promote human rights
Principle 6 Businesses should respect, protect, and make efforts to restore the environment
Principle 7 Businesses, when engaged in influencing public and regulatory policy, should do so in a responsible
manner Principle 8 Businesses should support inclusive growth and equitable development.
Principle 9 Businesses should engage with and provide value to their customers and consumers in a responsible manner
6 J.K. Cement
Sl.
No. Questions P1 P2 P3 P4 P5 P6 P7 P8 P9
1. Do you have a policy / policies for Yes
2. Has the policy been formulated in
Yes, Views from respective stakeholders, relevant internal and external stakeholders as
consultation with the relevant stakeholders?
deemed necessary, have been considered while formulating the respective policies and
practices.
3. Does the policy conform to any national /
Policies and practices meet application regulatory and best practices requirements
international standards? If Yes, specify? (50
as evaluated by the organization at the time of their formulation. The same are
words)
evaluated and updated from time to time as seen appropriate.
4. Has the policy being approved by the Board?
Yes
If yes, has it been signed
by MD / Owner / CEO / appropriate
Board Director?
5. Does the Company have a specified
Yes. Company has in place numerous Board level and other committees in place for
committee of the Board/Director / Official to
looking after different aspects of the day to day business activities, including supervision
oversee the implementation of the policy?
over proper application and adherance to various company policies and practices.
6. Indicate the link for the policy to be viewed
Relevant company policies can be accessed and viewed on company website: http://
online?
www.jkcement.com/
7. Has the policy been formally
Yes, policies and practices have been communicated to concerned stakeholders as
communicated to all relevant internal
per their applicability.
and external stakeholders?
8. Does the Company have in-house structure
Yes
to implement the policy/ policies?
9. Does the Company have a grievance
Yes. Company has a Whistle Blower Policy with grievance redressal mechanism
redressal mechanism related to
for stakeholders to raise their grievances.
the policy/policies to address
stakeholders’ grievances related to
the policy/policies?
10. Has the Company carried out independent audit Yes. Checks and balances are in place for ensuring strict compliance to various company
/ evaluation of the working of this policy by an policies and practices.
internal or external agency?
2a. If answer to S. No. 1 against any principle, is ‘No’, please explain why: (Tick up to 2 options)
S.
No. Questions P1 P2 P3 P4 P5 P6 P7 P8 P9
1. The company has not understood the Principles - - - - - - - - -
2. The company is not at a stage where it finds itself in a position - - - - - - - - -
to
formulate and implement the policies on specified principles
3. The company does not have financial or manpower resources - - - - - - - - -
available for the task
4. It is planned to be done within next 6 months - - - - - - - - -
5. It is planned to be done within the next 1 year - - - - - - - - -
6. Any other reason (please specify) - - - - - - - - -
3. Governance related to BR:
a) Indicate the frequency with which the Board of Directors, Committee of the Board or CEO assess the BR performance of
the Company. Within 3 months, 3-6 months, Annually, More than 1 year.
JKCL has been an advocate and practitioner of sustainable development since its inception. Further, Company inspires
to become a renowned sustainable brand name in India and globally. In this regard, the Company evaluates
sustainability related risks, performance and present the outcomes to management team and Board for their
information and consideration. The sustainability performance of the Company is assessed on continual basis, at least
once annually.
b) Does the Company publish a BR or a Sustainability Report? What is the hyperlink for viewing this report? How frequently
it is published?
The Company publishes sustainability report on annual basis. The sustainability report for FY 2017-18 (under
publication) is compliant with the Global Reporting Initiative (GRI) G4 guidelines. The latest report was released for FY
2016 -17, based on GRI G4 guidelines and can be accessed at the following link:
http://www.jkcement.com/pdf/sustainability-report-
new-2016-17.pdf
Annual Report 6
Directors’
SECTION E: PRINCIPLE-WISE PERFORMANCE include

Principle 1: Ethics, Transparency and Accountability
1. Does the policy relating to ethics, bribery and corruption
cover only the Company? Does it extend to the Group /
Joint Ventures / Suppliers / Contractors / NGOs / Others?
JKCL aims at creating an environment where compliance
is a central commitment and thrives to adopt greater levels
of transparency, objectivity and professionalism. The
pillars of good governance i.e. integrity, transparency,
trusteeship, accountability and compliance with laws are
cemented in our business practices.
Our Board, management and stakeholders help us conduct

our operations in an ethical manner. The Company
strongly oppose illegal labour practices and exploitation of
child labour is strictly prohibited at all our plants and
offices.
Company has a detailed Code of Ethics and Business
Conduct that outlines our commitment on conducting our
business in accordance with the applicable laws, rules
and regulations with the highest standards of business
ethics. A copy of our Code of Conduct is available on the
Company’s website www.jkcement.com.
The Code is applicable for all members of the

organisation. Also, Company have adopted a Whistle
Blower Policy which empowers any person associated with
the organisation to file a grievance if he/ she notices any
irregularity. A proper mechanism has thus been established
for the employees
to report issues to the management regarding unethical
behaviour, actual or suspected fraud or violation of the
Company’s Code of Conduct or ethics policy.
Further, JKCL has safeguards in place which discourage

bidders to engage in any corrupt practices during
tendering process.
2. How many stakeholder complaints have been received

in the past financial year and what percentage was
satisfactorily resolved by the management? If so, provide
details thereof, in about 50 words or so.
JKCL received 30 shareholder complaints during the FY
2017-18, while no complaints were pending from
previous financial year. All the 30 complaints have been
successfully resolved during the year.
Principle 2: Goods and services

1. List up to three of your products or services whose designs
have incorporated social or environmental concerns, risks
and/ or opportunities.
The Company is strategically focusing on development
of products and services that help customers build
sustainable structures which are more resource-efficient,
durable, cost-effective and conducive to human lifestyle.
JKCL manufacture a range of products that cater to
construction needs from foundation to finish. These
6 J.K. Cement
World of J.K.
Grey Cement, White Cement & White Cement based
Statutory Financial
be achieved by using less fuel consuming transport options
Wall Putty, Water Proof Compound, Tile Adhesive and or selecting
recently launched Primaxx. The Company has
deployed best-in- class technology and processes
that use resources and energy optimally thus
reducing the impacts of our cement manufacturing
activities.
2. For each such product, provide the following

details in respect of resource use (energy, water,
raw material and so on) per unit of product
(optional):
i. Reduction during sourcing / production /
distribution achieved since the previous year
throughout the value chain.
Making the most efficient use of resources
is an objective for the cement industry and
an issue of increasing significance for
customers and clients. At JKCL, we give
highest importance to resource efficiency.
Resource efficiency, achieved through
responsible management of natural resources,
helps in conservation of scarce natural
resources as well as enhances the quality
output with lesser investments. In this regard,
JKCL is investing significant time and effort for
technology up-gradation in the areas of process
improvement, sustainable development
and energy management. JKCL’s
manufacturing operations consume
alternative materials like fly ash, pond ash
and slag etc. which help in conserving
natural raw materials used for cement
production. Further, alternative fuels such as
agro waste, carbon black, fibre mass, ETP
sludge, liquid mixed waste and solid mixed
waste are consumed in kiln firing
thus substituting fossil fuels to some extent. As a
step towards water conservation, we are
continuously exploring opportunities to increase
use of recycled water and reduce water
consumption across our plant sites.
ii. Reduction during usage by consumers

(energy, water) has been achieved since the
previous year? Cement as a product is used
for a variety of purposes and by diverse
consumers. Hence, it is not feasible to
measure the usage (energy, water) by
consumers.
3. Does the Company have procedures in place for

sustainable sourcing (including transportation)? (a)
If yes, what percentage of your inputs was sourced
sustainably? Besides, provide details thereof in
about 50 words or so. The Company’s sourcing
practices are targeted at seeking cost optimization,
ensuring environment sustainability, societal
interest and resource efficiency. The Company
understands the impact of its supply chain and has
taken proactive steps to identify the most significant
environmental and social challenges within its value
chain. JKCL believes that sustainability in logistics can
Annual Report 6
Directors’
vendors that are situated closer to our manufacturing

consumed immediately. Further, the cement manufacturing
locations. Screening of transport providers is done based
process as such does not involve production of any by
on parameters like newer vehicles, requirement for drivers
products or waste. However, the fly ash generated from the
to carry pollution certificates, requirement for drivers and
Company’s captive power plant during power generation
support staff to always carry safety aprons, helmets, driving
is utilised in blended cements. In this regard, cement
license etc. Further, we are shifting towards the rail mode
plant utilizes the waste of other industries in the form of
of
alternative fuels and raw materials (AFR) which ultimately
transportation related to the dispatches of our end
provides a solution to industrial waste disposal. Further,
products as well as inter unit transfer of clinker. This will
hot waste gases coming out of Klin process is utilized
help us in further reducing our impact on the environment.
for power generation through Waste Heat Recovery
Power
4. Has the Company taken any steps to procure goods
Plants thus reducing power cost and minimizing impact on
and services from local and small producers, including
environment.
communities surrounding their place of work? (a) If yes,
what steps have been taken to improve the capacity and
Principle 3: Employees
capability of local and small vendors?
1. Please indicate the total number of employees : 2967
The Company favours procurement of goods and
Permanent Employees (as on 31st March, 2018)
services from local vendors. In order to strengthen
2. Please indicate the total number of employees hired on
partnership with the vendors, the Company organizes
temporary / contractual / casual basis
periodic vendor meet and trainings to discuss possible
Category of employees No of employees
avenues to facilitate a mutually enriching business.
Sub-contracted employees 2710
Contractual workforce at the manufacturing plants is
sourced from nearby villages 3. Please indicate the number of permanent women
through the contractors and are provided year round employees : 52 (as on 31st March, 2018)
training including occupational health & safety and are
4. Please indicate the number of permanent employees with
involved in various capacity building programmes. Our
disabilities : 8
primary raw material, i.e. limestone, is sourced (mined) and
transported from the captive mines from nearby sources, 5. Do you have an employee association that is recognised
through dumpers thus having lower transportation by the Management? :
impacts. In case of other raw materials, wherein our The Company has recognized trade unions at our
expectations are not manufacturing plants viz. Gotan, Nimbhahera and Mangrol
met within the local market or due to lack of availability of which are recognised by the Management.
required product or services, we procure from outside India.
6. What percentage of your permanent employees is member
of this recognised employee association? :
5. Does the Company have a mechanism to recycle products
At JK Cement, none of our permanent employees are part
and waste? If yes, what is the percentage of recycling
of the recognized trade unions at our manufacturing plants.
them (separately as <5%, 5-10%, >10%)? Besides, provide
However, at Gotan, Mangrol and Nimbahera, 100%, 28.2%
details thereof in about 50 words or so.
and 34.45% of our workers respectively, are members of
The Company’s products i.e., cement and power, are not
recognized employee associations.
meant for recycling as cement is used in building and
construction typically having a high life span and power is
7. Please indicate the number of complaints relating to child labour, forced labour, involuntary labour, sexual harassment in the
last financial year and pending as on the end of the financial year.
No of complaints
filed
S. No. Category No. of complaints
pending as on end of the
during the financial year
financial
1 Child Labour Nil Nil
2 Forced Labour Nil Nil
3 Involuntary Labour Nil Nil
4 Sexual Harassment Nil Nil
6 J.K. Cement
8. What percentage of your under-mentioned employees were given safety & skill up-gradation training in the last year?
We strive to upgrade our workforce skills’ levels through various learning and development programs. In this regard, various
training needs are identified and provided to our employees include functional, behavioural and Health Safety and Environment
(HSE) trainings. Further, we also conduct in-house, on-the-job and external trainer led trainings for our employees. Basic safety
induction and training is given to all employees upon their induction in the company. Further, at our manufacturing locations,
specific safety trainings are provided to employees based on their job profiles, including for temporary and contractual workforce.
HO &
S. No. Category Nimbahera Mangrol Gotan Jharli Muddapur
Marketi
a Permanent employees 74.53% 76.69 % 100% 100% 77.89% 52.7
b Permanent women employees 100% 80% 100% Nil 100% 100%
C Casual / Temporary / Contractual 100% 100% 100% 70% 100% Nil
employees
d Employees with disabilities 50% Nil 100% Nil 100% Nil
Principle 4: Stakeholders suppliers and

1. Has the Company mapped its internal and external
stakeholders? Yes / No
Yes, the Company has identified its internal as well as
external stakeholders as part of the sustainability
reporting process. Engaging with stakeholders is an
integral part of the entire sustainability reporting and
strategy process that enables understanding of priority
issues and reasonable expectations of stakeholders.
2. Out of the above, has the Company identified

the disadvantaged, vulnerable and marginalised
stakeholders?
Yes, the Company has mapped disadvantaged, vulnerable
and marginalised stakeholders in and around areas of its
significant operations, and is actively working towards
their inclusive growth as part of CSR efforts.
3. Are there any special initiatives undertaken by the

Company to engage with the disadvantaged, vulnerable
and marginalised stakeholders? If so, provide details
thereof, in about 50 words or so.
The Company, for the betterment of its disadvantaged,
vulnerable and marginalized stakeholders, has taken
initiatives in the areas of Corporate Social Responsibility
that are mainly targeted to bring meaningful difference in
the lives of its associated stakeholders.
These initiatives comprise of programs related to education,

community hygiene, infrastructure development, livelihood
support, vocational training and skill development. The
Company has a well-established CSR policy which reflects
its objective of creating a positive impact through economic
and social development.
Principle 5: Human rights

1. Does the policy of the Company on human rights cover
only the Company or extend to the Group / Joint
Ventures
/ Suppliers / Contractors / NGOs / Others?
Presently, the Company does not have a Human
Rights Policy. Any related issue is addressed based on
relevant legislations. The Company encourages its
Annual Report 6
Directors’
contractors to meet with the human rights
obligations as applicable to them. Further, the
Company’s Code of
Conduct, Harassment and Whistle Blower Policies all
cover aspects on human rights, and are applicable for all
the Company employees and business partners.
2. How many stakeholder complaints have been

received in the past financial year and what percent
was satisfactorily resolved by the Management?
In total, 30 complaints have been received from
shareholders and 30 complaints have been
resolved by the management successfully. There
were nil complaints regarding breach of human
rights aspects during the reporting period.
Principle 6: Environment
1. Do the policies related to Principle 6 cover
only the Company or extends to the Group /
Joint Ventures / Suppliers / Contractors /
NGOs / Others?
The Health, Safety and Environment policies, rules
and regulations of JKCL are applicable to the
entire Company including all stakeholders i.e.
employees, contractors and other business
partners, involved in JKCL’s business activities.
2. Does the Company have strategies / initiatives to

address global environmental issues, such as
climate change, global warming, and others? If yes,
please give hyperlink for webpage etc.
JKCL is aware of its responsibility towards imbibing
climate change issues in the strategy itself and
taking appropriate action so as to achieve growth
in manner that does not harm the environment.
The Company’s energy conservation measures
include process optimization to improve operational
efficiency, use of Variable Frequency Drives (VFD) to
conserve electrical power, Installation of Energy
efficient equipments, R&D activities and adopting
new technologies. During the year 2017-18, these
energy conservation measures led to a reduction in
power consumption by 13,126,335 kWh thus
yielding a saving of INR 2,306.94 Lacs for all plants
combined.
6 J.K. Cement
Our commitment towards innovation and technology etc. Y/N? If yes, please give hyperlink to web page etc.
up-gradation is evident from our targeted investments in JKCL has a strong focus on employing clean technology,
viable technologies that help us improve the Company’s increasing energy efficiency and procuring renewable
environmental footprint while promising profitable
growth. Examples of technology absorption and up-
gradation activities include decreasing clinker factor,
replacing energy intensive equipment with energy efficient
equipment, modification of Bag filter bin in packing unit,
astronomical Switch for Auto control of lightings, installation
of VFD
in CPP for pumps and fans, installation of energy saving
equipment such as LED lights instead of conventional
lights etc. These initiatives form a part of JKCL’s climate
protection strategy and for a more detailed reading are
available
at http://www.jkcement.com/pdf/sustainability-report-
new-2016-17.pdf.
Further, JKCL understands that natural resources are

declining at an alarming rate and hence there is a need to
maximise the output from minimum input of raw materials.
Our aim is to use natural resources responsibly while
reducing our air emissions so that we build a successful
future for our Company as well as the Planet. Our approach
of integrating responsible business practices into the
business operations backed by corporate ethics that go
beyond compliance with law and integrity, together, has
helped us conduct business in a responsible and sustainable
manner.
3. Does the Company identify and assess potential

environmental risks? Y/N
Environmental performance improvement is an important
pillar of JKCL’s business success and so we have a risk
management mechanism in place to identify, asses and
mitigate the impact of potential environmental risks. As
part of our commitment towards Environmental, Health
and Safety (EHS) management, we have implemented a
fully integrated EHS management system in our
manufacturing plants, which are certified by the
internationally recognised ISO-9001, ISO-14001, OHSAS-
18001 and SA 8000 standards.
In addition, we regularly conduct EHS management system
audits by third-party certification agencies to maintain
the requirements of global standards. We also have
implemented Energy Management System (EnMS), ISO
50001 thus achieving improved operational efficiencies.
4. Does the Company have any project related to Clean

Development Mechanism? If so, provide details thereof in
about 50 words or so. Besides, if yes, mention whether any
environmental compliance report is filed?
Currently, no projects related to Clean Development
Mechanism have been taken up by the Company.
5. Has the Company undertaken any other initiatives on

clean technology, energy efficiency, renewable energy
Annual Report 6
Directors’
energy. The Company has undertaken numerous
initiatives over the years keeping in mind clean and green
technology. Some of these include Waste Heat Recovery,
Solar Energy, Rain water Harvesting, Energy Efficiency
frequency measures etc. Today, our total waste heat
recovery based power generation capacity stands at
approximately
18.5% of our total captive power generation capacity, and
contributes significantly towards reducing our carbon
emissions. Details of these initiatives are covered in the
Corporate Sustainability Report issued by the Company
every year. To fulfil the minimum requirement of green
energy, we have also consumed wind and solar energy.
6. Are the emissions/waste generated by the Company

within the permissible limits given by CPCB/SPCB for the
financial year being reported?
Yes, the emissions/waste generated by the Company is
within permissible limits given by CPCB and SPCB and it
employs various measures to maintain compliance with
the various applicable emission/waste standards.
7. Number of show cause / legal notices received from CPCB /

SPCB, which are pending (i.e. not resolved to satisfaction)
as at the end of the financial year.
No show cause /legal notices from CPCB / SPCB have been
received by any of the JKCL manufacturing plants during the
financial year.
Principle 7: Policy Advocacy

1. Is your Company a member of any trade and chambers
or association? If yes, name only those major ones that
your business deals with.
The Company is member of various trade and chambers or
association, where the senior management represents
JKCL and engages in discussions on various topics related
to best practices, upcoming regulations, information sharing
etc. Some of these associations include:
1. JK Organisation
2. Federation of Indian Chambers of Commerce
and Industry (FICCI)
3. Cement Manufacturer’s Association (CMA)
2. Have you advocated / lobbied through the above

associations for the advancement or improvement of
public good? Yes / No; if yes, specify the broad areas (drop
box: governance and administration, economic reforms,
inclusive development polices, energy security, water,
food, security, sustainable business principles and others).
No
Principle 8: Inclusive Growth

1. Does the Company have specified programmes / initiatives
/ projects in pursuit of the policy related to Principle 8? If
yes, provide details thereof.
CSR policy is the continuing commitment of JKCL to behave
ethically and contribute to the economic development of
the
7 J.K. Cement
local community and society at large. CSR goes beyond just

4. What is the Company’s direct contribution to community
adhering to statutory and legal compliances but create
development projects? Provide the amount in INR and the
social and environmental value while supporting the JKCL’s
details of the projects undertaken?
business objectives and reducing operating costs; and at
INR 481.07 lacs was spent during the financial year 2017-18
the same time enhancing relationships with key
on CSR initiatives across our major manufacturing
stakeholders and customers.
locations. This represents 2.09 % of average net profit after
The Company contributes to raising the standard of
tax for immediately preceding three financial year.
living of nearby communities by investing in the
Total
creation and
maintenance of health and education facilities. Our aim is to
develop and support the communities in which the CSR Initiatives (FY 2017-18) Expenditure (in
Company
operate and prosper. Our key thrust areas around which we INR Lacs)
centre our CSR strategy include rural area development, Rural Infrastructure development 143.24
Health & Livelihood, Education, Art & Culture and Health & Livelihood 73.27
Community Welfare. The social initiatives taken by JKCL have Environment 1.43
impacted life of local people belonging to gram panchayats Education, Art & Culture & Community Welfare 263.13
and villages situated around our operational plants. TOTAL 481.07
5. Have you taken steps to ensure that this community
2. Are the programmes / projects undertaken through in- development initiative is successfully adopted by the
house team / own foundation / external NGO / government community? Please explain in around 50 words.
structures / any other organisation? JKCL regularly engages with local community members to
JKCL has a Board level CSR committee which assists the gaze the impact of its ongoing CSR initiatives. Projects are
Board in discharging social responsibilities. It assessed under the agreed strategy and are monitored on
formulates and monitors implementation framework of a quarterly basis. We continuously seek to execute effective
CSR Policy, observe practices of Corporate Governance at CSR interventions to boost the living standards and the
all levels and provide remedial measures wherever overall economic status of under privileged community.
necessary. The projects / initiatives are implemented
either through in- house teams or in support with other Principle 9: Customers
external competent 1. What percentage of customer complaints / consumer
authorities such as NGOs / government structures based cases is pending, as at the end of the financial year?
on skill, resources and competence required. We received 1375 Complaints in Grey & White Cement during
the FY 2017-18, out of which 1371 complaints were resolved
3. Have you done any impact assessment of your initiative? successfully by 31st March 2018, only 1 complaint is
JKCL regularly engages with local community members pending in case of grey cement & 3 complaints are pending
as part of its stakeholder engagement exercise, during in white cement and its value added products.
which community need assessment and discussions
regarding the impact of the ongoing projects are also 2. Does the Company display product information on
analysed the product label, over and above what is mandated
and complied. These allow JKCL to gaze the impact of its as per local laws? Yes / No / N.A. / Remarks (additional
ongoing initiatives and design / modify future information).
engagements to better assess the needs of the Yes. The Company displays all information as mandated by
communities. the regulations to ensure full compliance with relevant laws.
Annual Report 7
Directors’
3. Is there any case filed by any stakeholder against the Company regarding unfair trade practices, irresponsible advertising and
/ or anti-competitive behaviour during the last five years and pending as at the end of the financial year? If so, provide details
thereof, in about 50 words or so.
Particulars Remarks/Status
The Competition Commission of India (CCI) issued The Company has filed appeals with Competition Appellate Tribunal (COMPAT) against
two separate orders dated 31.8.2016 and 19.1.2017 these orders. COMPAT has stayed the CCI order in first matter on deposit of INR 6.56
imposing penalty on certain cement Crore and hearing of appeal concluded, order reserved. In second matter, COMPAT has
manufacturers including the Company, stayed the demand. The appeals with COMPAT are transferred to National Company
concerning alleged Law
contravention of the provisions of the Competition Act, Appellate Tribunal (NCLAT) and appeals are being heard. The Company, backed by a legal
2002. The penalty imposed on the Company for opinion, believes that it is good case and accordingly no provision has been made in the
orders dated 31.8.2016 and 19.1.2017 are INR 128.54 accounts.
Crore
and INR 9.28 Crore respectively.
4. Did your Company carry out any consumer survey / consumer satisfaction trends?
The Company has been maintaining its brand positioning not just by producing and selling best quality products but by
listening to its customers and taking corrective actions accordingly. In this regards, Consumer Satisfaction Survey is carried
out by the Company to measure consumer sentiments and to take appropriate measures to expand consumer satisfaction and
loyalty.
Based on the inputs received, we define our action plan in order to achieve high customer satisfaction.
7 J.K. Cement
Report on Corporate
REPORT ON CORPORATE GOVERNANCE
1. CORPORATE GOVERNANCE responsibility matrix which enables it to discharge

1.1 Company’s philosophy on Code of its fiduciary duties of safeguarding the interest of the
Corporate Governance
At J.K. Cement, we view corporate governance in
its widest sense, almost like trusteeship, integrity,
transparency, accountability and compliance
with laws which are the columns of good
governance are cemented in the Company’s
business practices to ensure ethical and
responsible leadership both at the Board and at
the Management Level. The Company’s
philosophy on Corporate Governance is to
enhance the long-term economic value of the
Company, sustainable return to its stakeholders
i.e. the society at large by adopting best corporate
practices in fair and transparent manner by aligning
interest of the Company with that of its shareholders/
other key stakeholders. Corporate Governance is
not merely compliance and not simply creating
checks and balances, it is an ongoing measure of
superior delivery of Company’s objects with a view
to translate opportunities into reality. This, together
with meaningful CSR activities and sustainable
development policies followed by the Company,
has enabled your Company to earn trust and
goodwill of its investors, business partners,
employees and the communities in which it
operates. In so far
as compliance with the requirements of the SEBI
(Listing Obligations and Disclosure Requirements)
Regulations, 2015 (‘Listing Regulations’) is concerned,
your Company is in full compliance with the norms
and disclosures that have to be made.
1.2 Governance Structure

JK’s Governance structure broadly comprises the
Board of Directors and the Committees of the Board
at the apex level and the Management structure at
the operational level. This layered structure brings
about a harmonious blend in governance as the
Board sets the overall corporate objectives and
gives direction and freedom to the Management to
achieve these corporate objectives within a given
framework, thereby bringing about an enabling
environment for value creation through sustainable
profitable growth.
2. BOARD OF DIRECTORS
The JK Board plays a pivotal role in ensuring that the
Company runs on sound and that its resources are utilized
for creating sustainable growth and societal wealth. The
Board operates within the framework of a well-defined
6 J.K. Cement
World of J.K. Statutory
Company; ensuring fairness in the decision making
Financial
process, integrity and transparency in the
Company’s dealing with its Members and other
stakeholders.
Committee of Directors
With a view to have a more focused attention on
various facets of business and for better
accountability, the Board has constituted the
following committees viz.
Audit Committee, Stakeholders’ Relationship
Committee, Nomination and Remuneration
Committee, Corporate Social Responsibility
Committee and Committee of Directors. Each of
these Committees has been mandated to operate
within a given framework.
Management Structure
Management Structure for running the business of
the Company as a whole is in place with appropriate
delegation of powers and responsibilities. The
Chairman and Managing Director is in overall control
and responsible for the day-today working of the
Company. He gives strategic directions, lays down
policy guidelines and ensures implementation
of the decisions of the Board of Directors and its
various Committees.
Board of Directors
(i) Composition of the Board
At J.K. Cement Ltd, the Board is headed by its
Chairman and Managing Director, Shri Yadupati
Singhania. The Independent Directors on the
Board are experienced, competent and highly
reputed persons from their respective fields.
The Independent Directors take active part at the
Board and Committee Meetings, which adds
vision, strategic direction and value in the
decision making process of the Board of
Directors.
The composition of the Board of Directors

is given herein below:
One Promoter, Executive, Non-Independent
Director,
Three Non-Executive, Non-Independent
Directors, Six Non-Executive, Independent
Directors.
(ii) Attendance of each Director at the Board

Meetings and last Annual General Meeting
The Board meets at least once a quarter to
review the quarterly financial results and
operations of your
Company etc. In addition, the Board also meets
as and when necessary to address specific
issues relating to the business of your
Company. During the financial year ended 31st
March, 2018 five Board Meetings were held on
the following dates:
Annual Report 6
Report on Corporate
(i)13th May, 2017 (ii) 23rd June , 2017 (iii) 12th August , 2017 (iv) 11th November, 2017 (v) 3rd February, 2018
The attendance of each Director at Board Meetings and at the last Annual General Meeting (AGM) was as
under:
S. No. Name of Director No. of Board Meetings Attended Attendance at last AGM
1 Shri Yadupati Singhania 5 No
2 Shri A. Karati 3 No
3 Shri J.N. Godbole 5 No
4 Shri K.B. Agarwal 5 Yes
5 Shri K.N. Khandelwal 5 Yes
6 Mr. Paul Heinz Hugentobler 3 No
7 Shri R.K. Lohia 2 No
8 Shri Suparas Bhandari 4 Yes
9 Smt. Sushila Devi Singhania 5 No
10 Shri Shyam Lal Bansal 2 No
(iii) The number of Directorships on the Board and Board Committees of other companies, of which the Directors are
members / Chairman is given as under:
No of Board Committees**
Relationship
Sl.No. Name of Director Category No.of other (other than JK Cement Ltd)
interse Director Directorship@ In Which
Chairman Member
1 Shri Yadupati Singhania Executive, Non- Independent Smt.Sushila Devi 8 -
Chairman & Managing Director Singhania
2 Shri Achintya Karati Non-Executive, Independent - 7 3 6
3 Smt. Sushila Devi Singhania Non-Executive, Non- Independent Shri Yadupati 1 - -
Singhania
4 Shri J.N. Godbole Non-Executive, Independent - 8 4 4
5 Dr. K.B. Agarwal Non-Executive, Independent - 4 2 2
6 Shri K.N. Khandelwal Non-Executive, Non- Independent - 1 - 2
7 Shri R.K. Lohia Non-Executive, Independent - 4 - -
8 Shri Suparas Bhandari Non-Executive, Independent - 1 - 1
9 Mr. Paul Heinz Hugentobler Non-Executive, Non- Independent - 1 1 -
10 Shri.S.L.Bansal Non-Executive, Independent - 3 - 2
@ Directorships on all public limited companies, whether listed or not, has been included and all other companies including private limited companies,
foreign companies and companies under Section 8 of the Companies Act, 2013 has been excluded.
** Chairmanship/ Membership of the Audit Committee and the Stakeholders Relationship Committee has been considered.
Note; None of the Director is acting as Director in more than 10 Public Limited Companies or acts as an Independent Director in more than 7 Listed
Companies. Further, none of the Director acts as a member of more than 10 committees or acts as a Chairman of more than 5 committees across all
Public Limited Companies in which he is a Director.
(iv) Non-Executive Directors’
Compensation and
disclosures
Apart from sitting fees paid to the Non-Executive Independent and Non-Independent Directors (except Chairman &
Managing Director) for attending Board/ Committee meetings, Commission was paid during the year details of which
are given separately in this report. Further, for the expert advisory/consultancy services rendered by any Director
consultancy fee has been paid. No transaction has been made with Non-Executive and Independent Directors vis-à- vis
your Company.
(v) Other provisions as to Board and Committees

Your Company’s Board plays a pivotal role in ensuring good governance and functioning of your Company. The
Directors are professionals, have expertise in their respective functional areas and bring a wide range of skills and
experience to the Board and their foresight helps in decision making process.
6 J.K. Cement
Annual Report 6
Report on Corporate
The Board has unfettered and complete access to any

L. Significant labour problems and their proposed
information with your Company. Members of the
solutions. Any significant development in
Board have complete freedom to express their views
Human Resources/ Industrial Relations front
on agenda items and discussions at Board level are
like signing of wage agreement, implementation
taken after due deliberations and full transparency.
of Voluntary Retirement Scheme etc.
The Board provides direction and exercises
appropriate control to ensure that your Company is
M. Sale of investments, subsidiaries, assets which
managed in
are material in nature and not in normal course
a manner that fulfills stakeholder’s aspirations and
of business.
societal expectations.
N. Quarterly details of foreign exchange
The matters placed before the Board as required
exposures and the steps taken by
under Listing Regulations interalia includes:
management to limit the risks of adverse
exchange rate movement, if material.
A. Annual operating plans and budgets and
any updates.
O. Non-compliance of any regulatory, statutory or
listing requirements and shareholders service
B. Capital budgets and any updates.
such as non-payment of dividend, delay in
share transfer etc.
C. Quarterly results for the listed entity and its
operating divisions or business segments.
Board Training and Induction
At the time of appointing a Director, a formal letter of
D. Minutes of meetings of audit committee
appointment is given to him, which inter alia explains the
and other committees of the board of
role, function, duties and responsibilities expected of him
directors.
as a Director of the Company. The Director is also explained
in detail the compliances required from him under the
E. The information on recruitment and
Companies Act, Regulation 25(7) of the Listing
remuneration of senior officers just below the
Regulations and other relevant regulations and his
level of board of directors, including appointment
affirmation taken with respect to the same.
or removal of Chief Financial Officer and the
Company Secretary.
Meetings of Independent Directors
The Company’s Independent Directors meet at least
F. Show cause, demand, prosecution notices and
once in every financial year without the presence of Non-
penalty notices, which are materially important.
Independent Directors and management personnel
inter alia to :
G. Fatal or serious accidents, dangerous
occurrences, any material effluent or pollution
- review the performance of Non- Independent Directors
problems.
and the Board as a whole,
H. Any material default in financial obligations

- review the performance of the Chairman and
to and by the listed entity, or substantial non-
Managing Director of the Company, taking into account
payment for goods sold by the listed entity.
the views of Non-Executive directors,
I. Any issue, which involves possible public or

- assess the quality, quantity and timeliness of flow of
product liability claims of substantial nature,
information between the Company’s management and
including any judgement or order which, may
the Board that is necessary for the Board to effectively and
have passed strictures on the conduct of the
reasonably perform their duties.
listed entity or taken an adverse view
regarding another enterprise that may have
During the year under review, the Independent Directors
negative implications on the listed entity.
met on February 3, 2018 without the presence of Non
Independent Directors and management personnel to
J. Details of any joint venture or collaboration
discuss the aforesaid issue.
agreement.
Performance evaluation of Independent Directors
K. Transactions that involve substantial
The Board evaluates the performance of Independent
payment towards goodwill, brand equity, or
Directors and recommends commission payable to
intellectual property.
7 J.K. Cement
them
Annual Report 7
based on their commitment towards attending the and Managing Director, the CFO and other
meetings of the Board/ Committees, contribution and senior executives briefs on capex proposals &
attention to progress, operational health & safety, marketing
the affairs of the Company and their overall performance & cement
apart from sitting fees paid for each Board and Committee
Meetings attended by them.
Familiarization Program for Directors

On appointment, the concerned Director is issued a
Letter of Appointment setting out in detail, the terms of
appointment, duties, responsibilities and expected time
commitments. Each newly appointed Independent
Director is taken through an induction and familiarization
program including the presentation and interactive
session with
the Chairman and Managing Director and other Functional
Heads on the Company’s manufacturing, marketing,
finance and other important aspects. The Company
Secretary briefs the Director about their legal and
regulatory responsibilities as a Director. The program also
includes visit to the plant to familiarize them with all facets
of cement manufacturing.
On the matters of specialized nature, the Company
engages outside experts/consultants for presentation and
discussion with the Board members. The details of
familiarization program can be accessed from the website.
Meeting, Agenda And Proceedings of Board Meeting

Agenda: All the meetings are conducted as per well
designed and structured agenda and in line with
the compliance requirement under the Companies
Act, 2013 Rules framed thereunder and applicable
Secretarial Standards prescribed by ICSI. All the
agenda items are backed by necessary supporting
information and documents (except for the critical
price sensitive information, which is circulated
separately or placed at the meeting) to enable the
Board to take informed decisions. Agenda also
includes minutes of the earlier meetings. Additional
agenda items in the form of “Other Business” are
included with the permission of the Chairman.
Agenda papers are circulated seven days prior to the
Meeting. In addition, for any business exigencies, the
resolutions are passed by circulation and later
placed at the subsequent Board/Committee Meeting
for ratification/approval.
Invitees & Proceedings: Apart from the Board
members, the Company Secretary, the CFO, the Special
Executives, Business Heads are invited to attend
all the Board Meetings. Other senior management
executives are invited as and when necessary, to
provide additional inputs for the items being
discussed by the Board. The CFO briefs on the
quarterly and annual operating & financial
performance and on annual operating & capex
budget. The Chairman
Annual Report 6
Report on Corporate
industry scenario and other business issues. The
Chairman of various Board Committees brief the
Board on all the important matters discussed &
decided
at their respective committee meetings, which are
generally held prior to the Board Meeting.
Post Meeting Action: Post meetings, all important
decisions taken at the meeting are communicated to
the concerned officials and departments. Action Taken
Report is prepared and reviewed periodically by the
Chairman & Managing Director, CFO and Company
Secretary for the action taken/ pending to be taken.
Support and Role of Company Secretary: The
Company Secretary is responsible for convening the
Board and Committee Meetings, preparation and
distribution of Agenda and other documents and
recording of the Minutes of the meetings. He acts
as interface between the Board and Management
and provides required assistance and assurance to
the Board and the Management on compliance
and
governance aspects. Compliance Officer: Mr. Shambhu
Singh,Company Secretary is the Compliance Officer
for complying with the provisions of the Securities
Laws.
Directors’ Profile
The brief profile of each Director as at the year end is given
below:
Mr. Yadupati Singhania aged about 65 years

Chairman and Managing Director (B. Tech from
IIT,Kanpur)
Yadupati Singhania, aged 65 years, is the Chairman
and Managing Director of our Company, and has been
associated with cement business since 1975. He holds
a
bachelor of technology degree from the Indian Institute of
Technology, Kanpur. He is also a chief patron of Merchants
Chamber of Uttar Pradesh and Kuladhipati of Dayanand
Siksha Sansthan. Besides, being Chairman of the Board
of Governors of Dr. Gaur Hari Singhania Institute of
Management & Research, he is also President of Kanpur
Productivity Council. He is presently the Vice President of
J.K. Organisation and is also involved in various
Educational and Social Organisations in the city of Kanpur
like Juhari Devi Girls College, Kailashpat Singhania Sports
Foundation, Uttar Pradesh Cricket Association, Agrawal
Sabha etc
Smt. Sushila Devi Singhania aged about 83 years

Non-Executive, Non-Independent Director
(Graduate of Arts)
Sushila Devi Singhania aged 83 years, is a non-executive,
non-independent Director of our Company. She has
been functioning as a Director of our Company since
July 26, 2014. She is also director of Yadu International
Limited and G. H. Securities Private Limited. She is a
member of managing committee of Seth Anandram
Jaipuria School, Kanpur, President of Juari Devi Girls
Inter College, Kanpur
7 J.K. Cement
and President of Juari Devi Girls Post Graduate College, director of our Company. He holds a bachelor’s degree in law
Kanpur. She has been actively associated with from Kanpur University and is a fellow of the Institute of Cost
programmes for welfare and upliftment of economically and Works Accountants of India and Institute of
weaker sections, children and women and also with Company Secretaries of India. He is experienced in the fields
religious activities.
Mr. Achintya Karati aged about 72 years

Non-Executive, Independent Director (Law Graduate
from Calcutta University)
Achintya Karati is a non-executive, independent Director
of our Company. He holds a bachelor’s degree in law
from the Calcutta University. He served as the country
head of Government and Institutions, NCDEX and has
also worked as senior advisor to ICICI Securities Limited,
and also
with ICICI Prudential Life Insurance Company Limited. He
retired as the country head, Government and Institutional
Solutions Group, ICICI Bank Limited in March, 2004. During
his association with ICICI Limited, he served in various
capacities, including as the Deputy Zonal Manager (North)
and Head of Major Client Group (North). He has been
associated with our Company since 2005.
Mr. Jayant Narayan Godbole aged about 73 years

Non-Executive, Independent Director (B.Tech
(Hons)
from IIT Mumbai, Certificate in Financial
Management) Jayant Narayan Godbole is a non-
executive, independent Director of our Company. He
holds a bachelor’s degree
in technology (honours) from the Indian Institute of
Technology, Mumbai and also holds a certificate in
Financial Management. He has officiated as the chairman
and managing director of the Industrial Development Bank
of India in 2005 and has also served as the chairman of
an empowered group working on the stabilization of
the corporate debt restructuring mechanism in India
Mr. K. N. Khandelwal aged about 74 years

Non-Executive, Non-Independent Director (Commerce
Graduate and a Chartered Accountant)
Kailash Nath Khandelwal is a non-executive, non-
independent director on our Board, and has been the
Director of our Company since 2004. He holds a bachelor’s
degree in commerce from Agra University. He is a fellow
of the Institute of Chartered Accountants of India and a
practicing chartered accountant. He has over 45 years of
experience in the field of finance, accounts, and taxation.
He has served as president (finance and accounts) of
Jaykay Enterprises Limited (formerly J.K. Synthetics
Limited).
Commenced his career with J.K. Synthetics Limited in 1969;
Dr. K. B. Agarwal aged about 79 years

Non-Executive, Independent Director (Graduate of
Law, PhD, ICWA and CS)
Krishna Behari Agarwal is a non-executive, independent
Annual Report 7
Report on Corporate
of finance, accounts and capital markets. He has and lead bank responsibility in 10 districts of Assam. He
served Merchants Chamber of Uttar Pradesh and is also
Uttar Pradesh Stock Exchange Association Limited
as their president. He has been a member of the
Federation of Indian Chambers of Commerce and
Industry and the Associated Chambers of Commerce
& Industry of India.
Mr. Paul Heinz Hugentobler aged about 79 years

Non-Executive, Non-Independent Director (Civil
Engineer & Degree in Economic Science)
Paul Heinz Hugentobler is a non-executive, non-
independent Director of our Company. He graduated
in civil engineering from Swiss Federal Institute of
Technology, Zurich and also has a degree in economic
science from the Graduate School of Economics and
Business of St. Gallen. He has served as the area
manager for the Holcim Asia Pacific Region and was a
member of the Holcim Executive Committee
responsible for South Asia and ASEAN. He is also the
chairman of Siam City Cement Group having its
operations in Thailand, Vietnam, Indonesia,
Bangladesh and Sri Lanka.
Mr. Raj Kumar Lohia aged about 64 years

Non-Executive, Independent Director (Bachelor of
Arts in Economics)
Raj Kumar Lohia is a non-executive, independent
Director of our Company. He holds a bachelor’s
degree in economics from Kanpur University. He
joined our Board in 2004 and is also on the board of
directors of several other companies.
Mr. Suparas Bhandari aged about 73 years

Non-Executive, Independent Director (Graduate
of Science and Law)
Suparas Bhandari is a non-executive, independent
degree in science and a bachelor’s degree in law from
the University of Jodhpur. He is the founder,
chairman and managing director of Agriculture
Insurance Company of India Limited and
has served as the general manager of Oriental
Insurance Company of India Limited and as the
assistant general manager of United India
Insurance Company Limited.
Mr.Shyam Lal Bansal aged about 64 years

Non-Executive, Independent Director (M.Com
from Delhi University, B.Com from Shri Ram
College of Commerce, New Delhi, and CA (Inter))
Shyam Lal Bansal is a non-executive, independent
degree in commerce from Shri Ram College of
Commerce, New Delhi and a master’s degree in
commerce from the University of Delhi. He
superannuated as chairman & managing director
from Oriental Bank of Commerce. He was actively
involved as an executive director in the financial
inclusion plan of United Bank of India in the whole
of West Bengal and North East, as part of the
banks’ responsibility as state level bankers’
committee convener in Tripura and West Bengal
7 J.K. Cement
acting as an independent director of IL&FS Tamil Nadu

Power Company Limited, Indiabulls Ventures Limited d. significant adjustments made in the
and Indiabulls Asset Reconstruction Company Limited. financial statements arising out of
He has been functioning as a Director of our Company audit findings;
since February 6, 2016
3. AUDIT COMMITTEE
(i) Broad Terms of Reference
The Audit Committee reviews the matters falling in
its terms of reference and addresses larger issues
and examines those facts that could be of vital
concerns to the Company. The terms of reference
of the Audit Committee constituted by the Board
in
terms of Section 177 of the Companies Act, 2013
and the Corporate Governance Code as prescribed
under Listing Regulations, which broadly includes
matters pertaining to adequacy of internal control
systems, review of financial reporting process,
discussion
of financial results, interaction with auditors,
appointment and remuneration of auditors,
adequacy of disclosures and other relevant matters.
The role of the audit committee shall include the
following:
1. oversight of the listed entity’s financial reporting

process and the disclosure of its financial
information to ensure that the financial
statement is correct, sufficient and credible;
2. recommendation for appointment,

remuneration and terms of appointment of
auditors of the listed entity;
3. approval of payment to statutory auditors for

any other services rendered by the statutory
auditors;
4. reviewing with the management, the annual

financial statements and auditor’s report thereon
before submission to the board for approval,
with particular reference to:
a. matters required to be included in the

director’s responsibility statement to be
included in the board’s report in terms
of sub-section (5) of Section 134 of the
Companies Act, 2013;
b. changes if any, in accounting policies

and practices and reasons for the same;
c. major accounting entries

involving estimates based on the
exercise of judgment by
management;
Annual Report 7
Report on Corporate
e. compliance with listing and other
legal requirements relating to financial
statements;
f. disclosure of any related party transactions;
g. modified opinion(s) in the draft audit report;
5. reviewing with the management, the quarterly

financial statements before submission to
the board for approval;
6. reviewing with the management, the statement

of uses / application of funds raised through an
issue (public issue, rights issue, preferential issue,
etc.), the statement of funds utilized for purposes
other than those stated in the offer document /
prospectus / notice and the report submitted by
the monitoring agency monitoring the
utilisation of proceeds of a public or rights issue
and making appropriate recommendations to
the board to take up steps in this matter;
7. reviewing and monitoring the

auditor’s independence and
performance and effectiveness of
audit process;
8. approval or any subsequent modification

of transactions of the listed entity with
related parties;
9. scrutiny of inter-corporate loans

and investments;
10. valuation of undertakings or assets of the

listed entity, wherever it is necessary;
11. evaluation of internal financial controls and

risk management systems;
12. reviewing with the management, performance of

statutory and internal auditors, adequacy of
the internal control systems;
13. reviewing the adequacy of internal audit

function, if any, including the structure of the
internal audit department, staffing and seniority
of the official heading the department, reporting
structure coverage and frequency of internal
audit;
14. discussion with internal auditors of any

significant findings and follow up there
on;
15. reviewing the findings of any internal

investigations by the internal auditors
into
7 J.K. Cement
matters where there is suspected fraud or

i. Dr. K. B. Agarwal (Chairman) Independent, Non-
irregularity or a failure of internal control systems
Executive Director
of a material nature and reporting the matter to
the board; ii. Shri A. Karati, Independent, Non-Executive
Director
16. discussion with statutory auditors before the
iii. Shri J. N. Godbole, Independent, Non-Executive
audit commences, about the nature and scope
Director
of audit as well as post-audit discussion to
ascertain any area of concern; iv. Shri K.N. Khandelwal, Non-Independent, Non-
Executive Director
17. to look into the reasons for substantial defaults
v. Shri R.K. Lohia, Independent, Non-Executive
in the payment to the depositors, debenture
Director
holders, shareholders (in case of non-payment
of declared dividends) and creditors; vi. Shri Shyam Lal Bansal, Independent
Director, Non-Executive
18. to review the functioning of the whistle blower
mechanism; All these Directors possess knowledge of Corporate
Finance/ Accounts/ Company Law/Industry. Shri
19. approval of appointment of chief financial officer A.K.Saraogi, Chief Finance Officer regularly attends
after assessing the qualifications, experience and the meetings and Shri Shambhu Singh, Company
background etc. of the candidate; Secretary acts as Secretary of the Committee. The
Statutory Auditors of the Company attend the
20. Carrying out any other function as is meetings as Special Invitees. All the Members on
mentioned in the terms of reference of the audit the Audit Committee have the requisite qualification
committee. for appointment on the Committee and possess
sound knowledge of finance, accounting practices
(ii) The audit committee shall mandatorily review and internal controls.
the following information
1. management discussion and analysis of (iv) Meetings and Attendance
financial condition and results of operations; During the financial year ended 31st March, 2018 four
meetings were held on (1) 13th May 2017 (2) 12th
2. statement of significant related party
August 2017 (3) 11th November 2017 (4) 3rd Feburary
transactions (as defined by the audit committee),
2018
submitted by management;
3. management letters / letters of internal control The attendance at the Committee Meetings was as
weaknesses issued by the statutory auditors; under:
No. of Meetings
4. internal audit reports relating to internal control Sl. No. Name of Director
Attended
weaknesses; 1 Dr. K.B. Agarwal 4
5. the appointment, removal and terms of 2 Shri K. N. Khandelwal 4
remuneration of the chief internal auditor shall 3 Shri R. K. Lohia 2
be subject to review by the audit committee; 4 Shri Achintya Karati 3
5 Shri J. N. Godbole 4
6. statement of deviations: 6 Shri Shyam Lal Bansal 2
a) quarterly statement of deviation(s)
4. NOMINATION AND REMUNERATION COMMITTEE
including report of monitoring agency, if
Nomination and Remuneration Committee of the
applicable, submitted to stock
Company has been functioning in pursuance of the
exchange(s) in terms of Regulation 32(1).
provisions of Regulation 19 of the Listing Regulations read
b) annual statement of funds utilized for with Section 178 of the Companies Act, 2013.
purposes other than those stated in the
offer document/ prospectus/notice in terms (i) Role of the Committee shall, inter-alia, include
of Regulation 32(7). the following:
(1) formulation of the criteria for determining
(iii) Composition of the Committee
qualifications, positive attributes and
Following Directors were the members of the Audit
independence of a director and recommend
Committee:
to the board of directors a policy relating to
Annual Report 7
Report on Corporate
the
7 J.K. Cement
remuneration of the directors, key managerial

(iii) Meetings and Attendance
personnel and other employees;
During the financial year ended 31st March, 2018
(2) formulation of criteria for evaluation of two meetings were held on (1) 13 th May, 2017
performance of independent directors and (2) 3rd February, 2018
the board of directors; No. of Meetings
Sl. No. Name of Director
(3) devising a policy on diversity of board Attended
1 Shri Achintya Karati 2
of directors;
2 Shri J. N. Godbole 2
(4) identifying persons who are qualified to 3 Shri R. K. Lohia 1
become directors and who may be appointed 4 Shri Suparas Bhandari 2
in senior management in accordance with the
(iv) Nomination and Remuneration Policy:
criteria laid down and recommend to the
The Company’s remuneration policy is based
board of directors their appointment and
on the principles of (i) pay for responsibility (ii)
removal;
pay for performance and potential and (iii) pay
(5) whether to extend or continue the term of for
appointment of the independent director, on the growth. Keeping in view the above, the
basis of the report of performance evaluation of Nomination and Remuneration Committee is
independent directors; vested with all the necessary powers and
authorities to ensure appropriate disclosure on
(ii) Composition of the Committee remuneration to the
Remuneration Committee of the Company as on Chairman and Managing Director including details of
31st March, 2018 comprised of: fixed components and performance linked incentives.
(1) Shri Raj Kumar Lohia (Chairman): Independent,
As for the Non-executive Directors, their appointment
Non-Executive Director
on the Board is for the benefit of the Company due
(2) Shri A. Karati : Independent, Non-Executive to their vast professional expertise in their individual
Director capacity. The Company suitably remunerates them
by paying sitting fee for attending the meetings of
(3) Shri J.N. Godbole: Independent, Non-Executive
the Board and various committees of the Board
Director
and commission on profit
(4) Shri Suparas Bhandari: Independent, No. of Shares
Non- Executive Director Sl. No. Name of Director
12 Shri Sushila
Smt. K. N. Khandelwal
Devi Singhania 1000
920957
(5) Shri Shambhu Singh, Company Secretary acts as 3 Shri Achintya Karati 640
Secretary of the Committee. 4 Dr. K. B. Agarwal 300
Details of Remuneration paid to the Directors for the year ended 31st March, 2018
S. No. Name of Director Salary Benefits Commission Sitting Fee Total

1 Smt. Sushila Devi Singhania 900000 526000 1426000
2 Shri Yadupati Singhania 30000000 *52500000 90000000 172500000
3 Shri A. Karati 900000 300500 1200500
4 Shri J. N. Godbole 900000 475875 1375875
5 Dr. K. B. Agarwal 900000 751250 1651250
6 Shri K. N. Khandelwal 900000 450750 1350750
7 Shri Raj Kumar Lohia 900000 350875 1250875
8 Shri Suparas Bhandari 900000 425625 1325625
9 Mr. Paul Heinz Hugentobler **10813130 900000 150250 11863380
10 Shri Shyam Lal Bansal 900000 150375 1050375
* Benefits does not include payment of contribution to Provident Fund, which is exempted perquisite under applicable provisions of the Companies Act,
2013 but includes Performance Incentive of ₹ 150 Lacs
**Paid in professional capacity.
Annual Report 7
Report on Corporate
5. STAKEHOLDERS’ RELATIONSHIP COMMITTEE -

(2) Shri Suparas Bhandari: Independent, Non-
MANDATORY COMMITTEE
Executive Director
Stakeholders’ Relationship Committee of the Company
has been functioning in pursuance of the provisions of (3) Shri K.N. Khandelwal: Non-Independent,
Regulation 20 of the Listing Regulations read with Non- Executive Director.
Section 178 of the Companies Act, 2013.
(4) Shri Raj Kumar Lohia: Independent,
Non- Executive Director.
The terms of reference of the Committee are:
(5) Shri Shambhu Singh, Company Secretary acts
1. Transfer/transmission of shares/ debentures and as Secretary of the Committee.
such other securities as may be issued by the
Company from time to time; (ii) Functions
The Committee specifically looks into redressal
2. Issue of duplicate share certificates for shares/ of shareholders’ and investors’ complaints such
debentures and other securities reported lost, defaced as transfer of shares, non-receipts of shares, non-
or destroyed, as per the laid down procedure; receipt of dividend declared, annual reports and to
ensure expeditious share transfer process and to
3. Issue new certificates against subdivision of review the status of investors’ grievances, redressal
shares, renewal, split or consolidation of share mechanism and recommend measures to improve
certificates / certificates relating to other the level of investors’ services. The Company received
securities; 31 complaints during the F.Y. 2017-18 and all the 31
complaints were redressed. No investor grievance
4. Issue and allot right shares / bonus shares pursuant has remained unattended/ pending for more than
to a Rights Issue / Bonus Issue made by the thirty days. Investor’s complaints received through
Company, subject to such approvals as may be SEBI are
required; redressed at www.scores.gov. in. However, Six requests
for dematerialisation involving 30 equity shares of
5. To grant Employee Stock Options pursuant to the Company attended as at 31.03. 2018 was attended/
approved Employees’ Stock Option Scheme(s), if disposed of within stipulated period of 30 days.
any, and to allot shares pursuant to options
exercised; (iii) Meeting and Attendance
During the financial year ended 31st March, 2018 four
6. To issue and allot debentures, bonds and meetings were held on (1) 13th May 2017 (2) 12th
other securities, subject to such approvals as August 2017 (3) 11th November 2017 (4) 3rd Feburary
may be required; 2018
7. To approve and monitor dematerialisation of shares / The attendance at the above Meetings was as under:
debentures / other securities and all matters incidental No. of Meetings
or related thereto;
Sl. No. Name of Director Attended
8. To authorise the Company Secretary and Head (1) Dr. K.B. Agarwal (Chairman): Independent, Non- Executive
Compliance/ other Officers of the Share Department Director.
to attend to matters relating to non-receipt of annual
reports, notices, non- receipt of declared dividend /
interest, change of address for correspondence etc.
and to monitor action taken;
9. Monitoring expeditious redressal of investors

/ stakeholders grievances;
10. All other matters incidental or related to shares,

debentures and other securities of the
Company.
(i) Composition
The Committee as on 31st March, 2018 comprises
of:
7 J.K. Cement
1 World
Dr. K. of J.K.
B. Agarwal Statutory
4 Financial
2 Shri K. N. Khandelwal 4
3 Shri Raj Kumar Lohia 2
4 Shri Suparas Bhandari 4
6. CORPORATE SOCIAL RESPONSIBILITY

COMMITTEE - MANDATORY COMMITTEE
Corporate Social Responsibility Committee of the
Company has been functioning in pursuance of the
provisions of Section 135 of the Companies Act, 2013
Annual Report 7
Report on Corporate
(i) Composition of the Committee - To provide guidance on various CSR activities to be

Sl. undertaken by the Company and to monitor process.
Name of Director No. of Meetings
Attended
No.
1 Smt. Sushila Non-Executive, Non- - To observe practices of Corporate Governance at all
Devi Singhania Independent Director
levels and to suggest remedial measures wherever
2 Dr. K. B. Agarwal Non-Executive, Independent
necessary.
Director
3 Shri J. N. Godbole Non-Executive, Independent
Director (ii) CSR committee attendance
4 Shri Suparas Bhandari Non-Executive, Independent Two CSR committee meetings were held during the
Director year on (1) 13th May,2017 and (2) 3rd February,2018
The Committee’s prime responsibility is to assist the No. of Meetings

Board in discharging its social responsibilities Sl. No. Name of Attended
by Director
way of formulating and monitoring 1 Smt. Sushila Devi Singhania 2
implementation of the framework of ‘corporate 2 Dr. K. B. Agarwal 2
social responsibility policy’, observe practices of 3 Shri J. N. Godbole 2
Corporate Governance at all levels, and to suggest 4 Shri Suparas Bhandari 2
remedial measures wherever necessary. The Board
has also empowered the Committee to look into 7. CMD/CFO CERTIFICATION
matters related to sustainability and overall The Chairman and Managing Director and the CFO
governance. have certified to the Board, interalia the accuracy of
financial statements and adequacy of Internal Controls
Terms of Reference of the Committee, inter alia, for the financial reporting purpose as required under
includes the following: Listing Regulations, for the year ended 31.03.2018
- To review the existing CSR Policy and to make it
more comprehensive so as to indicate the activities
to be more undertaken by the Company as specified
in Schedule VII of the Companies Act, 2013.
8. DATES , TIME AND PLACES OF LAST GENERAL MEETINGS HELD ARE GIVEN BELOW
Financial Year Date Time Place
2014 - 15 (AGM) 1st August,2015 12 Noon Auditorium of the Merchants’ Chamber of U.P., Kanpur
2015 -16 (AGM) 6th August,2016 11 A.M. Auditorium of the Merchants’ Chamber of U.P., Kanpur
2016 -17 (AGM) 29th July,2017 12.30 A.M Auditorium of the Merchants’ Chamber of U.P., Kanpur
Two special resolutions were passed in the Annual General Meeting of the Company held on 1st August, 2015. Four special
resolutions were passed in the Annual General Meeting of the company held on 6th August, 2016. Two special resolutions
were passed in the Annual General Meeting of the Company held on 29th July, 2017. There were no matters required to be dealt/
passed by the Company through postal ballot, in any of the aforesaid meetings, as required under the provisions of Section
110 of the Companies Act, 2013. The Chairman of the Audit Committee was present at AGMs held on 1st August, 2015, 6th August,
2016 and 29th July 2017 to answer the queries of the shareholders.
Disclosures
(i) There are no materially significant transactions with the related parties viz. Promoters, Directors or the Management, their
Subsidiaries/ Associates or relatives conflicting with Company’s interest. Suitable disclosure as required by the
Accounting Standard (AS18) has been made in the Annual Report.
(ii) No penalties or strictures have been imposed on the Company by Stock Exchange or SEBI or any statutory authority on
any matter related to capital markets during last three years.
(iii) The Company has complied with the mandatory requirements of Listing Regulations. The Company has complied with
the non-mandatory requirements relating to the remuneration committee to the extent detailed above.
Disclosures regarding appointment or re-appointment of Directors

According to the provisions of Companies Act, 2013 read with Articles of Association of the Company one Non-
Executive, Non-Independent Director Mr. K. N. Khandelwal will be retiring by rotation at the ensuing Annual General
7 J.K. Cement
Meeting of the
Company and being eligible offers himself for re-election. Given below is the brief resume of Mr . K. N. Khandelwal pursuant to the
listing regulations:
Annual Report 7
Report on Corporate
Mr. K.N. Khandelwal (DIN 00037250) aged about 74 years

jkcement.com. Further, Shareholding pattern and
Served as President (Finance and Accounts) of Jaykay
quarterly corporate governance report is uploaded on
Enterprises Limited. He Commenced his career with JK
the NSE Electronic Application Processing System
Synthetics Limited in 1969. He Joined J.K. Cement Ltd as a
(NEAPS) maintained by NSE and www.
Director w.e.f 2004.
listing.bseindia.com maintained by BSE.
Code of Conduct
Details of shares lying in the Escrow Account of the
The Board of Directors has already adopted the Code of
Registrar & Share Transfer Agent.
Ethics & Business Conduct for the Directors and Senior
Management Personnel. This Code is a comprehensive code
As per SEBI Circular dated 24th April, 2009 bearing reference
applicable
no.SEBI/CFD/ DIL/LA/1/2009/24/04, every Company is
to all Executives as well as Non- Executive Directors and
required to report the details of the shares lying in the
members of the Senior Management. A copy of the Code
Escrow Account which are yet to be credited to the investors
has been hosted on the Company’s website
who were allotted shares in the IPO. Accordingly, it is
www.jkcement.com. The Code has been circulated to all
reported that as on 31.03. 2018, 160 number of equity shares
the members of the Board and Senior Management
of 3 (three) shareholders are lying in the Escrow Account
Personnel and compliance of the same has been affirmed
with Stock Holding Corporation of India Ltd, Kanpur (DP.Id.
by them hereinafter.
IN301330 Client ID 19881648).
9 MEANS OF COMMUNICATIONS
Prevention of Insider Trading
The Annual, Half yearly and Quarterly results are submitted
In accordance with the Securities and Exchange Board
to the Stock Exchange(s) in accordance with Listing
of India (Prohibition of Insider Trading Regulations),
Regulations and the same are normally published in
a comprehensive code of conduct for prevention and
Business Standard, Economic Times, Nav Bharat Times,
regulation of trading in the Company’s share by insiders is
Hindustan, Times of India and Nafa Nuksan newspapers.
in vogue. The Code prohibits the purchase or sale of
Management Discussion and Analysis forms part of Annual
Company shares by the Directors and the designated
Report, which is posted to the Shareholders of the
employees while in possession of unpublished price
Company.
sensitive information in relation to the company.
All vital information relating to the Company and

its performance, including quarterly results etc. are
simultaneously posted on Company’s website www.
10 GENERAL SHAREHOLDERS INFORMATION

(i) Annual General Meeting
Date and Time Saturday the 28th July, 2018 at 11:30 A.M.
Venue Auditorium of Merchants’ Chamber of Uttar Pradesh, 14/76, Civil Lines, Kanpur.
(ii) Financial Calendar
(a)First Quarter Results Within 45 days from the close of Quarter Ending June, 2018
(b)Second Quarter Results Within 45 days from the close of Quarter Ending September, 2018
(c)Third Quarter Results Within 45 days from the close of Quarter Ending December, 2018
(d)Result for the year ending 31st March 2019 Within 60 days from the close of Quarter/ Year Ending March, 2019
(iii) Date of Book Closure
Thursday the 19th July, 2018 to Saturday 28th July, 2018 (both day inclusive).
(iv) Dividend payment date

The Board of Directors of the Company have recommended a dividend of ₹ 10 per share for the year 2017-18 which shall be
payable on or after 28th July, 2018
Dividend Policy
The Company has been declaring/paying dividend every year since 2005-06 consistently. It is maintaining a payout of
20% to 25% of Net profit as dividend (including tax)
(v) Listing on Stock Exchanges

The Equity shares of the Company are listed with the Bombay Stock Exchange Ltd. and National Stock Exchange of India
Ltd. and the listing fees has been duly and timely paid to both the Stock Exchanges for 2017-18.
(vi) Stock Code

BSE 532644 NSE JKCEMENT
8 J.K. Cement
World of J.K.
ISIN NUMBER INE823G01014
Statutory Financial
Annual Report 8
Report on Corporate
(vii) Market Price Data

STOCK MARKET DATA (BSE) & SENSEX
MONTH BSE HIGH BSE LOW BSE SENSEX HIGH BSE SENSEX LOW
APRIL,2017 985.00 909.00 30184.22 29241.48
MAY,2017 1194.45 941.70 31255.28 29804.12
JUNE,2017 1192.00 927.55 31522.87 30680.66
JULY,2017 1037.00 939.00 32672.66 31017.11
AUGUST,2017 1073.40 975.00 32686.48 31128.02
SEPTEMBER,2017 1071.00 926.25 32524.11 31081.83
OCTOBER,2017 1009.90 941.35 33340.17 31440.48
NOVEMBER,2017 1107.00 892.00 33865.95 32683.59
DECEMBER,2017 1120.00 977.30 34137.97 32565.16
JANUARY, 2018 1193.95 1071.10 36443.98 33703.37
FEBRUARY, 2018 1149.00 991.60 36256.83 33482.81
MARCH, 2018 1048.00 975.40 34278.63 32483.84
STOCK MARKET DATA (NSE) & NIFTY

MONTH NSE HIGH NSE LOW NSE NIFTY HIGH NSE NIFTY LOW
APRIL,2017 988.80 911.25 9367.15 9075.15
MAY,2017 1196.00 955.05 9649.60 9269.90
JUNE,2017 1134.00 928.00 9709.30 9448.75
JULY,2017 1034.80 921.25 10114.85 9543.55
AUGUST,2017 1079.90 976.25 10137.85 9740.10
SEPTEMBER,2017 1071.80 924.95 10178.95 9687.55
OCTOBER,2017 1008.10 941.10 10384.50 9831.05
NOVEMBER,2017 1100.00 980.00 10490.45 10094.00
DECEMBER,2017 1121.00 975.30 10552.40 10033.35
JANUARY, 2018 1194.80 1081.00 11171.55 10404.65
FEBRUARY, 2018 1151.00 992.00 11117.35 10276.30
MARCH, 2018 1048.95 976.05 10525.50 9951.90
(viii)Registrar/Transfer Agent
M/s Jaykay Enterprises Ltd.(Formerly J.K. Synthetics Ltd) is acting as Registrar and Share Transfer Agent of the Company for
Physical and Demat segment. Their address for communication is as under:-
M/s Jaykay Enterprises Ltd. (Unit J.K. Cement Ltd.) Kamla Tower, Kanpur - 208 001
Telephone: (0512) 2371478 - 81; Ext: 18322/323
Fax: (0512) 2397146;
email:investorservices@jkcement.com;rc.srivastava@ jkcement.com;jkshr@jkcement.com
(ix) Share Transfer System

Share Transfer work of physical segment is attended to by the Company’s Registrar & Share Transfer Agent within
the prescribed period under law and the Listing Regulations.
All share transfers etc. are approved/ ratified by a Committee of Directors, which meets periodically
(x) Distribution of Shareholding as on 31st March,2018

No. of Share % of Share No. of % of
No of Equity Shares Held
holders holders Shares Held Share holding
UP TO 500 69975 98.29 2670239 3.82
501 TO 1000 670 0.94 476606 0.68
1001 TO 2000 251 0.35 367698 0.53
2001 TO 3000 59 0.08 149381 0.21
3001 TO 4000 38 0.06 136260 0.20
4001 TO 5000 26 0.04 120996 0.17
5001 TO 10000 45 0.06 329908 0.47
10001 AND ABOVE 128 0.18 65676162 93.92
TOTAL 71192 100.00 69927250 100.00
8 J.K. Cement
(xi) Category of Shareholders as on 31st March, 2018

No. of Share
Category holders % of Share holders No. of Shares Held % of Share holding
Promoters and Promoter group 24 00.03 44866571 64.16
Mutual Funds / UTI 73 00.10 8753903 12.52
Alternative Investments Funds 2 00.01 7785 00.01
Financial Institutions / Banks 68 00.10 17813 00.02
Insurance Companies 9 00.01 2927102 04.19
Foreign Institutional Investors 16 00.02 25826 00.04
Foreign Portfolio Investors Corp. 80 00.11 7179044 10.27
Bodies Corporate 669 00.94 899134 01.28
Individuals 70072 98.43 4780977 06.84
Other 179 00.25 469095 00.67
TOTAL 71192 100.00 69927250 100.00
(xii) Dematerialisation of Shares

The Company’s Equity shares have been allotted ISIN (INE823G01014) both by the National Securities Depository Ltd.
(NSDL) and Central Depository Services (India) Ltd. (CDSL) 69524499 Equity share representing 99.42 % of the paid up
Equity Capital of the Company have been dematerialised till 31st March, 2018(Includes 137630 shares transmitted to
IEPF in Demat mode through corporate action).
(xiii)Shares Transferred to IEPF

During the year, 144725 equity shares of 16377 holders stand transferred to Investor, Education & Protections Fund
(IEPF) Authority Ministry of Corporate Affairs in demat mode in compliance of section 124 of Companies Act, 2013.
(xiv) The Company has not issued any GDRs/ADRs/warrants or any convertible instruments.
(xv) Plant Location
Company has following plants
Plants Location
INDIA
Grey Cement Plants Nimbahera, Dist. Chittorgarh, Rajasthan
Mangrol, Dist. Chittorgarh, Rajasthan
Gotan, Dist. Nagaur, Rajasthan
Muddapur, Dist: Bagalkot, Karnataka
Jharli, Dist: Jhajjar, Haryana
White Cement/Wall Putty Plants Gotan, Dist. Nagaur, Rajasthan
Rupaund, Tehsil- Badwara, Distt. Katni, M.P.
Thermal Power Plants Nimbahera, Dist. Chittorgarh, Rajasthan
Waste Heat Recovery Power Plant (For captive Nimbahera, Dist. Chittorgarh, Rajasthan
consumption) Mangrol, Dist. Chittorgarh, Rajasthan
OVERSEAS UNDERTAKEN BY SUBSIDIARY
Dual process White/Grey Cement Plant Plot No.7, Habhab, Tawian Fujairah, UAE
(xvi) Address for Correspondence

Mr. Shambhu Singh
Asst. Vice Presdient (Legal) & Company Secretary,
J.K. Cement Ltd.,
Kamla Tower, Kanpur - 208001. Telephone No.: 0512 2371478 - 81 Fax: 0512-2332665/2399854
Email: shambhu.singh@jkcement.com Website: www.jkcement.com
Annual Report 8
Report on Corporate
(xvii) SEBI vide its circular dated 7.1.2010 has made it

is the risk of fraud and misconduct. The Companies
mandatory to furnish PAN copy in the following cases
Act, 2013 and the SEBI (LODR) Regulations, 2015
a) Deletion of name of deceased shareholder,
mandates the listed companies to formulate
where the shares are held in the name of two
appropriate vigil
or more shareholders.
mechanism and whistle blower policy. The Company,
since its inception believes in honest and ethical conduct
b) Transmission of shares to the legal heirs,
from all the employees and others who are directly or
where deceased shareholder was a sole
indirectly associated with it. The Audit Committee is also
holder.
committed to ensure fraud-free work environment. Risk
Management Policy and Whistle Blower Policy are in
c) Transposition of shares in case of change in the
vogue.
order of names in which physical shares are held
jointly in the names of two or more shareholders
The policy is applicable to all the Directors, employees,
vendors and customers and provides a platform to all of
Vigil Mechanism
them to report any suspected or confirmed incident of
With the expansion of business in terms of volume value
fraud/misconduct, unethical practices, violation of code of
and geography, various risks associated with the
conduct etc.
business have also increased considerably. One such risk
identified
8 J.K. Cement
DECLARATION
Compliance with the Code of Business Conduct and Ethics
As provided under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (‘Listing Regulations’), all Board
Members and Senior Management Personnel have affirmed compliance with Company’s Code of Business Conduct and Ethics for
the year ended 31st March, 2018.
For J.K. Cement Ltd
Yadupati Singhania
Place : Kanpur Chairman & Managing Director
Dated : 12th May, 2018 DIN - 00050364
Annual Report 8
Report on Corporate
PRACTISING COMPANY SECRETARY’S CERTIFICATE ON CORPORATE GOVERNANCE
To,
The Members of J.K. CEMENT LIMITED
We have examined the compliance of conditions of Corporate Governance by J.K. Cement Limited (“ the Company”) for the year
ended 31st March, 2018, as per regulations 17-27, clauses (b) to (i) of regulation 46(2) and Paragraphs C,D and E of schedule V of the
Securities and Exchange Board of India ( Listing Obligations and Disclosure Requirements) Regulations, 2015 (“ Listing
Regulations”) with amendments as applicable.
The compliance of conditions of Corporate Governance is the responsibility of the Management. Our examination was limited
to procedures and implementation thereof, adopted by the Company for ensuring the compliance of the conditions of
Corporate Governance. It is neither an audit nor an expression of opinion on the financial statements of the Company.
In our opinion and to the best of our information and according to the explanations given to us, we certify that the
Company has complied with the conditions of the Corporate Governance as stipulated in the above mentioned Listing
Agreement/ Listing Regulations as applicable.
We further state that such compliance is neither an assurance as to the future viability of the Company nor the efficiency or
effectiveness with which the Management has conducted the affairs of the company.

Dated : 12th May, 2018 Company Secretaries
(Reena Jakhodia)
Proprietor
Membership No:
F6435
C.P. No.: 6083
8 J.K. Cement
Independent Auditor’s
INDEPENDENT AUDITOR’s REPORT

To the Members of J.K.Cement Limited
REPORT ON THE STANDALONE IND AS FINANCIAL

STATEMENTS An audit involves performing procedures to obtain audit evidence
We have audited the accompanying standalone Ind AS financial about the amounts and disclosures in the financial statements.
statements of J.K.Cement Limited (“the Company”), which
comprise the Balance Sheet as at March 31, 2018, the
Statement of Profit and Loss, including the statement of Other
Comprehensive Income, the Cash Flow Statement and the
Statement of Changes in Equity for the year then ended, and a
summary of significant accounting policies and other
explanatory information.
MANAGEMENT’S RESPONSIBILITY FOR THE STANDALONE

IND AS FINANCIAL STATEMENTS
The Company’s Board of Directors is responsible for the matters
stated in Section 134(5) of the Companies Act, 2013 (“the Act”)
with respect to the preparation of these standalone Ind AS
financial statements that give a true and fair view of the financial
position, financial performance including other comprehensive
income, cash flows and changes in equity of the Company in
accordance with accounting principles generally accepted
in India, including the Indian Accounting Standards (Ind AS)
specified under section 133 of the Act., read with the Companies
(Indian Accounting Standards) Rules, 2015, as amended.
This responsibility also includes maintenance of adequate
accounting records in accordance with the provisions of the Act
for safeguarding of the assets of the Company and for
preventing and detecting frauds and other irregularities; selection
and application of appropriate accounting policies; making
judgments and estimates that are reasonable and prudent;
and the design, implementation and maintenance of adequate
internal financial control that were operating effectively for
ensuring the accuracy and completeness of the accounting
records, relevant to the preparation and presentation of the Ind
AS financial statements that give a true and fair view and are free
from material misstatement, whether due to fraud or error.
AUDITOR’S RESPONSIBILITY
Our responsibility is to express an opinion on these
standalone Ind AS financial statements based on our audit.
We have taken
into account the provisions of the Act, the accounting and
auditing standards and matters which are required to be
included in the audit report under the provisions of the Act and
the Rules made thereunder. We conducted our audit of the
standalone Ind AS financial statements in accordance with the
Standards on Auditing, issued by the Institute of Chartered
Accountants of India, as specified under Section 143(10) of the
Act. Those Standards require that we comply with ethical
requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are
free from material misstatement.
8 J.K. Cement
World of J.K.
The procedures selected depend on the auditor’s
Statutory Financial
judgment, including the assessment of the risks of
material misstatement of the standalone Ind AS financial
statements, whether due to fraud or error. In making
those risk assessments, the auditor considers internal
financial control relevant to the Company’s preparation
of the standalone Ind AS financial statements that give a
true and fair view in order to design audit procedures
that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting
policies used
and the reasonableness of the accounting estimates
made by the Company’s Directors, as well as evaluating
the overall
presentation of the standalone Ind AS financial
statements. We believe that the audit evidence we have
obtained is sufficient and appropriate to provide a basis
for our audit opinion on the standalone Ind AS financial
statements.
OPINION
In our opinion and to the best of our information and
according to the explanations given to us, the
standalone Ind AS financial statements give the
information required by the Act in the manner so required
and give a true and fair view in conformity with the
accounting principles generally accepted in India, of the
state of affairs of the Company as at March 31, 2018, its
profit including other comprehensive income, its cash
flows and the changes in equity for the year ended on that
date.
EMPHASIS OF MATTER
a) We draw attention to note 36(A)(5) to the standalone
Ind AS financial statements wherein it has been
stated that The Competition commission of India
(CCI) has imposed penalty of ` 128.54 crores and `
9.28 crores in two separate orders dated 31.08.2016
and 19.01.2017 respectively for alleged
contravention of provisions of the Competition Act
2002 by the Company. The Company has filed
appeals with Competition Appellate Tribunal
(COMPAT) against above orders. COMPAT has stayed
the CCI order in first matter on deposit of ` 6.56
crores and hearing of appeal is concluded and
order stayed. In second matter stayed demand and
appeal are yet to be heard. The Company, backed
by a legal opinion, believes that it has a good case
and accordingly no provision has been made in the
Accounts.
Our opinion was not qualified in respect of above matters.
b) We draw attention to note 42 of the standalone Ind

AS financial statement which describes the impact on
deferred tax charge, deferred tax liability and
reclassifications to the previous year figures, which
has led to the restatement of the comparative year
figures in the financial statements for the year ended
March 31, 2018.
Our opinion was not qualified in respect of above matters.
Annual Report 8
statements and the operating effectiveness of such

REPORT ON OTHER LEGAL AND REGULATORY
controls, refer to our separate Report in “Annexure 2”
REQUIREMENTS
to this report;
1. As required by the Companies (Auditor’s report) Order, 2016
(“the Order”) issued by the Central Government of India in
(g) With respect to the other matters to be included in
terms of sub-section (11) of section 143 of the Act, we give
the Auditor’s Report in accordance with Rule 11 of
in the Annexure 1 a statement on the matters specified in
the Companies (Audit and Auditors) Rules, 2014, in
paragraphs 3 and 4 of the Order.
our opinion and to the best of our information
and according to the explanations given to us:
2. As required by section 143 (3) of the Act, we report that:
i. The Company has disclosed the impact of

(a) We have sought and obtained all the information
pending litigations on its financial position in
and explanations which to the best of our
its standalone Ind AS financial statements –
knowledge and belief were necessary for the purpose
Refer Note 36 to the standalone Ind AS
of our audit;
financial statements;
(b) In our opinion, proper books of account as
ii. The Company did not have any long-term
required by law have been kept by the Company
contracts including derivative contracts for which
so far as it appears from our examination of
there were any material foreseeable losses.
those books;
iii. There has been no delay in transferring

(c) The Balance Sheet, Statement of Profit and Loss
amounts, required to be transferred, to the
including the Statement of Other Comprehensive
Investor Education and Protection Fund by the
Income, the Cash Flow Statement and Statement
Company.
of Changes in Equity dealt with by this Report are
in agreement with the books of account;
OTHER MATTER
The comparative financial information of the Company for
(d) In our opinion, the aforesaid standalone Ind AS
the year ended March 31, 2017 prepared in accordance with
financial statements comply with the Accounting
Ind AS, included in these standalone Ind AS financial
Standards specified under section 133 of the Act, read
statements, have been audited by the predecessor auditor
with Companies (Indian Accounting Standards)
who had audited the standalone financial statements for the
Rules, 2015, as amended;
relevant periods. The report of the predecessor auditor on the
comparative financial information and the opening balance
(e) On the basis of the written representations received
sheet dated May 13, 2017 expressed an unmodified opinion
from the directors as on March 31, 2018, and taken
on record by the Board of Directors, none of the
For S.R. Batliboi & CO. LLP
directors is disqualified as on March 31, 2018, from Chartered Accountants
being appointed as a director in terms of section 164 ICAI Firm Registration Number: 301003E/E300005
(2) of the Act;
per Atul Seksaria
(f) With respect to the adequacy of the internal financial Place : Kanpur Partner
controls over financial reporting of the Company Dated : 12th May, 2018 Membership Number: 086370
with reference to these standalone Ind AS financial
8 J.K. Cement
ANNEXURE 1 REFERRED TO IN PARAGRAPH 1 OF OUR REPORT

OF EVEN DATE UNDER sEcTION ‘REPORT ON OTHER LEGAL AND
REGULATORY REQUIREMENTs’
J.K.Cement Limited (‘the Company’)
(iv) In our opinion and according to the information and
(i) (a) The Company has maintained proper records showing explanations given to us, there are no loans, investments,
full particulars, including quantitative details and guarantees, and securities given in respect of which
situation of property, plant and equipment. provisions of section 185 and 186 of the Companies Act
2013 are applicable and hence not commented upon.
(b) All property, plant and equipment have not been
physically verified by the management during the (v) The Company has not accepted any deposits within the
year but there is a regular programme of verification meaning of Sections 73 to 76 of the Act and the
which, in our opinion, is reasonable having regard Companies (Acceptance of Deposits) Rules 2014 (as
to the size of the Company and the nature of its amended). Accordingly, the provisions of clause 3(v) of the
assets. No material discrepancies were noticed on Order are not applicable.
such verification.
(vi) We have broadly reviewed the books of account
(c) According to the information and explanations given maintained by the Company pursuant to the rules made
by the management, the title deeds of immovable by the Central Government for the maintenance of cost
properties included in property, plant and records under section 148(1) of the Companies Act, 2013,
equipment are held in the name of the Company related to the manufacture of cement and are of the
except for 1 case of leasehold land and 4 cases of opinion that prima facie, the specified accounts and
freehold land amounting to gross block of ` 1,353.07 records have been made and maintained. We have not,
lacs (net block: however, made a detailed examination of the same.
` 177.29 lacs) and gross block of ` 225.64 lacs (net
block: ` 225.64 lacs) respectively as at March 31, (vii) (a) Undisputed statutory dues including provident fund,
2018 for which title deeds are in the name of the employees’ state insurance, income-tax, sales-tax,
erstwhile Company that merged with the Company service tax, duty of custom, duty of excise, value added
pursuant to a scheme of amalgamation and tax, goods and services tax, cess and other statutory
arrangement as approved by the honourable High dues have generally been regularly deposited with
Court in earlier years. Also refer note 2 of the the appropriate authorities though there has been a
accompanying financial statements. slight delay in a few cases.
(ii) The management has conducted physical verification (b) According to the information and explanations given
of inventory at reasonable intervals during the year to us, no undisputed amounts payable in respect of
and provident fund, employees’ state insurance, income-
no material discrepancies were noticed on such physical tax, service tax, sales-tax, duty of custom, duty of
verification. excise, value added tax, goods and services tax, cess
and other statutory dues were outstanding, at the
(iii) (a) According to the information and explanations given year end, for a period of more than six months from
to us, the Company has not granted any loans, the date they became payable.
secured or unsecured to companies, firms, Limited
Liability Partnerships or other parties covered in the
register maintained under section 189 of the
Companies Act, 2013. Accordingly, the provisions of
clause 3(iii) (a), (b) and (c) of the Order are not
applicable to the Company and hence not
commented upon.
Annual Report 8
(c) According to the records of the Company, the dues of income tax, excise duty, sales tax and cess on account of any
dispute, are as follows:
Period to which Amount Amount
Name of the Statute Nature of Dues Forum where dispute is pending
relates (` in lacs)
Bihar Entry Tax Act Entry tax 2009-10 Joint commissioner (Appeals) 86.58
Bihar Entry Tax Act Entry tax 2008-09, 2011-12 Deputy commissioner (Appeals) 90.60
Central Excise Act,1944 Excise duty July'99- Mar' 2008 Commissioner (Appeals) 1,593.43
Central Excise Act,1944 Excise duty including 1989-90 Supreme Court 419.02
interest thereon
Central Excise Act,1944 Excise duty July 1999- Mar' 2008 Commissioner (Appeals) 51.32
Finance Act, 1994 Service tax June'2007- Mar' 2008 Commissioner - Jaipur 1,085.42
Finance Act, 1994 Service tax June 2005 to June 2008 CESTAT DELHI 277.45
Finance Act, 2008 (State) Environment & health cess 2008-09 to 2015-16 Jodhpur & Banglore High Court 3,323.44
Rajasthan Entry tax Entry tax 2002-03 on wards Jodhpur High Court 4,993.21
State Sales tax Act Sales Tax 1990-91 to 2014-15 Various court in Uttar pradesh, Bihar, 586.50
Gujarat Rajasthan & Karnataka
Uttar pradesh Entry tax Act Entry tax 2005-06 to 2009-10 Appeal with Supreme Court 314.48
Income Tax Act Allahabad High Court. 2004-05 to 2010-11 Allahabad High Court. 4,229.82
Income Tax Act ITAT, Lucknow 2012-13 ITAT, Lucknow 650.36
Income Tax Act CIT (Appeals), Kanpur 2012-13 to 2013-14 CIT (Appeals), Kanpur 570.19
(viii) In our opinion and according to the information and

(xiii) According to the information and explanations given by
explanations given by the management, the Company has
the management, transactions with the related parties are
not defaulted in repayment of loans and borrowings to
in compliance with section 177 and 188 of the Act where
banks, debenture holders or the government. The
applicable and the details have been disclosed in the
Company does not have any outstanding dues towards
notes to the financial statements, as required by the
financial institutions.
applicable accounting standards.
(ix) In our opinion and according to the information and

(xiv) According to the information and explanations given to
explanations given by the management, monies raised
us and on an overall examination of the balance sheet,
through term loans were ultimately applied for the
the Company has not made any preferential allotment
purposes for which they were raised. The Company has
or private placement of shares or fully or partly
not raised any money by way of initial public offer/further
convertible debentures during the year under review
public offer.
and hence, reporting requirements under clause 3(xiv)
are not applicable to the Company and, not
(x) Based upon the audit procedures performed for the
commented upon.
purpose of reporting the true and fair view of the financial
statements and according to the information and
(xv) According to the information and explanations given by
explanations given by the management, we report that
the management, the Company has not entered into any
no fraud by the Company or no material fraud on the
non- cash transactions with directors or persons
Company by the officers and employees of the Company
connected with him as referred to in section 192 of
has been noticed or reported during the year.
(xi) According to the information and explanations given by

(xvi) According to the information and explanations given to
the management, we report that the managerial
us, the provisions of section 45-IA of the Reserve Bank of
remuneration has been paid/provided in accordance with
India Act, 1934 are not applicable to the Company.
the requisite approvals mandated by the provisions of
section 197 read with Schedule V to the Act.
Chartered Accountants
(xii) In our opinion, the Company is not a nidhi company. ICAI Firm Registration Number: 301003E/E300005
Therefore, the provisions of clause 3(xii) of the order are
per Atul Seksaria
not applicable to the Company and hence not commented Place : Kanpur Partner
upon. Dated : 12th May, 2018 Membership Number: 086370
8 J.K. Cement
ANNEXURE 2 TO THE INDEPENDENT AUDITOR’S REPORT OF

EVEN DATE ON THE STANDALONE FINANCIAL STATEMENTS OF
J.K.CEMENT LIMITED
Report on the Internal Financial Controls under Clause (i) of
Our audit involves performing procedures to obtain audit
Sub- section 3 of Section 143 of the Companies Act, 2013 (“the
evidence about the adequacy of the internal financial controls
Act”)
over financial reporting with reference to these standalone
financial statements and their operating effectiveness. Our audit
We have audited the internal financial controls over financial
of internal financial controls over financial reporting included
reporting of J.K.Cement Limited (“the Company”) as of March 31,
obtaining an understanding of internal financial controls over
2018 in conjunction with our audit of the standalone financial
financial reporting with reference to these standalone financial
statements of the Company for the year ended on that date.
statements assessing the risk that a material weakness exists,
and testing and evaluating the design and operating
MANAGEMENT’S RESPONSIBILITY FOR INTERNAL
effectiveness of internal control based on the assessed risk.
FINANCIAL CONTROLS
The procedures selected depend on the auditor’s judgement,
The Company’s Management is responsible for establishing and
including the assessment of the risks of material misstatement of
maintaining internal financial controls based on the internal
the financial statements, whether due to fraud or error.
control over financial reporting criteria established by the
Company considering the essential components of internal
We believe that the audit evidence we have obtained is sufficient
control stated in the Guidance Note on Audit of Internal Financial
and appropriate to provide a basis for our audit opinion on the
Controls over Financial Reporting issued by the Institute of
internal financial controls over financial reporting with reference
Chartered Accountants of India. These responsibilities include
to these standalone financial statements.
the design, implementation and maintenance of adequate
internal financial controls that were operating effectively for
MEANING OF INTERNAL FINANCIAL CONTROLS
ensuring the orderly and efficient conduct of its business,
OVER FINANCIAL REPORTING WITH REFERENCE TO
including adherence to the Company’s policies, the safeguarding
THESE STANDALONE FINANCIAL STATEMENTS
of its assets, the prevention and detection of frauds and errors,
A Company’s internal financial control over financial reporting
the accuracy
with reference to these standalone financial statements is a
and completeness of the accounting records, and the timely
process designed to provide reasonable assurance regarding
preparation of reliable financial information, as required under
the reliability of financial reporting and the preparation of
the Companies Act, 2013.
financial statements for external purposes in accordance with
generally accepted accounting principles. A Company’s internal
financial control over financial reporting with reference to
Our responsibility is to express an opinion on the Company’s
these standalone financial statements includes those policies
internal financial controls over financial reporting with reference
and procedures that (1) pertain to the maintenance of
to these standalone financial statements based on our audit.
records that, in reasonable detail, accurately and fairly reflect
We conducted our audit in accordance with the Guidance Note
the transactions and dispositions of the assets of the
on Audit of Internal Financial Controls Over Financial Reporting
Company; (2) provide reasonable assurance that transactions
(the “Guidance Note”) and the Standards on Auditing as
are recorded as necessary to permit preparation of financial
specified under section 143(10) of the Companies Act, 2013, to
statements in accordance with generally accepted accounting
the extent applicable to an audit of internal financial controls
principles, and that receipts and expenditures of the
and, both issued by the Institute of Chartered Accountants of
Company are being made only in accordance with
India. Those Standards and the Guidance Note require that we
authorisations of management and
comply
directors of the Company; and (3) provide reasonable assurance
with ethical requirements and plan and perform the audit to
regarding prevention or timely detection of unauthorised
obtain reasonable assurance about whether adequate internal
acquisition, use, or disposition of the Company’s assets that
financial controls over financial reporting with reference to these
could have a material effect on the financial statements.
standalone financial statements was established and
maintained and if such controls operated effectively in all
material respects.
Annual Report 8
INHERENT LIMITATIONS OF INTERNAL FINANCIAL OPINION

CONTROLS OVER FINANCIAL REPORTING WITH REFERENCE In our opinion, the Company has, in all material respects, an
TO THESE STANDALONE FINANCIAL STATEMENTS adequate internal financial controls system over financial
Because of the inherent limitations of internal financial controls reporting with reference to these standalone financial statements
over financial reporting with reference to these standalone with reference to there standalone financial statements and such
financial statements including the possibility of collusion internal financial controls over financial reporting with reference
or improper management override of controls, material to these standalone financial statements were operating
misstatements due to error or fraud may occur and not be effectively as at March 31, 2018, based on the internal control
detected. Also, projections of any evaluation of the internal over financial reporting criteria established by the Company
financial controls over financial reporting with reference to these considering the essential components of internal control stated
standalone financial statements to future periods are subject to in the Guidance Note on Audit of Internal Financial Controls
the risk that the internal financial control over financial reporting Over Financial Reporting issued by the Institute of Chartered
with reference to there standalone financial statements may Accountants of India.
become inadequate because of changes in conditions, or that
the degree of compliance with the policies or procedures may For S.R. Batliboi & CO. LLP
deteriorate. Chartered Accountants
ICAI Firm Registration Number: 301003E/E300005
per Atul Seksaria

Place : Kanpur Partner
Dated : 12th May, 2018 Membership Number: 086370
8 J.K. Cement
Balance Sheet | Statement of Profit and
BALANcE SHEET
as at 31st March, 2018
`/Lacs
As at
As at
Note 31 March 2017
31 March 2018
(Restated)
ASSETS
Non-current assets
Property, plant and equipment 2 3,59,231.71 3,67,445.95
Capital work-in-progress 2 8,780.53 10,482.45
Intangible assets 3 437.48 556.98
Financial assets
(i) Investments 4 55,694.47 47,037.80
(ii) Loan & advances 5 5,013.21 13,456.72
Other non-current assets 6 11,491.77 10,471.29
Total non-current assets 4,40,649.17 4,49,451.19
Current assets
Inventories 7 53,161.07 49,806.98
Financial assets
(i) Current investments 8 7,757.62 6,526.00
(ii) Trade receivables 9 18,797.37 14,813.42
(iii) Cash and cash equivalents 10 18,244.25 12,171.42
(iv) Bank balances other than (iii) above 11 36,107.82 30,520.43
(v) Other current financial assets 12 7,262.95 4,862.36
Current tax assets (net) 13 752.57 -
Other current assets 14 14,562.98 16,155.98
Assets held for sale 44 902.61 -
Total current assets 1,57,549.24 1,34,856.59
Total assets 5,98,198.41 5,84,307.78
EQUITY AND LIABILITIES
Equity
Equity share capital 15 6,992.72 6,992.72
Other equity 16 2,07,741.79 1,80,159.57
Total equity 2,14,734.51 1,87,152.29
Liabilities
Non-current liabilities
Financial liabilities
(i) Borrowings 17 2,06,970.78 2,28,236.67
(ii) Other financial liabilities 18 20,678.88 17,671.71
Long-term provisions 19 2,507.55 2,237.99
Deferred tax liabilities (net) 20 26,718.99 26,280.63
Other non-current liabilities 21 9,232.02 8,633.01
Total non-current liabilities 2,66,108.22 2,83,060.01
Current liabilities
(i) Borrowings 22 11,351.76 16,729.17
(ii) Trade payables 23 41,355.94 37,773.54
(iii) Other financial liabilities 24 43,752.10 43,145.55
Other current liabilities 25 19,011.45 15,591.89
Short-term provisions 26 1,884.43 706.33
Current tax Liability (net) 13 - 149.00
Total current liabilities 1,17,355.68 1,14,095.48
Total liabilities 3,83,463.90 3,97,155.49
Total equity and liabilities 5,98,198.41 5,84,307.78
The accompanying notes are an integral part of the financial

statements This is the Balance Sheet referred to in our report of even
date
For S.R. Batliboi & Co.LLP. For and on behalf of the Board of Directors of
Chartered Accountants J K Cement Limited
ICAI Firm Regn. No. 301003E/E300005
per Atul Seksaria A.K. Saraogi Yadupati Singhania
Partner President (Corp.Affairs) & CFO Chairman & Managing
Director Membership No - 086370 DIN - 00050364
Shambhu Singh Krishna Behari Agarwal
Place : Kanpur Company Secretary Director
Dated : 12th May, 2018 Membership No -F5836 DIN - 00339934
8 J.K. Cement
STATEMENT OF PROFIT AND LOss

for the year ended 31st March, 2018
`/Lacs
For the year ended
For the year
Note 31 March 2017
ended 31
(Restated)
March 2018
Revenue from operations 27 4,75,817.73 4,37,983.02
Other income 28 12,764.65 9,932.30
Total income 4,88,582.38 4,47,915.32
EXPENSES
Cost of materials consumed 29 73,038.01 64,406.17
Purchase of stock-in-Trade 84.75 92.50
Changes in inventories of finished goods, stock-in-trade and work-in-progress 30 4,201.02 (976.56)
Employee benefit expense 31 32,545.61 27,545.54
Finance costs 32 24,535.38 27,290.70
Depreciation and amortisation expense 33 18,626.77 17,609.58
Other expenses 34 2,89,881.93 2,77,572.60
Total expenses 4,42,913.47 4,13,540.53
Profit/(loss) before tax & exceptional items 45,668.91 34,374.79
Exceptional items 45 1,696.15 1,931.62
Profit/(loss) before tax 43,972.76 32,443.17
Tax expense
Current tax 9,413.62 7,047.08
Deferred tax charge/(credit) 20 371.78 4,320.39
Earlier years tax adjustments - (2.75)
Profit/(loss) for the year 34,187.36 21,078.45
Other comprehensive income
Items that will not be reclassified to profit or loss
Remeasurement gains/(losses) on defined benefit plans 195.55 48.17
Income tax relating to remeasurement of defined benefit plans (67.67) (16.67)
127.88 31.50
Total comprehensive income for the year 34,315.24 21,109.95
Earnings per equity share (`) 35
Basic 48.89 30.14
Diluted 48.89 30.14

date
Annual Report 8
Statement of Cash
STATEMENT OF CAsH FLOW

`/Lacs
For the year

For the year
ended 31
ended 31
March 2017
March 2018
(Restated)
A. CASH FLOW FROM OPERATING ACTIVITIES
Net Profit before tax 43,972.76 32,443.17
Adjustment for :-
Depreciation & amortisation expenses 18,626.77 17,609.58
Loss on the sale of property, plant & equipment/impairment 1,747.97 2,708.68
Interest paid 23,888.26 26,705.53
Interest received (4,171.14) (4,888.35)
Bad Debts/Loans and Advances 9.85 1,000.00
Provision for doubtful debts/loans and advances 174.68 172.25
Profit on sale of current investment (171.73) (239.67)
Net fair value gain on financial assets measured at fair value through profit or loss (284.83) 723.73
Net loss on unrealised foreign currency transactions and translation (83.80) 107.53
Mines restoration charges 14.40 21.48
Operating Profit Before Working Capital Changes 83,723.19 76,363.93
Movements in working capital :-
Increase/(Decrease) in trade payables 3,582.40 (4,722.28)
Increase/(Decrease) in other financial liabilities 6,119.56 7,834.21
Increase/(Decrease) in Other liabilities 4,018.57 3,432.06
Increase/(Decrease) in provisions 1,433.26 (310.97)
(Increase)/Decrease in inventories (3,354.09) (6,913.86)
(Increase)/Decrease in trade receivables (4,168.48) 583.72
(Increase)/Decrease in other financial assets (3,604.99) 2,522.70
(Increase)/Decrease in other assets 1,450.07 (1,563.08)
Cash Generated from Operations 89,199.49 77,226.43
Less: Income tax paid (inclusive of tax deducted at source) (10,248.61) (6,039.98)
Net Cash from Operating Activities 78,950.88 71,186.45
B. CASH USED IN INVESTING ACTIVITIES
Proceed from maturituy of fixed deposit 6,030.1 -
Investment in fixed deposits (1,750.00) (30,184.44)
Acquisition/Purchase of property, plant & equipment (17,754.47) (29,492.90)
Sale of property, plant & equipment 5,751.15 837.15
Investments in subsidary (6,021.94) (8,175.34)
Investment in equity, mutual funds & bonds (65,766.35) (17,691.76)
Sale of Current investment/impairment 62,071.73 16,207.38
Intercorporate loan given (4,500.00) (7,862.00)
Repayment of intercorporate loan 4,500.00 7,862.00
Interest received 4,320.19 2,962.62
Net Cash Used in Investing Activities (13,119.59) (65,537.29)
9 J.K. Cement
STATEMENT OF CAsH FLOW

`/Lacs
For the year ended
For the year
31 March 2017
ended 31
(Restated)
March 2018
C. CASH USED IN FINANCING ACTIVITIES
Proceeds of deferred sales tax/VAT loans 2,314.27 (1,702.51)
Repayment of deferred sales tax/VAT loans (1,910.33) -
Proceeds from term loans - 13,542.00
Repayment of short-term borrowings (5,377.41) (2,770.23)
Repayment of long-term borrowings (24,075.89) (9,273.12)
Proceeds from vehicle loans 132.75 217.88
Interest expense paid (inclusive of Tax deducted at source) (24,108.83) (26,860.19)
Dividend paid (including dividend distribution tax) (6,733.02) (3,366.51)
Net Cash Used in Financing Activities (59,758.46) (30,212.68)
Net Increase/(Decrease) in Cash and Cash Equivalents 6,072.83 (24,563.52)
Cash and cash equivalents at the beginning of the year 12,171.42 36,734.94
Cash and cash equivalents at the end of the year 18,244.25 12,171.42
6,072.83 (24,563.52)
Notes:
1. Cash and cash equivalents includes cash in hand and bank balances including Fixed Deposits.
For S.R. Batliboi & Co.LLP. For and on behalf of the Board of Directors
of
Partner President (Corp.Affairs) & CFO Chairman & Managing Director
Membership No - 086370 DIN - 00050364
Annual Report 9
Statement of Changes in Equity |
STATEMENT OF CHANGEs IN EQUITY

for the year ended 31st March 2018
(A) EQUITY SHARE CAPITAL
`/Lacs
As at As at
31 March 2018 31 March 2017
Balance at the beginning of the year (Equity shares of ` 10 each issued, subscribed and fully paid) 6,992.72 6,992.72
Changes in equity share capital during the year - -
Balance at the end of the reporting period (Equity shares of ` 10 each issued, subscribed and fully paid) 6,992.72 6,992.72
(B) OTHER EQUITY
`/Lacs
Reserves and Surplus
Retained
earnings
Securities Debenture Total
(including
premium redemption General reserve
Other
account reserve
Comprehensive
Income)
Balance at 31 March 2016 25,988.60 8,244.45 69,501.31 58,302.34 1,62,036.70
Dividend on 3% cumulative redeemable preference shares 555.72 555.72
Profit for the year 21,078.45 21,078.45
Other comprehensive income/(loss) for the year 31.50 31.50
Total comprehensive income for the year - - - 21,665.67 21,665.67
Amortisation of mining rights (176.29) (176.29)
Transfer to general reserve 5,000.00 (5,000.00) -
Transfer to/(from) debenture redemption reserve 1,710.65 (1,710.65) -
Dividend paid (2,797.09) (2,797.09)
Dividend distribution tax (569.42) (569.42)
Balance at 31 March 2017 (Restated) 25,988.60 9,955.10 74,325.02 69,890.85 1,80,159.57
Adjustments - -
Profit for the year - - 34,187.36 34,187.36
Other comprehensive income for the year - - - 127.88 127.88
Total comprehensive income for the year - - - 34,315.24 34,315.24
Adjustment during the year - -
Transfer to general reserve - - 6,000.00 (6,000.00) -
Transfer to/(from) debenture redemption reserve - 9.40 - (9.40) -
Dividend paid (5,594.18) (5,594.18)
Dividend distribution tax (1,138.84) (1,138.84)
Balance at 31 March 2018 25,988.60 9,964.50 80,325.02 91,463.67 2,07,741.79

date
Partner President (Corp.Affairs) & CFO Chairman & Managing Director
Membership No - 086370 DIN - 00050364
9 J.K. Cement
NOTEs
to the financial statements for the year ended 31st March, 2018
1. CORPORATE INFORMATION
accounting policies and the reported amounts
I. Reporting Entity
of assets, liabilities, income, expenses, and the
J K Cement Limited (‘J K Cement Limited’ or ‘the Company’)
accompanying disclosures, and the disclosure
is a public limited Company domiciled in India and has
of contingent liabilities. Uncertainty about these
its registered office at Kamla Tower, Kanpur, Uttar Pradesh
assumptions and estimates could result in outcomes
– 208001. J K Cement Limited’s equity shares are listed on
that require a material adjustment to the carrying
National Stock Exchange and Bombay Stock Exchange in
amount of assets or liabilities affected in future
India.
periods.
II. Significant Accounting Policies

Estimates and underlying assumptions are reviewed
The Company has consistently applied the following
on an ongoing basis. Revisions to estimates are
accounting policies to all periods presented in the
recognised prospectively.
financial statements:
A. Judgements
1. Basis of preparation
Information about the judgements made in
The financial statements of the Company have been
applying accounting policies that have the
prepared in accordance with Indian Accounting
most significant effects on the amounts
Standards (Ind-AS) notified under the Companies
recognised in the financial statements have
(Indian Accounting Standards) Rules, 2015 (as
been given below:
amended from time to time).
– Assessment of lease contracts:
These are Company’s separate financial statements.
Classification of lease under finance lease or
operating requires judgement with regard
These financial statements were authorised for issue
to
by the Board of Directors on 12.05.2018.
the estimated economic life and estimated cost
of the assets. The Company has analysed each
2. Basis of measurement
lease contract on case to case basis to classify
The financial statements have been prepared on a
the arrangements as operating and finance
historical cost basis except the following items, which
lease,
are measured on fair value basis on each reporting
based on evaluation of the term and conditions
date:
of the arrangements.
– Certain financial assets and liabilities that is

– Provision and contingencies
measured at fair value (Refer Note 41)
The assessment undertaken in the recognising
provision and contingencies have been made
– Defined benefit liability/(assets): fair value of
in accordance with Ind AS 37, ‘Provisions,
plan assets less present value of defined
contingent liabilities and contingent assets’.
benefit obligation(Refer Note 38)
The evaluation of the likelihood of the
contingent events has required best
3. Functional and presentation currency
judgement by management regarding the
These financial statements are presented in Indian
probability of exposure to potential loss.
National Rupee (‘INR’), which is the Company’s
functional currency. All amounts have been rounded
B. Assumptions and estimation uncertainties
to the nearest lacs up to two decimal places unless
The key assumptions concerning the future
otherwise indicated.
and other key sources of estimation uncertainty
at the reporting date, that have a significant
4. Use of judgements and estimates
risk of causing a material adjustment to the
In preparing these financial statements,
carrying amounts of assets and liabilities
management has made judgements, estimates and
within the next financial year, are described
assumptions that affect the application of the
below, the Company based its assumptions and
Company’s
estimates on parameters available when the
Annual Report 9
Statement of Changes in Equity |
financial statements where prepared. Existing
circumstances and assumptions about future
9 J.K. Cement
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NOTEs
development, however, may change due to

are available and measured using valuation
market change or circumstances arising that
techniques. The inputs to these models are
are beyond the control of the Company. Such
taken from observable markets where possible,
changes are reflected in the assumptions when
but where this is not feasible, a degree of
they occurred.
judgement is required in establishing fair values.
Judgements include considerations of inputs
Taxes:
such as liquidity risk, credit risk and volatility.
Deferred tax assets are recognised for unused
Changes in assumptions about these factors
tax losses to the extent that it is probable that
could affect the reported fair value of financial
taxable profit will be available against which the
instruments.
losses can be utilised. Significant management
judgement is required to determine the
5. Classification of Assets and Liabilities as Current and
amount of deferred tax assets that can be
Non-Current
recognised, based upon the likely timing and
The Company presents assets and liabilities in
the level of future taxable profits together with
the balance sheet based on current/non-current
tax planning strategy.
classification. An asset is treated as current when it is:
Useful lives of property, plant and equipment

– Expected to be realised or intended to be sold
The estimated useful lives of property, plant
or consumed in normal operating cycle.
and equipment are based on a number of
factors including the effects of obsolescence,
– Held primarily for the purpose of trading
demand, competition, internal assessment of
user experience and other economic factors
– Expected to be realised within twelve months
(such as the stability of the industry, and
after the reporting period, or
known technological advances) and the level
of
– Cash and cash equivalent unless restricted from
maintenance expenditure required to obtain the
being exchanged or used to settle a liability for at
expected future cash flows from the asset. The
least twelve months after the reporting period.
Company reviews the useful life of property, plant
and equipment at the end of each reporting date.
All other assets are classified as non-current.
Post-retirement benefit plans

An liability is treated as current when:
Employee benefit obligations (gratuity
obligations) are determined using actuarial
– It is expected to be settled in normal operating
valuation. An actuarial valuation involves
cycle.
making various assumptions that may differ
from actual developments in the future. These
– It is held primarily for the purpose of trading
include the determination of the discount rates,
future
– It is due to be settled within twelve months after
salary increases and Mortality rates. Due to the
the reporting period, or
complexities involved in the valuation and its
long-term natures, a defined benefit obligation is
– There is no unconditional right to defer
highly sensitive to changes in these
the settlement of the liability for at least
assumptions. All assumptions are reviewed at
twelve months after the reporting period.
each reporting date.
All other liabilities are classified as non-current.
Fair value measurement of financial
instruments
Deferred tax liabilities are classified as non-current
The fair value of financial assets and financial
liabilities.
liabilities recorded in the balance sheet in
respect of which quoted prices in active markets
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The operating cycle is the time between the

assets residual values and useful lives are reviewed
acquisition of the assets for processing and their
and adjusted if appropriate, at the end of each
realisation in cash and cash equivalents. The
reporting period.
Company has identified twelve months as its operating
cycle.
Leasehold land is being amortised over the period of
lease tenure.
6. Property, plant and equipment
Recognition and measurement
Tangible Assets Useful Life (In
Items of property, plant and equipment are stated at
years) Factory building (including roads)
cost less accumulated depreciation and
03-30 Years Non-
accumulated impairment loss, if any. The cost of
factory building (including roads) 05-60 Years
assets comprises of purchase price and directly
Plant and machinery 05-40 Years
attributable cost Vehicles 08 Years
of bringing the assets to working condition for its Furniture and fixtures 10 Years
intended use including borrowing cost and incidental Office equipment 05 Years
expenditure during construction incurred up to the Railway slidings 15 Years
date when the assets are ready to use. Capital work-in-
progress includes cost of assets at sites, construction
The useful lives of certain plant and machineries have
expenditure and interest on the funds deployed.
been considered lower/higher than 15 years. These
lives are lower/higher those indicated in schedule II of
If significant parts of an item of property, plant and
equipment have different useful lives, then they are
accounted for as a separate items (major
Freehold Mining Land is depleted according to the
components) of property, plant and equipment.
‘unit of production’ method by reference to the ratio
of extraction of limestone in the year to the related
Items such as spare parts, stand-by equipment and
reserves of limestone.
servicing equipment are recognised as property,
plant and equipment when they meet the definition
Leasehold Land is amortised on a straight-line basis
of property, plant and equipment. Otherwise, such
over the primary lease period.
items are classified as inventory
Limestone reserves are estimated by the management
Any gain/(loss) on disposal of property, plant and
based on the internal best estimates or independent
equipment is recognised in statement of profit and
expert’s valuation as considered appropriate. These
loss.
estimates are reviewed at least annually.
Subsequent Measurement
The management believes that the estimated useful
Subsequent expenditure is capitalised only if it is
lives are realistic and reflect approximation of the
probable that the future economic benefits
period over which the assets are likely to be used.
associated with the expenditure will flow to the
Company.
7. Intangible assets
Intangible Assets are stated at cost less
Depreciation
accumulated amortisation and impairment loss, if
Depreciation on Property, plant and equipment
any. Intangible assets are amortised on straight-
(PPE) is calculated using the straight-line method
line method basis over the estimated useful life.
(SLM)
Estimated useful life of the Software is considered as
to allocate their cost, net of their residual values,
3 years.
over their estimated useful lives (determined by the
management based on technical estimates). The
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Subsequent expenditure is capitalised only if it is both of the following conditions are met:
associated with the expenditure will flow to the – It is held within a business model whose objective is
Company. to hold assets in order to collect contractual cash
flows.
Amortisation methods, useful lives and residual
values are reviewed in each financial year end and
changes, if any, are accounted for prospectively.
8. Financial instruments
A financial instrument is any contract that gives rise
to asset of one entity and a financial liability or equity
instrument of another entity. Financial instruments
also include derivative contracts such as foreign
currency forward contracts, cross currency interest
rate swaps, interest rate swaps and currency
options; and embedded derivatives in the host
contract.
Financial Assets
Initial recognition and measurement
All financial assets are recognised initially at fair value
plus, in the case of financial assets not recorded at fair
value through profit or loss, transaction costs that
are attributable to the acquisition of the financial
asset.
Purchases or sales of financial assets that require

delivery of assets within a time frame established by
regulation
or convention in the market place (regular way
trades) are recognised on the trade date, i.e. the
date that the Company commits to purchase or sell
the asset.
Classifications
The Company classifies its financial assets as
subsequently measured at either amortised cost or
fair value depending on the Company’s business
model for managing the financial assets and the
contractual cash flow characteristics of the financial
assets.
Business model assessment

The Company makes an assessment of the objective of
a business model in which an asset is held at an
instrument level because this best reflects the way the
business is managed and information is provided to
management.
Debt instruments at amortised cost

A financial asset is measured at amortised cost only if
9 J.K. Cement
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World of J.K.
The contractual terms of the financial
Statutory Financial
asset represent contractual cash flows
that are solely payments of principal and
interest.
After initial measurement, such financial assets

are subsequently measured at amortised cost
using the Effective Interest Rate (‘EIR’)
method. Amortised cost is calculated by taking
into account any discount or premium on
acquisition and fees or costs that are
an integral part of the EIR. The EIR amortisation
is included as finance income in the profit or
loss. The losses arising from impairment are
recognised in the profit or loss.
Debt instrument at fair value through Other

Comprehensive Income (FVOCI)
Debt instruments with contractual cash flow
characteristics that are solely payments of
principal and interest and held in a business
model whose objective is achieved by both
collecting contractual cash flows and selling
financial assets are classified to be measured at
FVOCI.
Debt instrument at fair value through profit

and loss (FVTPL)
Any debt instrument, which does not meet the
criteria for categorisation as at amortised cost or
as FVOCI, is classified as at FVTPL.
In addition, the Company may elect to classify

a debt instrument, which otherwise meets
amortised cost or FVOCI criteria, as at FVTPL.
However, such election is allowed only if doing
so reduces or eliminates a
measurement or recognition inconsistency
(referred to as ‘accounting mismatch’).
Debt instruments included within the FVTPL

category are measured at fair value with all
changes recognised in the profit and loss.
Equity Instruments
All equity instruments in scope of Ind AS 109
are measured at fair value and all changes in
fair value are recorded in FVTPL. On initial
recognition an equity investment that is not held
for trading, the Company may irrevocably elect
to present subsequent changes in fair value in
OCI and fair value changes on the instrument,
excluding dividends, are recognised in the OCI.
There is no recycling of the amounts from OCI
to statement of profit and loss, even on sale of
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investment. However, the Company may transfer the

On derecognition of a financial asset, the difference
cumulative gain or loss within equity. This election is
between the carrying amount of the asset (or the
made on an investment-by-investment basis.
carrying amount allocated to the portion of the
asset derecognised) and the sum of (i) the
All other Financial Instruments are classified as
consideration received (including any new asset
measured at FVTPL.
obtained less any new liability assumed) and (ii) any
cumulative gain or loss that had been recognised in
Derecognition of financial assets
OCI is recognised in profit or loss.
A financial asset (or, where applicable, a part of a
financial asset or part of a group of similar financial
Impairment of financial assets
assets) is primarily derecognised (i.e. removed from
The Company assesses on a forward-looking basis
the Company’s balance sheet) when:
the expected credit losses associated with its
assets carried at amortised cost and at FVOCI
– The rights to receive cash flows from the asset
have expired, or
For recognition of impairment loss on other
financial assets and risk exposure, the Company
– The Company has transferred its rights to
determines that whether there has been a significant
receive cash flows from the asset or has
increase in the credit risk since initial recognition. If
assumed an obligation to pay the received cash
credit risk has not increased significantly, 12-month
flows in full without material delay to a third
ECL is used to provide for impairment loss. However,
party under
if credit risk has increased significantly, lifetime ECL
a ‘pass-through’ arrangement; and either (a)
is used. If, in a subsequent period, credit quality of
the Company has transferred substantially all
the instrument improves such that there is no
the risks and rewards of the asset, or (b) the
longer a significant
Company has neither transferred nor retained
increase in credit risk since initial recognition, then the
substantially all the risks and rewards of the
entity revert to recognising impairment loss
asset, but has transferred control of the asset
allowance based on 12 month ECL.
When the Company has transferred its rights to

Lifetime ECL are the expected credit losses resulting
receive cash flows from an asset or has entered
from all possible default events over the expected
into a pass-through arrangement, it evaluates if
life of a financial instrument. The 12 -month ECL is a
and to what extent it has retained the risks and
portion of the lifetime ECL which results from default
rewards
events on a financial instrument that are possible
of ownership. When it has neither transferred nor
within 12 months after the reporting date
retained substantially all of the risks and rewards of
the asset, nor transferred control of the asset, the
With regard to trade receivable, the Company applies
Company continues to recognise the transferred
the simplified approach as permitted by Ind AS 109,
asset to the extent of the Company’s continuing
Financial Instruments, which requires expected
involvement. In that case, the Company also
lifetime losses to be recognised from the initial
recognises an associated liability. The transferred
recognition of the trade receivables.
asset and the associated liability are measured on a
basis that reflects the rights and obligations that the
Company has retained.
Financial liabilities are classified, at initial recognition,
Continuing involvement that takes the form of a
as financial liabilities at fair value through profit or
guarantee over the transferred asset is measured at
loss, amortised cost, as appropriate.
the lower of the original carrying amount of the asset
and the maximum amount of consideration that the
Company could be required to repay.
9 J.K. Cement
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All financial liabilities are recognised initially at fair

For liabilities designated as FVTPL, fair value gains/
value and, in the case of amortised cost, net of directly
losses attributable to changes in own credit risk
attributable transaction costs.
are recognised in OCI. These gains/loss are not
subsequently transferred to P&L. However, the
Subsequent measurement
Company may transfer the cumulative gain or loss
The measurement of financial liabilities depends on
within equity. All other changes in fair value of such
their classification, as described below:
liability are recognised in the statement of profit or
loss.
Financial Liabilities measured at amortised cost
After initial recognition, interest-bearing loans and
Derecognition of financial liabilities
borrowings are subsequently measured at
The Company derecognises a financial liability when
amortised cost using the EIR method. Gains and
its contractual obligations are discharged or cancelled,
losses are recognised in profit or loss when the
or expire.
liabilities are derecognised as well as through the
EIR amortisation process.
Reclassification of financial assets
The Company determines classification of
Amortised cost is calculated by taking into
financial assets and liabilities on initial recognition.
account any discount or premium on acquisition
After initial recognition, no reclassification is made
and fees or costs that are an integral part of the
for financial assets which are equity instruments
EIR. The
and
EIR amortisation is included as finance costs in the
financial liabilities. For financial assets which are debt
statement of profit and loss.
instruments, a reclassification is made only if there is
a change in the business model for managing those
Financial liabilities at fair value through profit or loss
assets. Changes to the business model are expected
Financial liabilities at fair value through profit or
to be infrequent. The Company’s senior
loss include financial liabilities held for trading and
management determines change in the business
financial liabilities designated upon initial recognition
model as a result of external or internal changes
as at fair value through profit or loss. Financial
which are significant to the Company’s operations.
liabilities are classified as held for trading if they are
Such changes are evident to external parties. A
incurred for the purpose of repurchasing in the near
change in the business model occurs when the
term.
Company either begins or ceases to perform an
activity that is significant to
Gains or losses on liabilities held for trading are
its operations. If the Company reclassifies financial
assets, it applies the reclassification prospectively
from the reclassification date which is the first day
Financial liabilities designated upon initial
of the immediately next reporting period following
recognition at fair value through profit or loss are
the change in business model. The Company does
designated as such at the initial date of recognition,
not restate any previously recognised gains,
and only if the criteria in Ind AS 109 are satisfied.
losses (including impairment gains or losses) or
interest.
9. Inventories
Inventories are valued as follows:
Raw materials, packing Lower of cost and net realisable value. Cost is determined on a moving weighted average basis.
materials, stores and Materials and other items held for use in the production of inventories are at cost not written down
spares below costs, if finished goods in which they will be incorporated are expected to be sold at or above
cost
Work-in-progress, finished Lower of cost and net realisable value. Cost includes direct materials, labour and a proportion of
goods and traded goods manufacturing overheads. Cost of finished goods includes excise duty, wherever applicable.
Waste At net realisable value
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Net realisable value is the estimated selling price in the ordinary course of business, less estimated costs of completion
and to make the sale.
1 J.K. Cement
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10. Investment in subsidiary and joint venture

12. Revenue Recognition
Investment in subsidiaries and joint venture are
Revenue is recognised to the extent that it is probable
carried at cost/fair value as per the requirement of
that the economic benefits will flow to the Company
IND AS 32 and IND AS 109 in the separate
and the revenue can be reliably measured,
financial statements. Investment carried at cost is
regardless of when the payment is being made.
tested for impairment as per IND AS 36.
Revenue is measured at the fair value of the
consideration received or receivable, taking into
11. Provisions, Contingent Liabilities and Assets
account contractually defined terms of payment and
Provisions are recognised when the Company has a
excluding taxes or duties collected on behalf of the
present legal or constructive obligation as a result of
government. The Company has concluded that it is
past events, it is probable that an outflow of resources
acting as a principal in all of its revenue arrangements
will be required to settle the obligation and the
since it is the primary obliger in all the revenue
amount can be reliably estimated. Provisions are
arrangements as it has pricing latitude and is also
not recognised for future operating losses.
exposed to inventory and credit risks. Based on the
education material on Ind AS 18 issued by the ICAI,
Provisions are measured at the present value of
the Company assumed that recovery of excise duty
management’s best estimate of the expenditure
flows to the Company
required to settle the present obligation at the end
on its own account. This is for the reason that it is a
of the reporting period. The discount rate used to
liability of the manufacturer which forms part of the
determine the present value is a pre-tax rate that
cost of production, irrespective of whether the goods
reflects current market assessments of the time value
are sold or not. Since the recovery of excise duty flows
of money and the risks specific to the liability. The
to the Company on its own account, revenue includes
increase in the provision due to the passage of time
excise duty.
is recognised as interest expense.
However, sales tax/value added tax (VAT) goods &
Where it is not probable that an outflow of
service tax (GST) is not received by the Company on
economic benefits will be required, or the amount
its own account. Rather, it is tax collected on value
cannot be estimated reliably, the obligation is
added to the commodity by the seller on behalf of
disclosed as a contingent liability, unless the
the government. Accordingly it is excluded from the
probability of outflow of economic benefits is
revenue. The specific recognition criteria described
remote. Possible obligations, whose existence will
below must also be met before revenue is
only be confirmed by the occurrence or non-
recognised.
occurrence of one or more future uncertain events not
wholly within the control of the Company, are also
(a) Sale of goods
disclosed as contingent liabilities unless the
Revenue is recognised when the significant risk
and rewards of ownership have been transferred
remote.
to the customer which generally coincide with the
delivery of goods, recovery of the consideration
Contingent Assets are not recognised in the
is probable, the associated costs and possible
financial statements. However, when the realisation
return of goods can be estimated reliably, there
of income is virtually certain, then the related asset is
is no continuing management involvement
not a contingent asset and its recognition is
with the goods, and the amount of revenue
appropriate.
can be measured reliably. Revenue is
measured at the fair value of the consideration
Mines Restoration Expenditure
received or receivable. Amounts disclosed as
The expenditure on restoration of the mines based
revenue are inclusive of excise duty upto
on technical estimates by Internal/External specialists
30.06.2017 and net of returns, trade discounts
is recognised in the accounts. The total estimated
and volume rebates.
restoration expenditure is apportioned over the
estimated quantity of mineral resources (likely to be
(b) Dividend Income from investments is
made available) and provision is made in the
recognised when the right to receive payment
accounts based on minerals mined during the year.
Annual Report 1
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is established and recovery is probable.
1 J.K. Cement
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(c) Interest income is recognised using the EIR plans:

method. The EIR is the rate that exactly discounts
the estimated future cash receipts through the
expected life of the financial instrument or a
shorter period, where appropriate to the net
carrying amount of the financial asset. The EIR
is computed basis the expected cash flows by
considering all the contractual terms of the
financial instrument. The calculation includes all
fees, transaction costs, and all other premiums
or discounts paid or received between parties to
the contract that are an integral part of the
effective interest rate.
(d) Insurance Claims: Claims lodged with the

insurance Companies are accounted for on
accrual basis to the extent these are
measurable and ultimate collection is reasonably
certain.
13. Government Grants and Subsidies

Grants from the government are recognised at their fair
value where there is a reasonable assurance that the
grant will be received and the Company will comply
with all attached conditions.
Government grants that compensate the Company

for expenses incurred are recognised in profit or loss
as income on a systematic basis in the periods in
which the expense is recognised.
Government grants relating to the purchase of

property, plant and equipment are included in
non-current liabilities as deferred income and are
credited to profit or loss on a straight-line basis over
the expected lives of the related assets and presented
within other income.
14. Employee benefits

(i) Short-term employee benefits
Short-term employee benefits are expensed as the
related service is provided. A liability is recognised for
the amount expected to be paid if the Company has
a present legal or constructive obligation to pay this
amount as a result of past service provided by the
employee and the obligation can be estimated
reliably.
(ii) Defined contribution plans

Obligations for contributions to defined contribution
plans are expensed as the related service is provided.
The Company has following defined contribution
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a) Provident fund
b) Superannuation scheme
(iii) Defined benefit plans

The Company’s net obligation in respect of
defined benefit plans is calculated separately
for each plan by estimating the amount of
future benefit that employees have earned in
the current and prior periods, discounting
that amount and deducting the fair value of
any plan assets.
The calculation of defined benefit obligations

is performed annually by a qualified actuary
using the projected unit credit method. When
the calculation results in a potential asset for
the Company, the recognised asset is limited
to the present value
of economic benefits available in the form of
any future refunds from the plan or reductions
in future contributions to the plan. To calculate
the present value of economic benefits,
consideration is given to any applicable
minimum funding requirements.
Remeasurement of the net defined benefit

liability, which comprise actuarial gains and
losses, the return on plan assets (excluding
interest) and the effect of the asset ceiling (if
any, excluding interest), are recognised
immediately in Other Comprehensive Income.
Net interest expense (income) on the net defined
liability (assets) is computed by applying the
discount rate, used to measure the net defined
liability (asset), to the net defined liability (asset)
at the start of the financial year after taking into
account any changes as a result of contribution
and benefit payments during the year. Net
interest expense and other expenses related to
defined benefit plans are recognised in profit or
loss.
When the benefits of a plan are changed

or when a plan is curtailed, the resulting
change in benefit that relates to past
service or the gain or loss on curtailment is
recognised immediately in profit or loss.
The Company recognises gains and losses
on the settlement of a defined benefit plan
when the settlement occurs.
The Company has following defined benefit plans:
a) Gratuity
The Company provides for its gratuity
liability based on actuarial valuation of
the gratuity liability as at the Balance
Sheet date, based on Projected Unit
Credit Method, carried out
1 J.K. Cement
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by an independent actuary and contributes that necessarily takes a substantial period of time to
to the gratuity fund formed by the Company. get
The contributions made are recognised as plan
assets. The defined benefit obligation as
reduced by fair value of plan assets is
recognised in the Balance Sheet. Re-
measurements are recognised in the Other
Comprehensive Income, net of tax in the year in
which they arise.
(iv) Other long-term employee benefits

The Company’s net obligation in respect of long-term
employee benefits is the amount of future benefit that
employees have earned in return for their service in the
current and prior periods. That benefit is discounted
to determine its present value. Re-measurements are
recognised in profit or loss in the period in which
they arise.
The Company has following long-term employment

benefit plans:
a) Leave Liability
Leave encashment is payable to eligible
employees at the time of retirement. The
liability for leave encashment, which is a defined
benefit scheme, is provided based on actuarial
valuation as at the Balance Sheet date, based
on Projected Unit Credit Method, carried out by
an independent actuary.
15. Foreign currency transactions

Transactions in foreign currencies are translated into
the Company’s functional currency at the exchange
rates at the dates of the transactions.
Monetary assets and liabilities denominated in

foreign currencies are translated into the functional
currency at the exchange rate at the reporting date.
Non-monetary assets and liabilities that are
measured at fair value in a foreign currency are
translated into the functional currency at the exchange
rate when
the fair value was determined. Non-monetary items
that are measured based on historical cost in a
foreign currency are translated at the exchange rate at
the date of the transaction. Foreign currency
differences are generally recognised in profit or loss.
16. Borrowing Cost

Borrowing costs directly attributable to the
acquisition, construction or production of an asset
Annual Report 1
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ready for its intended use or sale are capitalised as
part of the cost of the asset. All other borrowing costs
are expensed in the period in which they occur.
Borrowing costs consist of interest and other costs
that an entity incurs in connection with the borrowing
of funds.
Borrowing cost also includes exchange differences to
the extent regarded as an adjustment to the
borrowing costs.
17. Taxes
Tax expense comprises current and deferred tax. It is
recognised in profit or loss except to the extent that
it relates to items recognised directly in equity or in
Other Comprehensive Income
i) Current tax
Current tax comprises the expected tax payable
or receivable on the taxable income or loss
for the year and any adjustment to the tax
payable or receivable in respect of previous
years. It is measured using tax rates enacted or
substantively enacted at the reporting date.
Current income tax relating to items recognised

outside profit or loss is recognised outside
profit or loss (either in other comprehensive
income or in equity). Current tax items are
recognised
in correlation to the underlying transaction
either in OCI or directly in equity. Management
periodically evaluates positions taken in the
tax returns with respect to situations in which
applicable tax regulations are subject to
interpretation and establishes provisions where
appropriate.
Current tax assets and liabilities are offset only if,

the Company:
a) Has a legally enforceable right to set off the

recognised amounts; and
b) Intends either to settle on a net basis, or

to realise the asset and settle the liability
simultaneously.
ii) Deferred tax

Deferred tax is recognised in respect of temporary
differences between the carrying amounts of
assets and liabilities for financial reporting
purposes and the amounts used for taxation
purposes. Deferred tax is not recognised for
1 J.K. Cement
NOTEs
temporary differences on the initial recognition

iii) Minimum alternate tax (MAT) paid in a year is
of assets or liabilities in a transaction that is not
charged to the statement of profit and loss as
a business combination and that affects
current tax for the year. The deferred tax asset
neither accounting nor taxable profit nor loss.
is recognised for MAT credit available only to
the extent that it is probable that the concerned
Company will pay normal income tax during
tax losses, unused tax credits and deductible
the specified period, i.e., the period for which
temporary differences to the extent that it is
MAT credit is allowed to be carried forward. In
probable that future taxable profits will be
the
available against which they can be used.
year in which the Company recognises MAT
Deferred tax assets are reviewed at each
credit as an asset, it is created by way of credit
reporting date and are reduced to the extent
to the statement of profit and loss and shown as
that it is no longer probable that the related
part
tax benefit will be realised; such reductions are
of deferred tax asset. The Company reviews the
reversed when the probability of future taxable
‘MAT credit entitlement’ asset at each reporting
profits improves.
date and writes down the asset to the extent that
it is no longer probable that it will pay normal
Unrecognised deferred tax assets are
tax during the specified period
reassessed at each reporting date and
recognised to the extent that it has become
18. Impairment of non-financial assets
At each reporting date, the Company reviews the
carrying amounts of its non-financial assets (other
than inventories and deferred tax assets) to
Deferred tax is measured at the tax rates that are
determine whether there is any indication on
expected to be applied to temporary differences
impairment. If any such indication exists, then the
when they reverse, using tax rates enacted or
asset’s recoverable amount is estimated.
For impairment testing, assets are grouped
The measurement of deferred tax reflects the tax
together into the smallest group of assets that
consequences that would follow from the
generates cash inflows from continuing use that
manner in which the Company expects, at the
are largely independent of the cash inflows of
reporting date, to recover or settle the carrying
other assets or Cash Generating Units (‘CGUs’).
amount of its assets and liabilities.
The recoverable amount of an asset or CGU is the
The carrying amount of deferred tax asset is
greater of its value in use and its fair value less costs to
reviewed on each reporting date.
sell. Value in use is based on the estimated future
cash flows, discounted to their present value using a
Deferred tax assets and liabilities are offset only if:
pre-tax discount rate that reflects current market
assessments of the time value of money and the risks
a) The entity has a legally enforceable right to
specific to the asset or CGU.
set off current tax assets against current tax
liabilities; and
An impairment loss is recognised if the carrying
amount of an asset or CGU exceeds its recoverable
b) The deferred tax assets and the deferred
amount.
tax liabilities relate to income taxes levied
by the same taxation authority on the
Impairment loss in respect of assets other than
same taxable entity.
goodwill is reversed only to the extent that the assets
carrying amount does not exceed the carrying
amount that would have been determined, net of
depreciation or amortisation, if no impairment loss
had been recognised.
Annual Report 1
Not
NOTEs
19. Segment Reporting

Leases in which a significant portion of the risks
Operating segments are reported in a manner
and rewards of ownership are not transferred to
consistent with the internal reporting provided to
the
the chief operating decision maker.
Company as lessee are classified as operating
leases. Payments made under operating leases (net
The board of directors of the Company has been
of any incentives received from the lessor) are
identified as being the chief operating decision maker
charged to profit or loss on a straight-line basis over
by the Management of the Company. Refer note 37
the period of the lease unless the payments are
for segment information presented.
structured to increase in line with expected general
inflation to
20. Cash and cash equivalents
compensate for the lessor’s expected inflationary cost
Cash and cash equivalents comprise cash at bank
increases.
and on hand and short-term deposits with original
maturities of three months or less that are readily
22. Exceptional item
convertible to known amounts of cash and which
Items of income or expense of non-routine are
are subject to an insignificant risk of changes in value.
presented separately when their nature and amount
of such significance and is relevant to an
21. Leases
understanding of the entity’s financial performance.
Leases of property, plant and equipment where the
Company, as lessee, has substantially all the risks
23. Earnings Per Share (EPS)
and rewards of ownership are classified as finance
Basic earnings per share are computed by dividing the
leases. Finance leases are capitalised at the lease’s
profit for the year by the weighted average number of
inception at the fair value of the leased property or, if
equity shares outstanding during the period. Diluted
lower,
earnings per shares is computed by dividing the
the present value of the minimum lease payments.
The corresponding rental obligations, net of finance
equity shares considered for deriving basic earnings
charges, are included in borrowings or other
per shares and also the weighted average number
financial liabilities as appropriate. Each lease
of equity shares that could have been issued upon
payment is allocated between the liability and finance
conversion of all dilutive potential equity shares.
cost. The finance cost is charged to the profit or loss
over the lease period so as to produce a constant
periodic rate of interest on the remaining balance of
the liability for each period.
1 J.K. Cement
2. PROPERTY, PLANT AND EQUIPMENT
1
NOT
Not
to the financial statements for the year ended 31st March,
`/Lacs
Gross Block Depreciation Net Block
J.K. Cement
Particulars As at As at As at As at
Opening Additions Disposal Opening Additions Disposal
31.03.2018 31.03.2018 31.03.2017 31.03.2018
Tangible Assets
Freehold land 25,154.76 2,673.19 4,963.95 22,864.00 - - - - 25,154.76 22,864.00
Factory building 30,022.07 1,171.34 249.64 30,943.77 6,562.82 1,937.75 33.38 8,467.19 23,459.25 22,476.58
Non-factory buildings 31,820.89 1,485.54 146.75 33,159.68 4,005.39 969.68 17.59 4,957.48 27,815.50 28,202.20
Plant and equipment (vi) 3,61,229.81 10,537.36 6,312.08 3,65,455.09 1,00,623.07 13,044.91 3,554.31 1,10,113.67 2,60,606.74 2,55,341.42
Plant & equipment–Others 5,029.13 - - 5,029.13 518.64 299.19 - 817.83 4,510.49 4,211.30
(i)
Vehicles 3,408.61 650.76 192.28 3,867.09 1,615.56 401.13 153.99 1,862.70 1,793.05 2,004.39
Furniture and fixtures 3,611.87 107.89 2.99 3,716.77 1,965.01 319.18 2.43 2,281.76 1,646.86 1,435.01
Office Equipment 429.22 78.17 12.20 495.19 232.41 67.39 10.84 288.96 196.81 206.23
Railway sidings 10,297.52 245.88 1.04 10,542.36 1,813.81 677.54 0.12 2,491.23 8,483.71 8,051.13
Rolling stock 89.43 - - 89.43 63.85 8.19 - 72.04 25.58 17.39
Other assets 470.37 17.56 - 487.93 285.00 69.81 - 354.81 185.37 133.12
Leasehold land (iii) 16,315.16 1,368.39 39.17 17,644.38 2,747.33 611.37 3.26 3,355.44 13.567.83 14,288.94
Total 4,87,878.84 18,336.08 11,920.10 4,94,294.82 1,20,432.89 18,406.14 3,775.92 1,35,063.11 3,67,445.95 3,59,231.71
Capital work-in-progress (ii) 10,482.45 9,654.62 11,356.54 8,780.53 - 10,482.45 8,780.53
Total 4,98,361.29 27,990.70 23,276.64 5,03,075.35 1,20,432.89 18,406.14 3,775.92 1,35,063.11 3,77,928.40 3,68,012.24
(i) Cost incurred by Company ownership of which vest with State Electricity Boards & Indian Railways.
(ii) The amount of ` 11,356.54 lacs represents the amount capitalised during the year.
(iii) It includes freehold land for minning having cost of 3,274.81/- (31st March, 2017 : 3,082.44/-), amortisation of 117.66/- (31st March, 2017 : 74.16/-) and net
block of 2,449.95/- (31st March, 2017, 2,375.24/-).
(iv) Property, plant & equipmetnt pledged as security: Refer note 17 for information on property, plant & equipment pledged as security by the Company.
(v) The title deeds of immovable properties included in property, plant and equipment are held in the name of the Company except for 1 case of
leasehold land and 4 cases of freehold land amounting to gross block of ` 1,353.07 lacs (net block: ` 177.29 lacs) and gross block of ` 225.64 lacs (net block:
` 225.64 lacs) respectively as at 31st March, 2018 for which title deeds are in the name of the erstwhile Company that merged with the Company
pursuant to a scheme of amalgamation and arrangement as approved by the honourable High Court in earlier years.
(vi) Assets related to thermal power plant and other DG sets at Rajasthan location are decapitalised and kept for final disposal refer note no 44 & 45.
3. INTANGIBLE ASSETS
to the financial statements for the year ended 31st March,

NOT
`/Lacs
World of J.K.
Gross Block Depreciation Net Block
Particulars Deletions As at Deletions As at As at As at
Opening Additions Opening Additions
/ Adj 31.03.2018 / Adj 31.03.2018 31.03.2017 31.03.2018
Computer Software 739.48 149.59 48.46 840.61 182.50 220.63 - 403.13 556.98 437.48
Total 739.48 149.59 48.46 840.61 182.50 220.63 - 403.13 556.98 437.48
Statutory
Financial
Annual Report
1
Not
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
NON CURRENT INVESTMENTS
A. Investment in equity instruments (fully paid-up)
Unquoted
Subsidiary Companies(at cost)
-107145 (31st March 2017 : 36538) equity shares of J. K. Cement (fujairah) FZC* (Face value AED1000 each) 15,941.56 5,043.18
- 10447217 (31 March 2017 : 6590070) equity shares of Jaykaycem (Central) Limited # (Face value `
st 8,759.02 659.01
10 each)
Joint Ventures (at cost)
-375000 (31st March 2017 : 375000) equity shares of Bander Coal Company Pvt. Ltd.(Face value ` 10 each) 37.50 37.50
joint operation
Others (at FVTPL)
- 8000 (31st March 2017 : 5200) equity shares of ReNew Wind Energy AP (Pvt.) Ltd. (Face value ` 10 each) 8.00 5.20
- 3140101(31st March 2017 : 3140101) equity shares of VS Legnite Power Pvt. Ltd. (Face value ` 10)## - -
B. Investment in preference shares (fully paid-up)
Unquoted
Subsidiary Companies (at FVTPL)
- NIL (31st March 2017 : 18300) 3% cumulative 11 years compulsory convertible (Face value AED1000 - 2,717.30
each) preference shares in J. K. Cement (Fujairah) FZC*
- NIL (31st March 2017 : 33027) 3% cumulative 12 years compulsory convertible (Face value AED 1000 - 4,886.70
each) preference shares in J. K. Cement (Fujairah) FZC*
- NIL (31st March 2017 : 3759) 3% cumulative 13 years compulsory convertible (Face value AED1000 - 668.30
each)
preference Share in J.K.Cement(Fujairah) FZC*
- NIL (31st March 2017 : 15521) 3% cumulative 14 year compulsory convertible (Face value AED1000 - 2,626.07
each)
preference Share in J.K.Cement(Fujairah) FZC*
- 3488 (31st March 2017 : NIL)3% Non cumulative 11 years Redeemable (Face value AED1000 each) 617.76 -
preference shares in J.K.Cement (Fujairah)FZC*
- 3490(31st March 2017 : NIL) 3% Non cumulative 14 years Redeemable (Face value AED1000 each) 618.12 -
(at amortised Cost)
- 34370(31st March 2017 : 34370) 3% cumulative 11 years redeemable (Face value AED1000 each) 6,087.31 6,074.73
preference shares in J. K. Cement (Fujairah) FZC*
- 34370 (31st March 2017 : 34370) 3% cumulative 12 years redeemable (Face value AED1000 each) 6,087.31 6,074.73
preference shares in J. K. Cement (Fujairah) FZC*
- 34370 (31st March 2017 : 34370) 3% cumulative 13 years Redeemable (Face value AED1000 each) 6,087.31 6,074.72
- 34370 (31st March 2017 : 34370) 3% cumulative 14 years Redeemable (Face value AED1000 each) 6,087.31 6,074.72
Others (at FVTPL)
- 2785552(31st March 2017 : 2785552) 0.01% cumulative redeemable Preference shares in VS Legnite - -
Power Pvt. Ltd. (Face value ` 10) ##
C. Investment In Debenture, Unquoted
Subsidiary Companies (at FVTPL)
NIL(31st March 2017 :46000000) Zero Percent Unsecured Compulsorily - 4,600.00
convertible Debenture of ` 10each in JayKaycem (Central) Ltd #
1 J.K. Cement
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
D. Investment In Mutual Fund (Quoted)(at FVTPL)
5000000(31st March 2017:5000000) HDFC fmp 1302D Sep2016(1)Regular-Growth -Series-37 Maturity 569.69 500.00
date2020
5000000(31st March 2017:5000000) HDFC fmp 1188D Mar-2017(1)-Regular-Growth-Series38- Maturity 540.32 500.00
date-29-6-2020
5000000(31st March 2017:NIL) “UTI FITF Series XXVII - II (1161 days)” 522.56 -
5000000(31st March 2017:NIL) ICICI Prudential Fixed Maturity Plan Series 82-1187 Days 508.53 -
5000000(31st March 2017:NIL) ICICI Prudential Fixed Maturity Plan Series 82-1136 Days 501.51 -
E. Investments in Bonds(Quoted) (at FVTPL)
50 (31st March 2017:50) State bank of India SR-III 8.39% BD perpetual Bonds, Face value per Bond 494.15 495.64
` 1000000 purchased @991285
50 (31st March 2017:NIL) State bank of India SR-II 8.75% BD perpetual Bonds, Face value per Bond 499.44 -
` 1000000 purchased @1007773
50 (31st March 2017:NIL) Punjab National Bank SR- VIII, 8.95% BD perpetual Bonds, Face value per 491.37 -
Bond `
1000000 purchased @1006175
55,694.47 47,037.80
Aggregate amount of market value of quoted investment 4,127.57 1,495.64
Aggregate amount of unquoted investment 51,566.90 45,542.16
*On 26 March 2018, the Company early converted its investment of 3% cumulative compulsory convertible preference shares (CCPS) into equity shares, which were
due for conversion in financial year 2022-2023 to 2028-29, vide its approval in board meeting held on 3 February 2018. In addition, board of directors, also approved
to convert 3% cumulative and non-cumulative redeemable preference share capital (RPS) into the equity shares. However the aforesaid conversion was pending as at
31 March 2018
# On 28 February 2018, the Company early converted its investment of 0% compulsory convertible debenture (CCD) into equity shares which were due for conversion
in the financial year 2025-26
## The fair value of investment is Nil (31st March 2017 : Nil)
`/Lacs
As at As at
31 March 2018 31 March 2017
5. NON CURRENT LOAN & ADVANCES
(unsecured, considered good)
Fixed Deposits * 527.17 10,394.66
Vehicle Loan Recoverable 143.41 12.03
Security Deposits 3,039.67 3,049.95
Share Application money(Refer note no 39) 1,302.96 0.08
5,013.21 13,456.72
*includes ` 27.16 lacs (31 March 2017 is ` 112.82 lacs) pledged against overdraft /other commitments.
`/Lacs
As at As at
31 March 2018 31 March 2017
6. OTHER NON-CURRENT ASSETS
Capital Advances 9,732.38 8,854.83
Prepaid Rent 29.43 26.92
Deferred Employee Compensation 26.03 25.69
Advance to Employees 122.41 130.93
Deposit under protest with Govt Authorities 1,581.52 1,432.92
11,491.77 10,471.29
Annual Report 1
Not
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
7. INVENTORIES
(Valued at lower of cost and net realisable value)
Raw Materials 8,293.69 6,555.44
Work-in-Process 4,679.90 8,045.91
Finished goods 6,950.14 7,776.74
Stock-in-Trade 8.04 16.45
Consumable Stores and Spares (net of provisions for non-moving inventores of ` 108.75 lacs (31 28,532.72 26,074.18
march 2017: ` 38.91)
Goods in transit :
- Consumable Stores and Spares 4,696.58 1,338.26
53,161.07 49,806.98
Refer to note 17 for information on inventories pledged as security by the Company.
`/Lacs
As at As at
31 March 2018 31 March 2017
8. CURRENT INVESTMENTS
Investment in Mutual Funds
Quoted (at FVTPL)
- 6568620.89(31st March 2017 : 6568620.89) units in “ICICI Prudential Regular Income fund” 1,151.85 1,076.47
- 1774748.873 (31st March 2017 : 1774748.873) units in “HDFC Regular Saving – Growth” 611.12 575.19
- 2721606.837(31st March 2017 : 2721606.837) units in Edelweiss Mutual Fund “Edelweiss Government 389.06 372.44
Securities Regular- Growth”
- 9322487.4370 (31st March 2017 :3180661.58) units in “ Axis Regular Saving Fund –Regular Plan Growth” 1,579.11 500.81
- 73605.432(31st March 2017 : 39292.91) units in “SBI Premier Liquid fund -DIR Plan Growth” 2,005.30 1,000.28
-44082.999 (31st March 2017 : 46894.59) units in HDFC Liquid Fund Growth 1,504.04 1,500.46
-Nil (31st March 2017 :86538.37) units in IDBI Liquid Fund -Regular Plan-Growth - 1,500.35
-2353040.835 (31st March 2017 :Nil) units in Birla Sun Life(BSL) 517.14 -
Aggregate amount of quoted investments 7,757.62 6,526.00
`/Lacs
As at As at
31 March 2018 31 March 2017
9. TRADE RECEIVABLES
Secured
Considered good 5,646.56 6,224.79
Unsecured
Considered doubtful 959.87 739.12
Less: Provision for doubtful balances 959.87 739.12
18,797.37 14,813.42
Refer to Note 17 for information on Trade receivables pledged as security by the Company.
1 J.K. Cement
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
10. CASH AND CASH EQUIVALENTS
Balance with banks:
- In current accounts 3,127.49 3,173.20
- Fixed Deposits with maturity of upto 3 months 12,910.45 8,944.68
Cash on hand 34.90 28.31
Cheques in hand 2,171.41 25.23
18,244.25 12,171.42
`/Lacs
As at As at
31 March 2018 31 March 2017
11. OTHER BANK BALANCES
Earmarked Bank balances# 117.88 99.20
Fixed Deposits with maturity of more than 3 months but upto one year* 35,989.94 30,421.23
36,107.82 30,520.43
#
Bank balances are against unpaid dividend
*Fixed Deposits for more than 3 months & upto one year include deposit of ` 2,698.08 lacs (31 March 2017: ` 1,839.70 lacs) pledged against overdraft /other commitments.
`/Lacs
As at As at
31 March 2018 31 March 2017
12. OTHER CURRENT FINANCIAL ASSETS
Other Loans and Advances - Doubtful 33.96 49.63
Provision for doubtful advances (33.96) (49.63)
Other Loans and Advances* 4,613.46 2,008.86
Interest Accrued 2,608.75 2,757.80
7,262.95 4,862.36
*Includes Government Subsidy of ` 3,233.65 lacs (31 March 2017: ` 1,403.11 lacs).
Refer to Note 17 for information on other current financial assets pledged as security by the Company.
`/Lacs
As at As at
31 March 2018 31 March 2017
13. CURRENT TAX (NET)
Advance tax/(liability) (Net of provision for income tax of ` 9,413.62 lacs) 752.57 (149.00)
752.57 (149.00)
`/Lacs
As at As at
31 March 2018 31 March 2017
14. OTHER CURRENT ASSETS
Balances with Government authorities 2,976.11 5,806.66
Prepaid Expenses 2,467.26 2,386.86
Advances recoverable in cash or in kind 9,016.55 7,871.92
Deferred employee compensation 14.54 15.45
14,562.98 16,155.98
Annual Report 1
Not
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
15. EQUITY SHARE CAPITAL
Authorised:
8,00,00,000 (31 March 2017 - 8,00,00,000) equity shares of ` 10/- each 8,000.00 8,000.00
Issued, subscribed & fully paid up:
6,99,27,250 (31 March 2017- 6,99,27,250) equity Shares of ` 10/- each 6,992.72 6,992.72
6,992.72 6,992.72
a. Terms and rights attached to equity shares

Each holder of equity shares is entitled to one vote per share. In the event of liquidation of the Company, the holders of equity
shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution
will be in proportion to the number of equity shares held by the shareholders. There is no restriction on distribution of
dividend. However, same is subject to the approval of the shareholders in the Annual General Meeting.
b. Reconciliation of number of shares outstanding at the beginning and end of the year
`/Lacs
Number of Shares Amount
Outstanding at the 1 April 2016 6,99,27,250 6,992.72
Equity Shares issued during the year - -
Outstanding at the 31 March 2017 6,99,27,250 6,992.72
c. Shareholders holding more than 5% shares in the Company

As at 31 March 2018 As at 31 March 2017
No. of Shares Percentage No. of Shares Percentage
Yadu International Ltd 3,01,99,518 43.19% 2,99,49,518 42.83%
Yadupati Singhania 1,20,64,198 17.25% 1,22,84,198 17.57%
1 J.K. Cement
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
16. OTHER EQUITY
a. Securities premium reserve
Balance at the beginning of the year 25,988.60 25,988.60
Balance at the end of the year 25,988.60 25,988.60
b. Debenture redemption reserve
Add: Transfer from retained earnings 9.40 1,710.65
c. General reserve
Less :Amortisation of mining rights - 176.29
Add: Transfer from retained earnings 6,000.00 5,000.00
d. Retained earnings (including Other Comprehensive Income)
Add: Dividend on 3% cumulative redeemable preference shares - 555.72
Add: Net profit for the year 34,187.36 21,078.45
Add: Other Comprehensive income for the year 127.88 31.50
Less: Transfer to general reserve 6,000.00 5,000.00
Less: Transfer to debenture redemption reserve 9.40 1,710.65
Less: Dividend on equity shares 5,594.18 2,797.09
Less: Dividend distribution tax on equity shares 1,138.84 569.42
91,463.67 69,890.85
2,07,741.79 1,80,159.57
Nature and purpose of other equity

Debenture Redemption Reserve (DRR)
The Company has issued redeemable non-convertible debentures. Accordingly, the Companies (Share capital and Debentures)
Rules, 2014 (as amended), require the Company to create DRR out of profits of the Company available for payment of dividend.
DRR is required to be created for an amount which is equal to 25% of the value of debentures issued.
General reserve
The Company appropriates a portion to general reserves out of the profits either as per the requirements of the Companies Act 2013
(‘Act’) or voluntarily to meet future contingencies. The said reserve is available for payment of dividend to the shareholders as per the
provisions of the Act

Remeasurement of defined benefit plans
Remeasurements of defined benefit plans represents the following as per Ind AS 19, Employee Benefits:
(a)actuarial gains and losses
(b)the return on plan assets, excluding amounts included in net interest on the net defined benefit liability (asset); and
(c)any change in the effect of the asset ceiling, excluding amounts included in net interest on the net defined benefit liability (asset)
Annual Report 1
Not
NOTEs
Dividend
The following dividends were paid by the Company for the year.
`/Lacs
31 March 2018 31 March 2017
Final dividend for the year ended 31 March 2017 ` 8 per share (31 March 2016: ` 4 per share) 5,594.18 2,797.09
Dividend Distribution tax on final dividend 1,138.84 569.42
6,733.02 3,366.51
After the reporting date, the following dividends were proposed by the board of directors. The dividends have not been recognised as
liabilities and there are no tax consequences.
`/Lacs
31 March 2018 31 March 2017
Proposed dividend for the year ended 31 March 2018 ` 10 per share (31 March 2017: ` 8 per share) 6,992.72 5,594.18
Dividend Distribution tax on final dividend 1,437.37 1,138.84
8,430.09 6,733.02
Capital management
For the purpose of the Company’s capital management, capital includes issued equity capital, securities premium and all other
equity reserves attributable to the equity holders of the Company. The primary objective of the Company’s capital management is to
maximise the shareholder value.
The Company manages its capital structure and makes adjustments in light of changes in economic conditions and the
requirements of the financial covenants. To maintain or adjust the capital structure, the Company may adjust the dividend payment
to shareholders, return capital to shareholders or issue new shares. The Company monitors capital using a gearing ratio, which is
net debt divided
by total capital plus net debt. The Company includes within net debt, interest bearing loans and borrowings, less cash and
cash equivalents, excluding discontinued operations.
`/Lacs
As at As at
31 March 2018 31 March 2017
BORROWINGS
Borrowings (note 17) 2,06,970.78 2,28,236.67
Current maturities of long-term debt (note 24) 17,045.14 19,318.45
Cash and Cash equivalents (note 10) (18,244.25) (12,171.42)
Net debt 2,05,771.67 2,35,383.70
Total Equity 2,14,734.51 1,87,152.29
Capital and net debt 4,20,506.18 4,22,535.99
Gearing ratio 48.93% 55.71%
In order to achieve this overall objective, the company’s capital management, amongst other things, aims to ensure that it meets
financial covenants attached to the interest-bearing loans and borrowings that define capital structure requirements. Breaches in
meeting the financial covenants would permit the bank to immediately call loans and borrowings. There have been no breaches in
the financial covenants of any interest-bearing loans and borrowing in the current period.
No changes were made in the objectives, policies or processes for managing capital during the years ended 31st March, 2018
and 31st March, 2017.
1 J.K. Cement
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
17. BORROWINGS
Secured
Non convertible debentures 58,992.88 66,197.39
Less: Current maturities of non convertible debentures (Refer note 24) 7,300.00 7,300.00
Term loans (Secured)
From banks 155,231.94 172,103.32
Less: Current maturities of term loans (Refer note 24) 8,760.06 11,246.98
Vehicle loans 672.04 539.29
Less: Current maturities of Vehicle loans (Refer note 24) 325.13 239.79
VAT loans from Government 5,300.66 4,419.13
Unsecured
Deferred sales tax liabilities 3,818.40 4,295.99
Less: Current maturities of Deferred sales tax liabilities (Refer note 24) 659.95 531.68
206,970.78 228,236.67
a. Particulars of Securities, Repayment &

Interest
Carrying Amount
Repayment Year of Rate of As at As at
Loan's Securities
Frequency Maturity Interest p.a. 31 March 2018 31 March 2017
1) Secured Non Convertible Debentures
NCD as shown includes ` 207.12 Lacs (31 March 2017 Annual 2020-21 10.25% 7,200.00 9,000.00
` 302.61) towards amortised expenses.
Non Convertible Debentures(NCDs): ` 59,200.00 lacs
(31 March 2017 ` 66,500.00 lacs)
i) Security for NCDs for ` 29,200.00 lacs (` 36,500.00 Annual 2020-21 10.50% 7,200.00 9,000.00
lacs) Secured by first mortgage on the Company’s flat Annual 2020-21 11.00% 3,660.00 7,000.00
at Ahmedabad and also against first pari-passu
charge on the assets specified below:-
Secured by pari-passu first charge on the Company's Annual 2020-21 11.00% 11,140.00 11,500.00
PPE (movable & immovable) by way of equitable
mortgage on immovable Assets and hypothecation
on movable PPE, related to company's plant at
Nimbahera, Mangrol, Gotan Grey and Katni.
a) Company's Existing Plant at Nimbahera having Annual 2023-24 10.50% 8,500.00 8,500.00
capacity of 3.25 MnTPA. b) Company's Existing Plant
at Mangrol having capacity of 0.75 MnTPA. c)
Company's Existing Plant at Gotan consisting of
White Cement plant having capacity of 0.40 MnTPA
and Thermal Power Plant. d) Company's Existing
Thermal power
plant at Bamania.
ii) Security for NCDs for ` 30,000.00 lacs (` 30,000.00 lacs) Annual 2023-24 11.00% 11,500.00 11,500.00
Secured by first mortgage on the Company’s flat at Annual 2025-26 9.65% 10,000.00 10,000.00
Ahmedabad and also against first pari-passu charge
by way of equitable mortgage of all the immovable
assets except mining land and hypothecation of
movable PPE pertaining to Company’s existing
cement plant at
village Muddapur Karnataka
Sub Total (1) 59,200.00 66,500.00
Annual Report 1
Not
NOTEs
Carrying Amount
Loan's Securities
2) Secured Term Loans from Banks
Term Loan as shown includes ` 313.13 Lacs (31 March
2017 ` 344.92 Lacs) towards amortised expenses .
Secured by pari-passu first charge on the Company's Quarterly 2021-22 - - 3,570.69
PPE (movable & immovable) by way of equitable Quarterly 2019-20 LTMLR 625.00 1,134.32
mortgage on immovable Assets and hypothecation
Quarterly 2019-20 MCLR+0.75% 2,910.70 4,262.64
on movable PPE,related to company's existing plant
at Nimbahera, Mangrol,Gotan Grey and Katni . Quarterly 2023-24 MCLR+0.50% 8,460.28 9,469.21
i) Company's Existing Plant at Nimbahera having Quarterly 2018-19 MCLR+0.20% 428.57 857.14
capacity of 3.25 MnTPA. ii) Company's Existing Plant at
Quarterly 2018-19 - - 714.18
Mangrol having capacity of 0.75 MnTPA. iii)
Company's Existing Plant at Gotan consisting of Quarterly 2017-18 - - 248.07
White Cement plant having capacity of 0.40 MnTPA
and Thermal Power Plant. iv) Company's Existing
Thermal power
plant at Bamania.
Secured by exclusive charge by way of equitable Quarterly 2018-19 - - 850.98
mortgage over the immovable assets and Quarterly 2020-21 MCLR+0.65% 1,541.91 1,542.00
hypothecation of movable assets pertaining to the
specified properties.
Secured by equitable mortgage of immovable Quarterly 2019-20 - - 2,475.58
properties and hypothecation of movable PPE Quarterly 2022-23 LTMLR 3,750.00 4,464.75
pertaining to undertaking of J.K. Cement Works, Gotan
except current assets and vehicles.
Secured by First Pari-passu charge by way of equitable Quarterly 2021-22 MCLR+ 0.50% 6,267.50 7,279.83
mortgage of all the immovable Properties (except Quarterly 2021-22 MCLR 433.30 488.37
mining land) and hypothecation of all moveable non Quarterly 2021-22 MCLR 757.50 851.58
current assets, present and future pertaining to J.K.
Cement Works and Thermal power plant, Muddapur,
Karnataka.
Secured by first pari-passu charge by way of equitable Quarterly 2022-23 MCLR+0.50% 3,058.57 3,815.13
mortgage of all the immovable assets except mining
land and hypothecation of all movable PPE, present
and future pertaining to J.K. Cement Works, Muddapur,
Karnataka.
Secured by first pari-passu charge by way of Quarterly 2023-24 MCLR+0.25% 1,718.69 2,031.21
equitable mortgage of all the immovable assets and
hypothecation of all movable PPE, present and
future
pertaining to J.K. Cement Works, Muddapur, Karnataka.
Secured against exclusive charge on entire movable Quarterly 2023-24 LTMLR 8,800.00 9,300.00
PPE (by way of hypothecation) and on immovable
PPE related to the Wall Putty project at Katni, Madhya
Pradesh (excluding current assets and mining land,
if
any).
1 J.K. Cement
NOTEs
Carrying Amount
Loan's Securities
Secured by First charge by way of mortgage, on all Quarterly 2030-31 MCLR+ 0.50% 104,254.72 111,604.23
the immovable properties, both present and future Quarterly 2030-31 MCLR+ 0.40% 12,538.33 7,488.33
pertaining to, of the new cement Plants at Mangrol,
Rajasthan (save and except mining land) including
captive power plant of 25 MW and waste heat recovery
based power plant of 10 MW and split Grinding Unit at
Jharli, Haryana and hypothecation of all the movable
PPE of the above plants (save and except Current
Assets), both present and future and second charge on
all current assets, present and future, pertaining to the
above plants (subject to prior charge created or to be
created on the Current Assets in favour of the Working
Capital Lenders for securing the Working Capital
Facilities.
Sub Total (2) 155,545.07 172,448.24
Total (1) + (2) 214,745.07 238,948.24
Less : Shown in current maturities of long term debt 16,060.06 18,546.98
Balance shown as above 198,685.01 220,401.26
b Net Debt Reconciliation

This section sets out an analysis of net debt and the movements in net debt for each of the periods presented
`/Lacs
As at As at
31 March 2018 31 March 2017
Cash and cash equivalents 54,761.36 52,987.31
Liquid investments 7,757.62 6,526.00
Current borrowings (28,396.90) (36,047.62)
Non Current borrowings (206,970.78) (228,236.67)
Net Debt (1,72,848.70) (2,04,770.98)
`/Lacs
As at As at
31 March 2018 31 March 2017
18. OTHER NON-CURRENT FINANCIAL LIABILITIES
20,678.88 17,671.71
Annual Report 1
Not
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
19. LONG-TERM PROVISIONS
Provision for employee benefits (Refer note 38)
- Gratuity 20.00 10.00
- Leave encashment 2,276.00 2,030.84
Provision for Mines Restoration Charges* 211.55 197.15
2,507.55 2,237.99
* Provision for Mines Restoration charges:
Opening Balance 197.15 175.67
Addition during the year 14.40 21.48
Closing Balance 211.55 197.15
The Company provides for the expenditure to reclaim the quarries used for mining in the Statement of Profit and Loss based on
the estimated expenditure required to be made towards restoration and rehabilitation at the time of vacation of mine. Provisions
are reviewed at each balance sheet date and are adjusted to reflect the current best estimates.
`/Lacs
As at As at
31 March 2018 31 March 2017
20. DEFERRED TAX LIABILITIES (NET)
A. The balance comprises temporary differences attributable to:
Deferred tax liabilities
Property, plant and equipment 60,057.48 58,450.60
Deferred tax assets
Unabsorbed depreciation & Losses 1,893.29 9,980.15
Employee benefits 965.63 840.63
Trade receivables 343.95 272.97
Liability on payment basis 2,763.18 2,996.96
MAT Credit adjustment 27,372.44 18,079.26
26,718.99 26,280.63
`/Lacs
As at Recognised Recognised As at
31 March 2017 in P&L in OCI 31 March 2018
B. Movement in deferred tax balances
Deferred Tax Assets
Unabsorbed depreciation & Losses 9,980.15 (8,086.86) 1,893.29
Employee benefits 840.63 192.67 (67.67) 965.63
Trade receivables 272.97 70.98 343.95
Liability on expenses 2,996.96 (233.78) 2,763.18
MAT Credit Entitlement 18,079.26 9,293.18 27,372.44
Sub- Total (a) 32,169.97 1,236.19 (67.67) 33,338.49
Deferred Tax Liabilities
Property, plant and equipment 58,450.60 1,606.88 - 60,057.48
Sub- Total (b) 58,450.60 1,606.88 - 60,057.48
Net Deferred Tax Liability (b)-(a) 26,280.63 #
370.69 67.67 26,718.99
1 J.K. Cement
NOTEs
`/Lacs
As at Recognised Recognised As at
31 March 2016 in P&L in OCI 31 March 2017
Deferred Tax Assets
Unabsorbed depreciation & Losses 18,140.11 (8,159.96) - 9,980.15
Sub- Total (a) 34,039.16 (1,852.52) (16.67) 32,169.97
Sub- Total (b) 55,691.41 2,759.19 - 58,450.60
Net Deferred Tax Liability (b)-(a) 21,652.25 *
4611.71 16.67 26,280.63
* Movement included ` 294.07 lacs in other equity
#
Movement included ` 1.08 lacs of earlier year tax adjustment
`/Lacs
For the year ended For the year ended
31 March 2018 31 March 2017
C. Amounts recognised in profit or loss
Current tax expense
Current year 9,413.62 7,047.08
9,413.62 7,047.08
Deferred tax expense
Origination and reversal of temporary differences 371.78 4,320.39
Earlier year Tax Adjustment - (2.75)
371.78 4,317.64
Total Tax Expense 9,785.40 11,364.72
`/Lacs
For the year ended 31 March 2018 For the year ended 31 March 2017
Tax Tax
Before tax (Expense)/ Net of tax Before tax (Expense)/ Net of tax
Income Income
D. Amounts recognised in
Other Comprehensive
Income
Remeasurements of defined 195.55 (67.67) 127.88 48.17 (16.67) 31.50
benefit liability
195.55 (67.67) 127.88 48.17 (16.67) 31.50
Annual Report 1
Not
NOTEs
`/Lacs
31 March 2018 31 March 2017
Rate Amount Rate Amount
E. Reconciliation of effective tax rate
Profit before tax from continuing operations 34.61 43,972.76 34.61 32,443.17
Tax using the Company’s domestic tax rate 15,218.10 11,227.93
Tax effect of:
Non-deductible expenses 300.36 1,344.28
Tax-exempt income & incentives (5,786.91) (1,402.87)
Recognition of tax effect of previously unrecognised tax losses - 187.92
Others 53.85 7.46
9,785.40 11,364.72
`/Lacs
31 March 2018 31 March 2017
Amount Expiry date Amount Expiry date
F. Tax losses carried forward
Unabsorbed Depreciation carried forward expire as follows.
Never expire 4,276.46 - *42,936.13 -
*Actual carry over was ` 28,604.07 lacs.
`/Lacs
As at As at
31 March 2018 31 March 2017
21. OTHER NON-CURRENT LIABILITIES
Deferred government subsidies
- Capital subsidy sanctioned by Rajasthan government on PPE 9,232.02 8,633.01
9,232.02 8,633.01
Government grants have been received against the purchase of certain items of property, plant and equipment. There are no
unfulfilled conditions or contingencies attached to these grants.
`/Lacs
As at 31 March 2017
Current 606.88 399.19
Non Current 8,633.01 7,747.68
9,239.89 8,146.87
Received during the year 1,499.65 1,699.90
Released to statement of profit or loss 753.76 606.88
As at 31 March 2018
Current 753.76 606.88
Non Current 9,232.02 8,633.01
9,985.78 9,239.89
1 J.K. Cement
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
22. SHORT-TERM BORROWINGS
Loan repayable on demand (Secured)*
- From banks 11,351.76 16,729.17
11,351.76 16,729.17
*Loan repayable on demand are secured by first charge on current assets of the Company namely inventories, book debts, etc. and second charge on PPE of the
Company except the PPE pertaining to J.K. Cement Works, Gotan and the assets having exclusive charge of other lenders.
`/Lacs
As at As at
31 March 2018 31 March 2017
23. TRADE PAYABLE
Micro, Small and Medium Enterprises 1,227.33 403.57
Other Trade Payables 40,128.61 37,369.97
41,355.94 37,773.54
Based on the information available with the Company regarding the status of suppliers as defined under MSMED Act,2006, there was no principal amount overdue
and no interest was payable to the Micro, Small and Medium Enterprises on 31st March,2018 as per the the terms of contract.
`/Lacs
As at As at
31 March 2018 31 March 2017
24. OTHER FINANCIAL LIABILITIES
Current maturities of long-term debt 17,045.14 19,318.45
Employee Dues 1,358.09 2,286.87
Interest accrued but not due on borrowings 1,333.16 1,463.51
Interest accrued and due on borrowings - 90.22
Unpaid dividends 117.88 99.20
Unclaimed fraction money 9.22 9.23
Security deposits 1,033.33 843.12
Project Creditors 673.96 558.04
Temporary Book Overdraft 54.28 185.29
Others * 22,127.04 18,291.62
43,752.10 43,145.55
*Other Includes Customer obligations, customers claims etc.
`/Lacs
As at As at
31 March 2018 31 March 2017
25. OTHER CURRENT LIABILITIES
Statutory Dues Payable 9,046.25 7,008.75
Government Grant 753.76 606.88
Advance From Customer 8,939.58 7,178.34
Others 271.86 797.92
19,011.45 15,591.89
Annual Report 1
Not
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
26. SHORT-TERM PROVISIONS
Employee benefits
- Gratuity [Refer note 38] 1,390.23 318.13
- Leave Encashment 494.20 388.20
1,884.43 706.33
`/Lacs
31 March 2018 31 March 2017
27. REVENUE FROM OPERATIONS
Sale of products (including excise duty) 4,70,955.40 4,32,784.00
Total (i) 4,70,955.40 4,32,784.00
Other operating revenue
Claims realised 356.42 511.69
Government grants 3,825.13 4,451.75
Miscellaneous income 680.78 235.58
Total (ii) 4,862.33 5,199.02
Revenue from operations [(i) + (ii)] 4,75,817.73 4,37,983.02
Sale of products includes excise duty collected from customers of ` 16,696.42 lacs (31 March 2017: ` 62,428.74 lacs). Sale of goods net
of excise duty is ` 454,258.98 lacs (31 March 2017: ` 3,70,355.26 lacs). Revenue from operations for periods up to 30 June 2017 includes
excise duty. From 1 July 2017 onwards the excise duty and most indirect taxes in India have been replaced Goods and Service Tax
(GST). The Company collects GST on behalf of the Government. Hence, GST is not included in Revenue from operations. In view of the
aforesaid change in indirect taxes, Revenue from operations year ended 31 March 2018 is not comparable 31 March 2017
`/Lacs
31 March 2018 31 March 2017
28. OTHER INCOME
Interest income from financial assets measured at amortised cost
- from bank deposits 3,084.75 3,267.94
- from others 950.66 1,620.41
Net fair value gain/(loss) on financial assets measured at fair value through profit or loss 420.56 (723.73)
Profit on sale of current investment (net) 171.73 239.67
Government grants 332.23 359.56
Miscellaneous income 7,804.72 4,442.50
Net Gain on Foreign Currency transactions and translation - 725.95
12,764.65 9,932.30
`/Lacs
For the year For the year ended

ended 31 31 March 2017
March 2018
29. COST OF MATERIALS CONSUMED
Raw material Consumed 73,038.01 64,406.17
73,038.01 64,406.17
1 J.K. Cement
NOTEs
`/Lacs
31 March 2018 31 March 2017
30. CHANGES IN INVENTORIES OF FINISHED GOODS, WORK-IN-PROGRESS AND STOCK IN TRADE
Closing Inventory
Work-in-Progress (4,679.90) (8,045.91)
Finished Goods (6,950.14) (7,776.74)
Stock in Trade (8.04) (16.45)
Total (A) (11,638.08) (15,839.10)
Opening Inventory
Work-in-Progress 8,045.91 6,978.10
Finished Goods 7,776.74 7,861.01
Stock in Trade 16.45 23.43
Total (B) 15,839.10 14,862.54
Total (A-B) 4,201.02 (976.56)
`/Lacs
31 March 2018 31 March 2017
31. EMPLOYEE BENEFITS EXPENSE
Salaries and wages 26,627.13 23,099.86
Contribution to provident and other funds (Refer Note No 38) 3,904.48 2,376.38
Staff welfare expenses 2,014.00 2,069.30
32,545.61 27,545.54
`/Lacs
31 March 2018 31 March 2017
32. FINANCE COST
Interest expenses 23,888.28 26,705.53
Other Borrowing Costs (includes bank charges, etc.) 251.81 526.11
Unwinding of discounts 395.29 59.06
24,535.38 27,290.70
`/Lacs

March 2018
33. DEPRECIATION AND AMOTISATION EXPENSE
Depreciation on tangible assets 18,406.14 17,431.14
Amortisation on intangible assets 220.63 178.44
18,626.77 17,609.58
Annual Report 1
Not
NOTEs
`/Lacs
31 March 2018 31 March 2017
34. OTHER EXPENSES
Packing material consumed 21,161.19 17,006.25
Stores and spares consumed 10,396.57 10,002.30
Repairs and maintenance:
- Buildings 1,214.45 1,241.63
- Plant and machinery 7,294.19 8,153.24
- Other Assets 89.43 134.41
Other manufacturing expenses 768.75 728.97
Power and fuel 88,968.72 62,526.27
Rent 2,159.04 1,921.10
Lease rent and hire charges 43.33 51.22
Rates and taxes 318.53 461.03
Insurance 964.25 804.85
Travelling and conveyance # 2,786.53 2,540.92
CSR expenses (Refer Note No 43) 481.07 322.69
Bad trade receivables/advances/deposits written off 9.85 1,000.00
Provision for doubtful trade receivables/advances/deposits 174.68 172.25
Sales Tax/VAT 343.13 1,089.70
Excise Duty 16,696.42 62,428.74
Loss on disposal of property plant & equipment 164.03 25.61
Miscellaneous expenses# 12,353.62 14,003.92
Selling and promotion expenses 10,249.97 11,741.76
Freight and forwarding 1,07,244.19 77,958.04
Advertisement and publicity 5,999.99 3,257.70
2,89,881.93 2,77,572.60
# Details of payments to auditors
As auditor:
Audit fees 85.27 54.00
For other services
Certification fees and other matters 0.58 4.24
Re-imbursement of expenses 9.53 1.39
95.38 59.63
`/Lacs

March 2018
35. EARNING PER SHARE
Total profit/(loss) for the year 34,187.36 21,078.45
Weighted average number of equity shares of ` 10/- each (In lacs) 699.27 699.27
EPS - Basic and Diluted (`) 48.89 30.14
1 J.K. Cement
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
36. CONTINGENT LIABILITIES, CONTINGENT ASSETS AND COMMITMENTS
A. Contingent liabilities (not provided for) in respect of:
1. Claim against the Company not acknowledged as debts (includes show cause notices pertaining 22,345.42 16,338.86
to
excise duty and others) (cash flow is dependent on court decision pending at various level)
Other for which the Company is contingently liable
2. In respect of disputed demands for which Appeals are pending with Appellate Authorities/Courts
–
no provision has been considered necessary by the Management
a) Excise duty * 1,724.76 1,662.53
b) Sales and Entry Tax* 5,469.56 5,162.02
c) Service Tax* 1,362.89 1,314.31
d) Income Tax (primarily on account of disallowance of depreciation on goodwill and additional 5,450.36 5,450.36
depreciation on power plants etc)
3. In respect of interest on “Cement Retention Price” realised in earlier years 1,251.43 1,231.06
4. In respect of penalty of non lifting of fly Ash 1,270.56 839.29
5. The Competition commission of India (CCI) has imposted penalty of ` 128.54 crores and 13,782.00 13,782.00
` 9.28 crores in two separate orders dated 31.08.2016 and 19.01.2017 respectively for alleged
contravention of provisions of the Competition Act 2002 by the Company. The Company has
filed appeals with Competition Appellate Tribunal (COMPAT) against above orders.COMPAT has
stayed the CCI order in first matter on deposit of ` 6.56 crores and Appeal is being heard. In
second matter stayed demand and appeal are yet to be heard.The Company, backed by a legal
opinion, believes that it has a good case and accordingly no provision has been made in the
Accounts.
6. In respect of demand made by Revenue Department, Karnataka for conversion of agricultural - 560.17
land
into non-agricultural land for mining purpose
7. In respect of land tax levied by state governement of Rajasthan 206.69 191.23
8. In respect of demand of Railway Administration pending with Jodhpur High Court 218.86 212.10
9. In respect of charges on account of electricity duty, water cess etc levied by Ajmer Vidyut Vitran 4497.04 3,869.34
Nigam Ltd (AVVNL)
10. In respect of Environmental and Health Cess 324.52 324.52
* Disputes are primarily on account of disallowances of input credits, interest on enty tax, etc.
Financial Guarantees
11. Corporate guarantees given to Banks for finance provided to subsidiary Companies. 54,292.26 58,168.57
12. Other Financial Guarantees including of Joint Ventures. - 613.89
The Company has assessed that it is only possible, but not probable, that outflow of economic
resources will be required for the above guarantees.
B. Commitments
Capital commitments
a) Estimated amount of contracts remaining to be executed on capital accounts and not provided 3,690.66 1,319.83
for
C. Contingent assets
a) Insurance Claims 685.00 1,228.41
37. SEGMENT INFORMATION

Segment information is presented in respect of the Company’s key operating segments. The operating segments are based on
the Company’s management and internal reporting structure.
Operating Segments
The Company’s Board of Directors have been identified as the Chief Operating Decision Maker (‘CODM’), since they are
responsible for all major decision w.r.t. the preparation and execution of business plan, preparation of budget, planning,
expansion, alliance, joint venture, merger and acquisition, and expansion of any new facility.
Board of Directors reviews the operating results at Company level, accordingly there is only one Reportable Segment for
Annual Report 1
Not
the Company which is “Cement”, hence no specific disclosures have been made.
1 J.K. Cement
NOTEs
Entity wide disclosures
`/Lacs
31 March 2018 31 March 2017
A. Information about product total revenue
Grey Cement 3,33,489.26 2,92,632.34
White Cement and allied products 1,37,466.14 1,40,151.66
B. Information about geographical areas

Non-current assets (Property, plant and equipment, Intangible assets and other non-current assets) are in India
C. Information about major customers (from external customers)

The Company has not derived revenues from single customer during the year as well as during previous year which amount
to 10 per cent or more of the entity’s revenues.
38. EMPLOYEE BENEFITS

The Company contributes to the following post-employment defined benefit plans in India.
(i) Defined Contribution Plans:

The Company makes contributions towards provident fund and superannuation fund to a defined contribution retirement
benefit plan for qualifying employees. Under the plan, the Company is required to contribute a specified percentage of payroll cost
to the retirement benefit plan to fund the benefits.
`/Lacs
For the year ended
31 March 2018 31 March 2017
Contribution to Government Provident Fund 1,135.91 942.09
Contribution to Superannuation Scheme 478.06 398.25
Contribution to Family Pension Fund 473.87 444.72
(ii) Defined Benefit Plan:

The Company provides for gratuity for employees in India as per the Payment of Gratuity Act, 1972. Employees who are in
continuous service for a period of 5 years are eligible for gratuity. The amount of gratuity payable on retirement/termination is
the employees last drawn basic salary per month computed proportionately for 15 days salary multiplied for the number of
years of service. The gratuity plan is a funded plan and the Company makes contributions to Group Gratuity Trust registered
under Income Tax Act-1961.
The most recent actuarial valuation of plan assets and the present value of the defined benefit obligation for gratuity were
carried out as at 31 March 2018. The present value of the defined benefit obligations and the related current service cost and past
service cost, were measured using the Projected Unit Credit Method.
A. Based on the actuarial valuation obtained in this respect, the following table sets out the status of the gratuity plan
and the amounts recognised in the Company’s financial statements as at balance sheet date:
`/Lacs
31 March 2018 31 March 2017

Net defined benefit obligation 7,190.39 6,061.68
Total employee benefit asset 5,800.16 5,596.87
Net defined benefit liability 1,390.23 464.81
Annual Report 1
Not
NOTEs
B. Movement in net defined benefit (asset) liability – Gratuity (Funded)

The following table shows a reconciliation from the opening balances to the closing balances for net defined benefit
(asset) liability and its components:
`/Lacs
31 March 2018 31 March 2017
Net defined Net defined
Defined benefit Fair value of Defined benefit Fair value of
benefit (asset)/ benefit (asset)/
obligation plan assets obligation plan assets
liability liability
Balance as at 31 March 6,061.68 5,596.87 464.81 5,739.12 5,388.80 350.32
Included in profit or loss
Current service cost 420.41 - 420.41 347.70 - 347.70
Past service credit 1,137.18 - 1,137.18 - - -
Interest cost (income) 400.58 368.51 32.07 420.45 401.33 19.12
1,958.17 368.51 1,589.66 768.15 401.33 366.82
Included in OCI
Remeasurements loss (gain)
– Actuarial loss (gain) arising from:
- financial assumptions (251.19) - (251.19) 309.49 - 309.49
- experience adjustment (65.95) (121.58) 55.63 (197.53) 160.13 (357.66)
(317.14) (121.58) (195.56) 111.96 160.13 (48.17)
Other
Contributions paid by the employer - 468.68 (468.68) - 204.16 (204.16)
Benefits paid (512.32) (512.32) (557.55) (557.55)
(512.32) (43.64) (468,68) (557.55) (353.39) (204.16)
Balance as at 31 March 7,190.39 5,800.16 1,390.23 6,061.68 5,596.87 464.81
C. Plan assets
The plan assets are managed by the Gratuity Trust formed by the Company. The management of 100% of the funds is
entrusted according to norms of Gratuity Trust, whose pattern of investment is available with the Company.
As at As at
31 March 2018 31 March 2017
Government of India Securities (Central and State) 52.57% 0.00%
High quality corporate bonds (including Public Sector Bonds) 1.81% 0.00%
Equity shares of listed companies 0.00% 0.00%
Property 0.00% 0.00%
Cash (including Special Deposits) 23.27% 0.00%
Schemes of insurance - conventional products 0.00% 0.00%
Schemes of insurance - ULIP products 0.00% 0.00%
Others 22.35% 100%
D. Actuarial assumptions
The following were the principal actuarial assumptions at the reporting date (expressed as weighted averages).
31 March 2018 31 March 2017

Discount rate 7.40% 6.90%
Expected rate of return on plan assets 8.50% 8.50%
Mortality
Turnover rate : Staff 5% of all ages 5% of all ages
Turnover rate : Worker 1% of all ages 1% of all ages
Expected rate of future salary increase 10% 10%
1 J.K. Cement
NOTEs
Assumptions regarding future mortality have been based on published statistics and mortality tables.
At 31 March 2018, the weighted-average duration of the defined benefit obligation was 6 years (as at 31 March 2017: 6 years).
Although the analysis does not take account of the full distribution of cash flows expected under the plan, it does provide an
approximation of the sensitivity of the assumptions shown.
E. Sensitivity analysis
Reasonably possible changes at the reporting date to one of the relevant actuarial assumptions, holding other assumptions
constant, would have affected the defined benefit obligation by the amounts shown below.
Gratuity
`/Lacs
31 March 2018 31 March 2017
Increase Decrease Increase Decrease
Discount rate (1% movement) (450.10) 522.30 (381.71) 439.89
Expected rate of future salary increase (1% movement) 424.00 (388.00) 285.84 (280.87)
(26.10) 134.30 (95.87) 159.02
F. Through its defined benefit plans, the Company is exposed to a number of risks, the most significant of which
are detailed below:
Asset volatility: The plan liabilities are calculated using a discount rate set with reference to bond yields; if plan assets
underperform this yield, this will create a deficit. Most of the plan asset investments is in fixed income securities with high grades
and in government securities. These are subject to interest rate risk and the fund manages interest rate risk with derivatives to
minimise risk to an acceptable level.
Changes in bond yields: A decrease in bond yields will increase plan liabilities, although this will be partially offset by an
increase in the value of the scheme’s bond holdings.
Life expectancy: The pension obligations are to provide benefits for the life of the member, so increase in life expectancy will
result in increase in plans liability. This is particularly significant where inflationary increases result in higher sensitivity to
changes in life expectancy.
The Company ensures that the investment positions are managed within an asset-liability matching (ALM) framework
that has been developed to achieve long-term investments that are in line with the obligations under the employee
benefit plans.
Within this framework, the group’s ALM objective is to match assets to the pension obligations under the employee benefit
plan term fixed interest securities with maturities that match the benefit payments as they fall due and in the appropriate
currency. The Company actively monitors how the duration and the expected yield of the investments are matching the
expected cash outflows arising from the employee benefit obligations. The Compnay has not changed the processes used to
manage its risks from previous periods. Investments are well diversified, such that the failure of any single investment would not
have a material impact on the overall level of assets. A large portion of assets at reporting date consists of government and
corporate bonds, although the group also invests in equities, cash and mutual funds. The group believes that equities offer
the best returns over the long-term with an acceptable level of risk.
Annual Report 1
Not
NOTEs
G. The expected benefit payment in future

years:
`/Lacs
31 March 2018 31 March 2017
Within the next 12 months (next annual reporting period) 963.40 716.83
Between 2 and 5 years 3,593.55 3,644.18
Beyond 10 years 18,905.01 18,905.01
Total expected payments 27,737.97 27,599.79
H. The expected employer contribution in the next years.

`/Lacs
31 March 2018 31 March 2017
39.RELATED PARTIES
(1) (a) Parties where the control/significant influence exists

i) Yadu International Ltd
(b) Key Management Personnel & their Relatives

i) Shri Yadupati Singhania Chairman & Managing Director
ii) Smt. Shushila Devi Singhania Relative of Chairman & Managing Director
iii) Shri Ajay Kumar Saraogi President (Corp.Affairs) & CFO
iv) Shri Shambhu Singh Company Secretary
v) Shri Achintya Karati Non Executive Independent Director
vi) Shri Jayant Narayan Godbole Non Executive Independent Director
vii) Dr. Krishna Behari Agarwal Non Executive Independent Director
viii)Shri K.N.Khandelwal Non Executive Non Independent Director
ix) Shri Raj Kumar Lohia Non Executive Independent Director
x) Shri Suparas Bhandari Non Executive Independent Director
xi) Mr. Paul Heinz Hugentobler Non Executive Non Independent Director
xii) Shri Shyam Lal Bansal Non Executive Independent Director
(c) Enterprises significantly influenced by Key Management Personnel or their Relatives
i) Jaykay Enterprises Ltd
ii) J.K. Cotton Ltd.
iii) Jaykaycem (Eastern) Ltd
iv) J.K.Cement(Western) Ltd
(d) Subsidiary Companies.
i) J.K. Cement (Fujairah) FZC (Holding Company of (ii) below)
ii) J.K. Cement Works(Fujairah) FZC
iii) Jaykaycem(Central) Ltd
(e) Joint Venture
i) Bander Coal Company Pvt. Ltd
1 J.K. Cement
NOTEs
(2) a) Following are the transactions with related parties as defined under section 188 of Companies Act 2013.
`/Lacs
For the year ended
31 March 2018 31 March 2017
(i) Jaykay Enterprises Ltd
- Services received 35.17 34.47
- Rent paid 49.50 47.71
- Expenses Reimbursed 60.34 50.60
(ii) J.K. Cotton Ltd
- Rent paid 32.39 45.42
- Purchases - 0.21
(iii) J.K. Cement(Fujairah)FZC
Amount paid against preference shares 2,458.00 4,375.74
Corporate Guarantees 54292.26 58168.57
Interest recoverable on Redeemable Pref Shares 1,410.72 1499.95
Amount paid as application money for equity shares 1302.80 -
Preference shares converted into equity shares (Refer note 4) 10898.37 -
(iv) J.K. Cement(Western) Ltd
Opening as at beginning of the year - 15.00
Advance Received during the year - 15.00
Balance as at close of the year - -
(v) Jaykaycem (Central) Ltd.
Opening as at beginning of the year - 4206.79
Loan given during the year - 65.40
Interest received/receivable - 76.72
Amount received against loan and interest - 4348.91
Balance at close of the year - -
Equity shares acquired during the year 2500.00 -
Debenture acquired during the year 1000.00 4600.00
Amount given in current deposit - 55.00
Amount received in current account - 55.00
Debentures converted into equity shares(Refer note 4) 5600.00 -
(vi) Key Management Personnel and their relatives
a) Shri Y.P. Singhania(Chairman & Managing Director)
-Remuneration 1761.00 1266.92
-Sale of farm house 5087.99 -
-Rent paid 15.13 -
-Rent paid to relatives 30.47 -
b) Smt Sushila Devi Singhania
-Commission 9.00 8.00
-Sitting Fees 5.26 4.52
c) Shri Ajay Kumar Saraogi
d) Shri Shambhu Singh
e) Other Directors
- Commission 72.00 64.00
and ` 108.13 lacs (` 111.31 lacs) paid to other Director Mr. Paul Heinz Hugentobler on 108.13 111.31
professional capacity.
Annual Report 1
Not
NOTEs
b) Terms and conditions of transactions with related parties

The sales to and purchases from related parties are made on terms equivalent to those that prevail in arm’s length
transactions. Outstanding balances at the year-end are unsecured and interest free and settlement occurs in cash.
There have been no guarantees (except corporate guarantees) provided or received for any related party receivables or
payables. For the year ended 31 March 2018, the Company has not recorded any impairment of receivables relating to
amounts owed by related parties (31 March 2017: ` Nil). This assessment is undertaken each financial year through
examining the financial position of the related party and the market in which the related party operates.
c) Compensation of key management personnel of the Company
`/Lacs
For the year ended
31 March 2018 31 March 2017
- short-term employee benefits 2,032.93 1,368.91
- other long-term benefits 48.54 133.50
40 OPERATING LEASE
The Company has taken various residential premises, office premises and warehouses under operating lease agreements. These are
generally cancellable and are renewable by mutual consent on mutually agreed terms.
41. FINANCIAL INSTRUMENTS – FAIR VALUES AND RISK MANAGEMENT

I. Fair value measurements
A. Financial instruments by category
`/Lacs
FVTPL FVOCI Amortised cost FVTPL FVOCI Amortised cost
Financial assets
Investments 14,364.77 - 24,349.24 23,525.21 - 24,298.90
Other financial assets - - 12,276.16 - - 18,319.08
Trade receivables - - 18,797.37 - - 14,813.42
Cash and cash equivalents - - 18,244.25 - - 12,171.42
Other Bank balances - - 36,107.82 - - 30,520.43
14,364.77 - 1,09,774.84 23,525.21 - 1,00,123.25
Non-Current Borrowings - - 2,06,970.78 - - 2,28,236.67
Other Non-current financial liabilities - - 20,678.88 - - 17,671.71
Non current borrowings - - 11,351.76 - - 16,729.17
Trade payables - - 41,355.94 - - 37,773.54
Other current financial liabilities - 43,752.10 43,145.55
- - 3,24,109.46 - - 3,43,556.64
B. Fair value hierarchy

This section explains the judgements and estimates made in determining the fair values of the financial instruments
that are:
(a) recognised and measured at fair value and
(b) measured at amortised cost and for which fair values are disclosed in the financial statements.
To provide an indication about the reliability of the inputs used in determining fair value, the Company has classified its
financial instruments into the three levels prescribed under the accounting standard. An explanation of each level follows
underneath the table.
1 J.K. Cement
NOTEs
Financial assets and liabilities measured at fair value – recurring fair value measurements
`/Lacs
As at 31 March 2018
Level 1 Level 2 Level 3 Total
Financial assets
Assets measured at fair value
Investments
Equity Shares 8.00 8.00
Mutual Funds & Bonds - -
Financial liabilities 11,885.19 - 2,471.58 14,356.77
Liabilities for which fair values are disclosed
Non-Current Borrowings 2,06,161.84 2,06,161.84
11,885.19 - 2,08,641.42 2,20,526.61
Financial assets and liabilities measured at fair value – recurring fair value measurements
`/Lacs
As at 31 March 2017
Financial assets
Investments
Mutual Funds & Bonds 8,021.64 - 15,498.37 23,520.01
Financial liabilities -
Liabilities for which fair values are disclosed -
Non Current Borrowings - - 2,28,145.50 2,28,145.50
8,021.64 - 2,43,649.07 2,51,670.71
Level 1: 1: Level 1 hierarchy includes financial instruments measured using quoted prices. This includes mutual funds that
have quoted price.
Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation techniques
which maximise the use of observable market data and rely as little as possible on entity-specific estimates. If all significant
inputs required to fair value an instrument are observable, the instrument is included in level 2.
Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3.
This is the case for unlisted preference securities. The fair value of the unquoted preference shares in cement sector has been
computed using the DCF method considering the no growth model and discount rate @ 6.12% .Increase in 1% discount rate
will result into decrease of fair valuation by ` 0.95 lacs whearas decrease in 1% discount rate will result into increase of fair
valuation by ` 1.33 lacs.
There are no transfers between level 1 and leve 2 during the year
Valuation technique used to determine fair value

Specific valuation techniques used to value financial instruments include:
- the use of quoted market prices or dealer quotes for similar instruments
- the fair value of forward foreign exchange contracts is determined using forward exchange rates at the balance sheet date
- the fair value of the remaining financial instruments is determined using discounted cash flow analysis.
Annual Report 1
Not
NOTEs
C. Fair value of financial assets and liabilities measured at amortised cost
`/Lacs
Carrying Carrying
Fair Value Fair Value
Amount Amount
Financial assets
Investments 24,349.24 24,349.24 24,298.90 24,298.90
Other financial assets 12,276.16 12,276.16 18,319.08 18,319.08
Trade receivables 18,797.37 18,797.37 14,813.42 14,813.42
Cash and cash equivalents 18,244.25 18,244.25 12,171.42 12,171.42
Other Bank balances 36,107.82 36,107.82 30,520.43 30,520.43
1,09,774.84 1,09,774.84 1,00,123.25 1,00,123.25
Non current borrowings 2,06,970.78 2,06,161.84 2,28,236.67 2,28,145.50
Other non current financial liabilities 20,678.88 20,678.88 17,671.71 17,671.71
Short-term borrowings 11,351.76 11,351.76 16,729.17 16,729.17
Trade payables 41,355.94 41,355.94 37,773.54 37,773.54
Other current financial liabilities 43,752.10 43,752.10 43,145.55 43,145.55
3,24,109.46 3,23,300.52 3,43,556.64 3,43,465.47
(i) The carrying amounts of trade receivables, trade

Management Committee, which is responsible for
payables, Short-term Borrowings, cash and cash
developing and monitoring the Company’s risk
equivalents, other bank balances, other financial
management policies. The committee reports regularly
liabilities, and other financial assets are considered
to the board of directors on its activities.
to be the same as their fair values, due to their
short- term nature. The fair values for security
The Company’s risk management policies are
deposits are calculated based on cash flows
established to identify and analyse the risks faced
discounted using a current lending rate.
by the Company, to set appropriate risk limits and
controls and to monitor risks and adherence to limits.
(ii) The fair values of non-current borrowings are based
Risk management policies and systems are reviewed
on discounted cash flows using a current borrowing
regularly to reflect changes in market conditions and
rate. They are classified as level 3 fair values in the
the Company’s activities. The Company, through its
fair value hierarchy due to the use of unobservable
training and management standards and procedures,
inputs, including own credit risk.
aims to maintain a disciplined and constructive
control environment in which all employees
(iii) The fair value of the financial assets and liabilities is
understand their roles and obligations.
included at the amount at which the instrument is
exchanged in a current transaction between
The Company’s Audit Committee oversees
willing parties, other than in a forced or liquidation
how management monitors compliance with
sale.
the Company’s risk management policies and
procedures, and reviews the adequacy of the risk
II. Financial risk management
management framework in relation to the risks
The Company has exposure to the following risks
faced by the Company. The Audit Committee is
arising from financial instruments:
assisted
- credit risk;
in its oversight role by Internal Audit. Internal Audit
- liquidity risk; and
undertakes both regular and ad hoc reviews of risk
- market risk
management controls and procedures, the results of
which are reported to the Audit Committee.
i. Risk management framework
The Company’s board of directors has overall
ii. Credit risk
responsibility for the establishment and oversight
Credit risk is the risk of financial loss to the
of the Company’s risk management framework.
Company if a customer or counterparty to a financial
The board of directors has established the Risk
1 J.K. Cement
instrument fails to meet its contractual obligations, and

arises
Annual Report 1
Not
NOTEs
principally from the Company’s receivables from Expected credit losses are a probability weighted estimate
customers including deposits with banks and of credit losses. Credit losses are measured
Trade and other receivables

The Company’s exposure to credit risk is
influenced mainly by the individual characteristics
of each customer. However, management also
considers the factors that may influence the credit
risk of its customer base, including the default risk
of the industry and country in which customers
operate.
The Risk Management Committee has established
a credit policy under which each new customer
is
analysed individually for creditworthiness before the
Company’s standard payment and delivery terms
and conditions are offered. The Company’s review
includes external ratings, if they are available, and in
some cases bank references. Sale limits are
established
for each customer and reviewed quarterly. Any sales
exceeding those limits require approval from the Risk
Management Committee.
In monitoring customer credit risk, customers are
Companyed according to their credit characteristics,
including whether they are an individual or a legal
entity, their geographic location, industry and
existence of previous financial difficulties. The
Company evaluates the concentration of risk with
respect to trade receivables as low, as its customers
are located in several jurisdictions and industries
and operate in largely independent markets.
A default on financial assets is when the counterparty
fails to make contractual payments within 60 days
of when they fall due. This definition of default is
determined by considering the business environment
in which the entity operates and other
macroeconomic factors. The Company holds bank
guarantees/security deposits against trade receivables
of ` 5,646.56 lacs (31 March 2017: ` 6,224.79) and as
per the terms and condition of the agreements, the
Company has the right to encash the bank guarantee
or adjust the security deposits in case of defaults.
The Company establishes an allowance for
impairment that represents its expected credit losses
in respect of trade and other receivables. The
management uses a simplified approach for the
purpose of computation of expected credit loss for
trade receivables
1 J.K. Cement
as the present value of all cash shortfalls (i.e. the

difference between the cash flows due to the
Company in accordance with the contract and
the cash flows that the Comapny expects to
receive).
During the based on specific assessment, the

Company recognised bad debts and advances of
` 9.85 lacs
(31 March 2017: ` 1,000). The year end trade
receivables do not include any amounts with
such parties.
The maximum exposure to credit risk at the

reporting date is the carrying value of trade
receivables disclosed in Note 9.
Reconciliation of loss allowance provision -

Trade Receivables
`/Lacs
31 March 31 March
Particulars
2017
Opening Balance 602
Change in loss allowance 220.75 137.12
Financial instruments and cash deposits

Credit risk from balances with banks and
financial institutions is managed by the
Company’s treasury department in accordance
with the Company’s policy. Investments of
surplus funds are made only with approved
counterparties and within credit limits assigned
to each counterparty. The limits are set to
minimise the concentration of risks and therefore
mitigate financial loss through counterparty’s
potential failure to make payments.
The Company’s maximum exposure to credit risk

for the components of the balance sheet at 31 st
March 2018 and 31st March 2017 is the carrying
amounts as shown in Note 4,8,10,11 & 12. The
Company has not recorded any further loss during
the year in these financial instruments and cash
deposits as these pertains to counter parties of
good credit ratings/credit worthiness.
A default on financial assets is when the

counterparty fails to make contractual
payments within 60 days
determined by considering the business
environment in which the entity operates and
other macro- economic factors
Annual Report 1
Not
NOTEs

Prudent liquidity risk management implies
impairment that represents its expected credit losses in
maintaining sufficient cash and marketable
respect of trade and other receivables. The
securities and the availability of funding through an
adequate amount of committed credit facilities to
meet obligations when due and to close out market
trade receivables
positions. Due to the dynamic nature of the
underlying businesses, Company treasury maintains
Expected credit losses are a probability weighted
flexibility in funding by maintaining availability under
estimate of credit losses. Credit losses are measured
committed credit lines.
difference between the cash flows due to the Company
Management monitors rolling forecasts of the
in accordance with the contract and the cash flows
Company’s liquidity position (comprising the
that the Company expects to receive).
undrawn borrowing facilities below) and cash and
cash equivalents on the basis of expected cash
iii. Liquidity risk
flows. This is generally carried out in accordance with
Liquidity risk is the risk that the Company will
practice and limits set by the Company. These limits
encounter difficulty in meeting the obligations
vary
associated with its financial liabilities that are settled
by location to take into account the liquidity of the
by delivering cash or another financial asset. The
market in which the entity operates. In addition, the
Company’s approach to managing liquidity is to
Company’s liquidity management policy involves
ensure, as far as possible, that it will have sufficient
projecting cash flows in major currencies and
liquidity to meet its liabilities when they are due,
considering the level of liquid assets necessary to
under both normal and stressed conditions, without
meet these, monitoring balance sheet liquidity ratios
incurring unacceptable losses or risking damage to
against internal and external regulatory requirements
the Company’s reputation.
and maintaining debt financing plans.
(a) Financing arrangements

The Company had access to the following undrawn borrowing facilities at the end of the reporting period:
`/Lacs
As at As at
31 March 2018 31 March 2017
Floating rate
Expiring within one year (bank overdraft and other facilities) Nil 700.00
Expiring beyond one year (bank loans) Nil 6,958.00
- 7,658.00
The bank overdraft facilities may be drawn at any time and may be terminated by the bank without notice. Subject to the
continuance of satisfactory credit ratings, the bank loan facilities may be drawn at any time in INR and have an average
maturity of Nil years (as at 31 March 2017 - 6.57 years).
1 J.K. Cement
NOTEs
(b) Maturities of financial liabilities

The following are the remaining contractual maturities of financial liabilities at the reporting date. The amounts are gross
and undiscounted, and include contractual interest payments and exclude the impact of netting agreements.
`/Lacs
Carrying Contractual cash flows
Amounts 2 months More than
Total 2–12 months 1–5 years
31 March 2018 or less 5 years
Non-derivative financial liabilities
Non current Borrowings 2,06,970.78 2,12,186.54 - - 1,00,117.22 1,12,069.32
Other non-current financial liabilities 20,678.88 20,678.88 - - 20,678.88
Short-term borrowings 11,351.76 11,351.76 - 11,351.76 - -
Trade payables 41,355.94 41,355.94 41,355.94 - - -
Other current financial liabilities 43,752.10 43,752.10 3,604.13 40,011.52 136.45
Total non-derivative liabilities 3,24,109.46 3,29,325.22 44,960.07 51,363.28 1,20,932.55 1,12,069.00
`/Lacs
Amounts 2 months More than
31 March 2017 Total 2–12 months 1–5 years
or less 5 years
Non current borrowings 2,28,236.67 2,32,493.16 1,00,011.96 1,32,481.20
Other non-current financial liabilities 17,671.71 17,671.71 17,671.71
Short-term borrowings 16,729.17 16,729.17 16,729.17
Trade payables 37,773.54 37,773.54 37,773.54
Total non-derivative liabilities 3,43,556.64 3,47,813.13 42,228.14 55,320.92 1,17,782.87 1,32,481.20
Further the Company issued financial guarantee as disclosued in note 39 for which the possibility of payment is remote.
iv. Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in
market prices. Market risk comprises of interest rate risk and currency risk. Financial instruments affected by market risk
primarily include trade and other receivables, trade and other payables and borrowings.
Currency risk
Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in
foreign exchange rates. The Company’s exposure to the risk of changes in foreign exchange rates relates primarily to the
Company’s operating activities (when revenue or expense is denominated in a foreign currency). The Company manages
its foreign currency risk by taking foreign currency forward contracts, if required
Exposure to currency risk

The summary quantitative data about the Company’s exposure to currency risk as reported to the management of
the Company is as follows:

USD EUR USD EUR
Trade payables 19,39,975.00 18,86,009.00 11,38,140.00 20,89,440.00
Net statement of financial position exposure 19,39,975.00 18,86,009.00 11,38,140.00 20,89,440.00
Investment made by the Company in redeemable preference shares of its subsidiary Company has not been
considered here as the Company has decided to convert all its redeemable preference shares into equity shares. Also
refer note 4.
Annual Report 1
Not
NOTEs
The following significant exchange rates have been applied
Average Rates Year end spot rates

31 March 2018 31 March 2017 31 March 2018 31 March 2017
USD 1 64.39 66.97 65.04 64.84
EUR 1 75.32 73.50 80.62 69.25
AED 1 17.53 18.27 18.24 17.66
Sensitivity analysis
A reasonably possible strengthening (weakening) of the ` against all other currencies at 31 March would have
affected the measurement of financial instruments denominated in a foreign currency and affected equity and profit
or loss by the amounts shown below. This analysis assumes that all other variables, in particular interest rates, remain
constant.
`/Lacs
Profit or loss, before tax Equity, net of tax
Strengthening Weakening Strengthening Weakening
31 March 2018
USD (10% movement) 126.17 (126.17) 82.50 (82.50)
EUR (10% movement) 152.05 (152.05) 99.43 (99.43)
GBP (10% movement) - - - -
31 March 2017
USD (10% movement) 73.79 (73.79) 48.25 (48.25)
EUR (10% movement) 144.69 (144.69) 94.62 (94.62)
Interest rate risk
The Company’s main interest rate risk arises from long-term borrowings with variable rates, which expose the
Company to cash flow interest rate risk. Company policy is to maintain most of its borrowings at fixed rate using
interest rate swaps to achieve this when necessary. During 31 March 2018 and 31 March 2017, the Company’s
borrowings at variable rate were mainly denominated in `.
The Company’s fixed rate borrowings are carried at amortised cost. They are therefore not subject to interest rate risk as
defined in Ind AS 107, since neither the carrying amount nor the future cash flows will fluctuate because of a change in
market interest rates.
Currently the Company’s borrowings are within acceptable risk levels, as determined by the management, hence
the Company has not taken any swaps to hedge the interest rate risk.
Exposure to interest rate risk

The interest rate profile of the Company’s interest-bearing financial instruments as reported to the management of the
Company is as follows.
`/Lacs
Nominal Amount
31 March 2018 31 March 2017
Fixed-rate instruments
Financial assets 83,381.71 95,861.23
Financial liabilities 89,462.86 93,123.51
1,72,844.57 1,88,984.74
Variable-rate instruments
Financial liabilities 1,66,583.70 1,88,832.49
2,01,730.01 2,02,103.38
1 J.K. Cement
NOTEs
Cash flow sensitivity analysis for variable-rate instruments

A reasonably possible change of 100 basis points in interest rates at the reporting date would have increased
(decreased) equity and profit or loss by the amounts shown below. This analysis assumes that all other variables, in
particular foreign currency exchange rates, remain constant.
`/Lacs
100 bp increase 100 bp decrease 100 bp increase 100 bp decrease
31 March 2018
Variable-rate instruments (1,690.44) 1,690.44 (1,105.41) 1,105.41
Cash flow sensitivity (1,690.44) 1,690.44 (1,105.41) 1,105.41
31 March 2017
42(A). PRIOR YEAR ERRORS

During the financial year ended 31 March 2018, the Company discovered that the deferred tax charge was erroneously created
lower by ` 4,879.19 lacs due to consideration of incorrect carried forward unabsored depreciation and business losses.
Consequently, Deferred tax liability (net) was shown lower by the same amount. Financial statements for the year ended 31
March 2017 has been restated to correct this error. The effect of the restatement on those financial statements is summarised
below. There is no effect in financial year 2017-18.
In financial year ended 31 March 2017, the Company reported as follows:
`/Lacs
31 March 2017
Profit before tax 32,443.17
Current Tax 7,047.08
Mat Credit entitlement (7,047.08)
Earlier years tax adjustments (2.75)
Deferred tax 6,488.28
Profit/(loss) for the year 25,957.64
Basic and Diluted earnings per share (`) 37.12
Deferred tax liability (net) was shown ` 21,401.44 in the Balance Sheet as at 31 March 2017
The following are the restated amounts which are being reported after correction for the year ended 31 March 2017 as
comparatives.
`/Lacs
31 March 2017
Restated
Deferred tax charge/(credit) 4,320.39
Deferred tax liability (net) restated to ` 26,280.63 in the Balance Sheet as at 31 March 2017
Annual Report 1
Not
NOTEs
42(B). In addition to the above, following are the reclassifications made in the previous year figures to make them comparable/better
presentation with the current year figures. These reclassification does not have any significant effect on the balance sheet at
the beginning of the preceding financial year, i.e, April 1, 2016. Also, these reclassifications do not have any impact on the profit
other than those described in note (a) above.
As at 31st March `/Lacs

As at 31st
March
Particulars Nature
2017 (Restated) 2017 (Published)
ASSETS
NON CURRENT ASSETS
Non current - Investments 47,037.80 47,037.88 Reclassification items
Non current - Loans and advances 13,456.72 14,243.27 Reclassification items
Other non current assets 10,471.29 8,907.44 Reclassification items
CURRENT ASSETS
Current Assets - Financial assets - Cash and cash equivalents 12,171.42 41,785.02 Reclassification items
Current Assets - Financial assets - Bank balances other than (iii) above 30,520.43 99.20 Reclassification items
Other Current Financial Assets 4,862.36 4,521.82 Reclassification items
Other current assets 16,155.98 17,419.33 Reclassification items
Other Equity 1,80,159.57 1,85,038.76 Reclassification items
Borrowings - Non Current 2,28,236.67 2,31,845.63 Reclassification items
Deferred tax liabilities (net) 26,280.63 21401.44 Variance due to error as
mentioned in note a
above
Other non-current liabilities 8,633.01 5271.37 Reclassification items
Current Liabilities
Borrowings - Current 16,729.17 16577.24 Reclassification items
Trade Payable - Current 37,773.54 20517.96 Reclassification items
Other financial liabilities 43,145.55 65996.85 Reclassification items
Other current liabilities 15,591.89 8335.82 Reclassification items
Short-term provisions 706.33 1601.60 Reclassification items
Current tax Liability (net) 149.00 156.65 Reclassification items
Profit & loss Account
Revenue from operations 4,37,983.02 4,42,070.71 Reclassification items
Other income 9,932.30 5118.68 Reclassification items
Cost of materials consumed 64,406.17 69552.72 Reclassification items
Changes in inventories of finished goods, stock-in-Trade and work-in- (976.56) -325.67 Reclassification items
progress
Finance costs 27,290.70 26564.75 Reclassification items
Other expenses 2,77,572.60 2,71,775.18 Reclassification items
Tax Expense
MAT Credit Entitlement - -7047.08 Reclassification items
Deferred Tax 4,320.39 6488.28 Variance due to :-i)
reclassification of MAT credit
entitlement in deferred tax
ii) error as mentioned in note a
above
Profit/(loss) for the year 21,078.45 25,957.64
Earning per equity share
Basic 30.14 37.12
Diluted 30.14 37.12
1 J.K. Cement
NOTEs

standard on the required effective date using the modified
a. Amount required to be spent by the Company on
retrospective method.
Corporate Social Responsibility (CSR) activities
The Company is in the business of manufacturing and
during the year was ` 461.28 lacs i.e. 2% of average
selling cement and related products. The cement and
net profits for last three financial years, calculated as
related products are sold both on their own in separate
per section 198 of the Companies Act,2013
identified contracts with customers and through
distribution channel of dealers and distributors.
b. Corporate Social Responsibility (CSR) activities
undertaken during the year is ` 481.07 lacs. Further,
(a) Sale of goods
no amount has been spent on
For contracts with customers in which the sale of
construction/acquisition of an asset of the Company
and entire amount is spent on cash basis. cement and related products is generally expected to
be the only performance obligation, adoption of Ind
44. ASSETS HELD FOR SALE AS 115 is not expected to have any material impact on
During the year, the Company entered into agreement to the Company’s revenue and profit or loss. The
sell the thermal power plant and other DG sets at Company expects the revenue recognition to occur at a
Rajasthan location as these were not in active use. point
Accordingly, these assets has been classified as ‘held for in time when control of the asset is transferred to the
sale’. Sale of these assets are expected to be completed customer, generally on delivery of the goods.
within next 12 months.
In preparing to adopt Ind AS 115, the Company is
45. EXCEPTIONAL ITEMS considering the following:
This represents the loss booked on accounts of sale of
thermal power plant and other DG sets in current year. The (i) Variable consideration
previous year exceptional item represents governement Some contracts with customers provide a right of
cess reversed. return, trade discounts or volume rebates. Currently,
the Company recognises revenue from the sale of
46 STANDARDS ISSUED BUT NOT YET EFFECTIVE goods measured at the fair value of the
The amendments to standards that are issued, but not consideration received or receivable, net of returns
yet effective, up to the date of issuance of the Company’s and allowances, trade discounts and volume rebates.
financial statements are disclosed below. The Company If revenue cannot be reliably measured, the Company
intends to adopt these standards, if applicable, when defers revenue recognition until the uncertainty is
they become effective. resolved. Such provisions give rise to variable
consideration under Ind AS 115, and will be required
The Ministry of Corporate Affairs (MCA) has issued the to be estimated at contract inception and updated
Companies (Indian Accounting Standards) Amendment thereafter.
Rules, 2017 and Companies (Indian Accounting Standards) Ind AS 115 requires the estimated variable
Amendment Rules, 2018 amending the following standard: consideration to be constrained to prevent over-
recognition of revenue. The Company does not expects
Ind AS 115 Revenue from Contracts with Customers that application of the constraint will result in material
Ind AS 115 was issued on 28 March 2018 and revenue being deferred than under current Ind AS.”
establishes a five-step model to account for revenue
arising from contracts with customers. Under Ind AS (b) Presentation and disclosure requirements
115, revenue is recognised at an amount that reflects The presentation and disclosure requirements in Ind
the consideration to which an entity expects to be AS 115 are more detailed than under current Ind AS.
entitled in exchange for transferring goods or services The presentation requirements represent a
to a customer. significant change from current practice and
The new revenue standard will supersede all current significantly increases the volume of disclosures
revenue recognition requirements under Ind AS. Either a required in
full retrospective application or a modified retrospective the Company’s financial statements. Many of the
application is required for annual periods beginning on or disclosure requirements in Ind AS 115 are new and
after 1 April 2018. The Company plans to adopt the new the Company has assessed that the impact of
Annual Report 1
Not
these disclosures requirements will not be

significant. In
particular, the Company does not expect that the notes
1 J.K. Cement
NOTEs
to the financial statements will be expanded Entities are required to apply the amendments
because of the disclosure of significant judgements retrospectively. However, on initial application of
made. the
In addition, as required by Ind AS 115, the Company
will disaggregate revenue recognised from contracts
with customers into categories that depict how the
nature, amount, timing and uncertainty of revenue and
cash flows are affected by economic factors. It will also
disclose information about the relationship between
the disclosure of disaggregated revenue and revenue
information disclosed for reportable segment
(c) Other adjustments

The recognition and measurement requirements in
Ind AS 115 are also applicable for recognition and
measurement of any gains or losses on disposal of
non-financial assets (such as items of property,
plant and equipment and intangible assets), when
that disposal is not in the ordinary course of
business.
However, on transition, the effect of these changes is
not expected to be material for the Company.
Amendments to Ind 112 Disclosure of Interests

in Other Entities: Clarification of the scope of
disclosure requirements in Ind AS 112
The amendments clarify that the disclosure

requirements in Ind AS 112, other than those in
paragraphs B10–B16, apply to an entity’s interest in a
subsidiary, a joint venture or an associate (or a
portion of its interest in a joint venture or an
associate) that
is classified (or included in a disposal group that is
classified) as held for sale.
These amendments are not applicable to the

Company.
Amendments to Ind AS 12 Recognition of Deferred

Tax Assets for Unrealised Losses
The amendments clarify that an entity needs to

consider whether tax law restricts the sources of
taxable profits against which it may make
deductions on the reversal of that deductible
temporary difference. Furthermore, the amendments
provide guidance on how an entity should determine
future taxable profits and explain the circumstances
in which taxable profit may include the recovery of
some assets for more than their carrying amount.
Annual Report 1
Not
amendments, the change in the opening equity of the

earliest comparative period may be recognised in
opening retained earnings (or in another component of
equity, as appropriate), without allocating the change
between opening retained earnings and other
components of equity. Entities applying this relief must
disclose that fact.
These amendments are effective for annual periods

beginning on or after 1 April 2018. These amendments are
not expected to have significant impact on the Company.
Transfers of Investment Property - Amendments to Ind

AS 40
The amendments clarify when an entity should transfer

property, including property under construction or
development into, or out of investment property. The
amendments state that a change in
use occurs when the property meets, or ceases to meet,
the definition of investment property and there is
evidence of the change in use. A mere change in
management’s intentions for the use of a property does
not provide evidence of a change in use.
Entities should apply the amendments prospectively to

changes in use that occur on or after the beginning of
the annual reporting period in which the entity first applies
the amendments. An entity should reassess the
classification of property held at that date and, if
applicable, reclassify property to reflect the conditions
that exist at that date. Retrospective application
in accordance with Ind AS 8 is only permitted if it is
possible without the use of hindsight.
The amendments are effective for annual periods beginning

on or after 1 April 2018. These amendments are not
expected to have significant impact on the Company.
Ind AS 28 Investments in Associates and Joint Ventures

– Clarification that measuring investees at fair value
through profit or loss is an investment-by- investment
choice
The amendments clarify that:

An entity that is a venture capital organisation, or
other qualifying entity, may elect, at initial
recognition on an investment-by-investment
1 J.K. Cement
NOTEs
basis, to measure its investments in associates

it) on the derecognition of a non-monetary
and joint ventures at fair value through profit or
asset or non-monetary liability relating to
loss.
advance consideration, the date of the
transaction is the date on which an entity
If an entity, that is not itself an investment
initially recognises the non-monetary asset or
entity, has an interest in an associate or joint
non-monetary liability arising from the advance
venture that is an investment entity, the entity
consideration. If there are multiple payments or
may, when applying the equity method, elect
receipts in advance, then the entity must
to retain the fair value measurement applied by
determine the transaction date for each payment
that investment entity associate or joint venture
or receipt of advance consideration.
to the investment entity associate’s or joint
venture’s interests in subsidiaries. This election
Entities may apply the Appendix requirements
is made separately for each investment entity
on a fully retrospective basis. Alternatively, an
associate or joint venture, at the later of the
entity may apply these requirements
date on which: (a) the investment entity
prospectively to all assets, expenses and income
associate
in its scope that are initially recognised on or
or joint venture is initially recognised; (b) the
after:
associate or joint venture becomes an
investment entity; and (c) the investment entity
(i) The beginning of the reporting period in
associate or joint venture first becomes a parent.
which the entity first applies the Appendix, or
The amendments should be applied

(ii) The beginning of a prior reporting period
retrospectively and are effective from 1 April
presented as comparative information in the
2018. These amendments are not applicable to
financial statements of the reporting period in
the Company.
which the entity first applies the Appendix.
Appendix B to Ind AS 21 Foreign Currency

The Appendix is effective for annual periods
Transactions and Advance Consideration
beginning on or after 1 April 2018. However, since
The Appendix clarifies that, in determining the
the Company’s current practice is in line with the
spot exchange rate to use on initial recognition
Interpretation, the Company does not expect any
of the related asset, expense or income (or part of
effect on its consolidated financial statements.
The accompanying notes are an integral part of the financial statements

This is the Balance Sheet referred to in our report of even date
Annual Report 1
INDEPENDENT AUDITOR’S REPORT

To the Members of J.K.Cement Limited
REPORT ON THE CONSOLIDATED IND AS FINANCIAL While conducting the audit, we have taken into account the
STATEMENTS provisions of the Act, the accounting and auditing standards
We have audited the accompanying consolidated Ind AS and matters which are
financial statements of J.K.Cement Limited (hereinafter referred
to as
“the Holding Company”), its subsidiaries (the Holding Company
and its subsidiaries together referred to as “the Group”) and its
joint venture, comprising of the consolidated Balance Sheet as
at March 31, 2018, the consolidated Statement of Profit and Loss,
including other comprehensive income, the consolidated Cash
Flow Statement, the consolidated Statement of Changes in
Equity for the year then ended, and a summary of significant
accounting policies and other explanatory information
(hereinafter referred to as ‘the consolidated Ind AS financial
statements’).
MANAGEMENT’S RESPONSIBILITY FOR THE CONSOLIDATED

FINANCIAL STATEMENTS
The Holding Company’s Board of Directors is responsible for
the preparation of these consolidated Ind AS financial
statements in terms of the requirement of the Companies Act,
2013 (“the Act”) that give a true and fair view of the
consolidated financial position, consolidated financial
performance including
other comprehensive income, consolidated cash flows and
consolidated statement of changes in equity of the Group
including its joint venture in accordance with accounting
principles generally accepted in India, including the Accounting
Standards specified under section 133 of the Act., read with
the Companies (Indian Accounting Standard) Rules, 2015, as
amended. The respective Board of Directors of the companies
included in the Group and of its joint venture are responsible
for maintenance of adequate accounting records in
accordance with the provisions of the Act for safeguarding of
the assets of the Group and its joint venture for preventing and
detecting frauds and other irregularities; the selection and
application
of appropriate accounting policies; making judgments and
estimates that are reasonable and prudent; and the design,
implementation and maintenance of adequate internal
financial controls that were operating effectively for ensuring the
accuracy and completeness of the accounting records, relevant to
the preparation and presentation of the financial statements
that give a true and fair view and are free from material
misstatement, whether due to fraud or error, which have been
used for the purpose of preparation of the consolidated Ind AS
financial statements by the Directors of the Holding Company,
as aforesaid.
Our responsibility is to express an opinion on these
consolidated Ind AS financial statements based on our audit.
Annual Report 1
required to be included in the audit report under the provisions

of the Act and the Rules made thereunder. We conducted our audit
in accordance with the Standards on Auditing, issued by the
Institute of Chartered Accountants of India, as specified under
Section 143(10) of the Act. Those Standards require that we
comply with ethical requirements and plan and perform the
audit to obtain reasonable assurance about whether the
financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit

evidence about the amounts and disclosures in the consolidated
financial statements. The procedures selected depend on
the auditor’s judgment, including the assessment of the risks
of material misstatement of the consolidated financial
statements, whether due to fraud or error. In making those
risk assessments, the auditor considers internal financial
control relevant to the Holding Company’s preparation of the
consolidated Ind AS financial statements that give a true and
fair view in order to design audit procedures that are
appropriate
in the circumstances. An audit also includes evaluating
the appropriateness of accounting policies used and
the
reasonableness of the accounting estimates made by the
Holding Company’s Board of Directors, as well as evaluating the
overall presentation of the consolidated financial statements. We
believe that the audit evidence obtained by us and the audit
evidence obtained by the other auditors in terms of their reports
referred to in sub-paragraph (a) of the Other Matters paragraph
below, is sufficient and appropriate to provide a basis for our
audit opinion on the consolidated Ind AS financial statements.
OPINION
In our opinion and to the best of our information and according
to the explanations given to us and based on the consideration
of reports of other auditors on separate financial statements
and on the other financial information of the subsidiaries, the
aforesaid consolidated Ind AS financial statements give the
information required by the Act in the manner so required and
give a true and fair view in conformity with the accounting
principles generally accepted in India, of the consolidated state of
affairs of the
Group as at March 31, 2018, their consolidated profit including
other comprehensive income, their consolidated cash flows and
consolidated statement of changes in equity for the year ended
on that date.
EMPHASIS OF MATTER
a) We draw attention to note 36(A)(V) to the consolidated Ind
AS financial statements wherein it has been stated that The
Competition commission of India (CCI) has imposed
penalty of ` 128.54 crores and ` 9.28 crores in two separate
orders dated 31.08.2016 and 19.01.2017 respectively for
1 J.K. Cement
to accounting principles generally accepted in India. We have

alleged contravention of provisions of the Competition Act audited these conversion adjustments made by the Company’s
2002 by the Company. The Company has filed appeals with
Competition Appellate Tribunal (COMPAT) against above
orders. COMPAT has stayed the CCI order in first matter on
deposit of ` 6.56 crores and hearing of appeal is
concluded and order stayed. In second matter stayed
demand and appeal are yet to be heard. The Company,
backed by a legal opinion, believes that it has a good case
and accordingly no provision has been made in the
Accounts.
Our opinion was not qualified in respect of above matter.
b) We draw attention to note 42 of the standalone Ind AS

financial statement which describes the impact on deferred
tax charge, deferred tax liability and reclassifications to the
previous year figures, which has led to the restatement of
the comparative year figures in the financial statements for
the year ended March 31, 2018.
Our opinion was not qualified in respect of above matter.
OTHER MATTER
(a) We did not audit the financial statements and other
financial information, in respect of 3 subsidiaries, whose Ind
AS financial statements include total assets of
` 101,240.12 lacs and net assets of ` 3,813.68 lacs as at
March 31, 2018, and total revenues of ` 26,229.90 lacs
and net cash inflows of ` 755.10 lacs for the year ended
on that date. These financial statement and other
financial information have been audited by other
auditors,
which financial statements, other financial information
and auditor’s reports have been furnished to us by the
management. Our opinion on the consolidated Ind AS
financial statements, in so far as it relates to the amounts
and disclosures included in respect of these subsidiaries
and our report in terms of sub-sections (3) of Section 143
of the Act, in so far as it relates to the aforesaid
subsidiaries, is based solely on the reports of such other
auditors.
Certain of these subsidiaries are located outside India

whose financial statements and other financial
information have been prepared in accordance with
accounting principles generally accepted in their respective
countries and which have been audited by other auditors
under generally accepted auditing standards applicable in
their respective countries. The Company’s management
has converted the financial statements of such
subsidiaries located outside India from accounting
principles generally accepted in their respective countries
Annual Report 1
management. Our opinion in so far as it relates to

the balances and affairs of such subsidiaries located
outside India is based on the report of other auditors
and the conversion adjustments prepared by the
management of the Company and audited by us.
(b) The consolidated Ind AS financial statements of the

Company for the year ended March 31, 2017, included
in these consolidated Ind AS financial statements,
have been audited by the predecessor auditor who
expressed an unmodified opinion on those
statements on May 13, 2017.
(c) The accompanying consolidated Ind AS financial

statements include unaudited financial statements
and other unaudited financial information in respect of
joint venture, whose financial statements and other
financial information reflect total assets of ` 15.90 lacs
and net assets of ` 15.86 lacs as at March 31, 2018, and
total revenues of ` Nil and net cash inflows of ` 0.64
lacs for the year ended on that date. These unaudited
financial statements and other unaudited financial
information have been furnished to us by the
management. Our opinion, in so far as it relates
amounts and disclosures included in respect of joint
venture, and
our report in terms of sub-sections (3) of Section 143
of the Act in so far as it relates to the aforesaid joint
venture, is based solely on such unaudited financial
statement and other unaudited financial
information. In our opinion and according to the
information and explanations given to us by the
Management, these financial statements and other
financial information are not material to the Group.
Our opinion above on the consolidated Ind AS financial

statements, and our report on Other Legal and
Regulatory Requirements below, is not modified in
respect of the above matters with respect to our
reliance on the work done and the reports of the other
auditors and the financial statements and other financial
information certified by the Management.
REPORT ON OTHER LEGAL AND REGULATORY

REQUIREMENTS
As required by section 143 (3) of the Act, based on our audit
and on the consideration of report of the other auditors on
separate financial statements and the other financial
information of subsidiaries, as noted in the ‘other matter’
paragraph we report, to the extent applicable, that:
(a) We / the other auditors whose reports we have

relied upon have sought and obtained all the
information and
explanations which to the best of our knowledge and
belief were necessary for the purpose of our audit of
the aforesaid consolidated Ind AS financial
statements;
1 J.K. Cement
(b) In our opinion proper books of account as required by law explanations given to us and based on the consideration
relating to preparation of the aforesaid consolidation of of the report of the other auditors on separate financial
the financial statements have been kept so far as it statements as also the other financial information of the
appears from our examination of those books and reports subsidiaries,and joint venture noted in the ‘Other matter’
of the other auditors; paragraph:
(c) The consolidated Balance Sheet, consolidated i. The consolidated Ind AS financial statements
Statement of Profit and Loss including the Statement of disclose the impact of pending litigations on its
Other Comprehensive Income, the consolidated Cash consolidated financial position of the Group and its
Flow joint venture– Refer Note 36 (A) and (B) to the
Statement and consolidated Statement of Changes in consolidated Ind AS financial statements;
Equity dealt with by this Report are in agreement with the
books ii. The Group and its joint venture did not have any
of account maintained for the purpose of preparation of material foreseeable losses in long-term contracts
the consolidated Ind AS financial statements; including derivative contracts during the year
ended March 31, 2018;
(d) In our opinion, the aforesaid consolidated Ind AS financial
statements comply with the Accounting Standards iii. There has been no delay in transferring amounts,
specified under section 133 of the Act, read with the required to be transferred, to the Investor Education
Companies (Indian Accounting Standard) Rules, 2015, as and Protection Fund by the Holding Company, its
amended; subsidiaries and joint venture, incorporated in India
during the year ended March 31, 2018.
(e) On the basis of the written representations received from
the directors of the Holding Company as on March 31, For S.R. Batliboi & CO. LLP
2018 taken on record by the Board of Directors of the Chartered Accountants
Holding Company and the reports of the statutory
auditors who are appointed under Section 139 of the Act, per Atul Seksaria
of its subsidiary companies and its joint venture Place : Kanpur Partner
company, none of the directors of the Group’s companies,
and joint venture incorporated in India is disqualified as
on March 31, 2018 from being appointed as a director in
terms of Section 164
(2) of the Act.
(f) With respect to the adequacy and the operating

effectiveness of the internal financial controls over financial
reporting with reference to these consolidated Ind AS
financial statements of the Holding Company, its
subsidiary company and incorporate in India, refer to our
separate report in “Annexure 1” to this report;
(g) With respect to the other matters to be included in

the Auditor’s Report in accordance with Rule 11 of the
Companies (Audit and Auditors) Rules, 2014, in our opinion
and to the best of our information and according to the
Annual Report 1
ANNEXURE 1 TO THE INDEPENDENT AUDITOR’S REPORT OF

EVEN DATE ON THE CONSOLIDATED FINANCIAL STATEMENTS OF
J.K.CEMENT LIMITED
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 (“the Act”)
In conjunction with our audit of the consolidated financial

Our audit involves performing procedures to obtain audit
statements of J.K.Cement Limited as of and for the year ended
evidence about the adequacy of the internal financial controls
March 31, 2018, we have audited the internal financial controls
over financial reporting with reference to these consolidated
over financial reporting of J.K.Cement Limited (hereinafter
financial statements and their operating effectiveness. Our audit
referred to as the “Holding Company”) and its subsidiary
of internal financial controls over financial reporting included
company, its joint venture company, which are companies
obtaining an understanding of internal financial controls over
incorporated in India as of that date
financial reporting with reference to there consolidated financial
MANAGEMENT’S RESPONSIBILITY FOR INTERNAL statements assessing the risk that a material weakness exists,
FINANCIAL CONTROLS and testing and evaluating the design and operating
The respective Board of Directors of the Holding Company, its effectiveness of internal control based on the assessed risk.
subsidiary company and its joint venture company, which are The procedures selected depend on the auditor’s judgement,
companies incorporated in India, are responsible for including the assessment of the risks of material misstatement of
establishing and maintaining internal financial controls based the financial statements, whether due to fraud or error.
on the internal control over financial reporting criteria
established by the Holding Company considering the essential We believe that the audit evidence we have obtained is sufficient
components of internal control stated in the Guidance Note on and appropriate to provide a basis for our audit opinion on the
Audit of Internal Financial Controls over Financial Reporting internal financial controls over financial reporting with reference
issued by the Institute of Chartered Accountants of India. These to these consolidated financial statements.
responsibilities include the design, implementation and
maintenance of adequate internal financial controls that were MEANING OF INTERNAL FINANCIAL CONTROLS OVER
operating effectively for ensuring the orderly and efficient FINANCIAL REPORTING
A company’s internal financial control over financial reporting
conduct of its business, including adherence to the respective
with reference to these consolidated financial statements is a
company’s policies, the safeguarding of its assets, the prevention
process designed to provide reasonable assurance regarding
and detection of frauds and errors, the accuracy and
the reliability of financial reporting and the preparation of
completeness of the accounting records, and the timely
financial statements for external purposes in accordance with
preparation of reliable financial information, as required under the
generally accepted accounting principles. A company’s internal
financial control over financial reporting with reference to
AUDITOR’S RESPONSIBILITY these consolidated financial statements includes those
Our responsibility is to express an opinion on the company’s policies and procedures that (1) pertain to the maintenance
internal financial controls over financial reporting with reference of records that, in reasonable detail, accurately and fairly
to these consolidated financial statements based on our audit. reflect the transactions and dispositions of the assets of the
We conducted our audit in accordance with the Guidance Note company; (2) provide reasonable assurance that transactions
on Audit of Internal Financial Controls Over Financial are recorded as necessary to permit preparation of financial
Reporting (the “Guidance Note”) and the Standards on Auditing, statements in accordance with generally accepted accounting
both, issued by Institute of Chartered Accountants of India, and principles, and that receipts and expenditures of the
deemed to be prescribed as under section 143(10) of the Act, to company are being made only in accordance with
the extent applicable to an audit of internal financial controls. authorisations of management and
Those Standards and the Guidance Note require that we directors of the company; and (3) provide reasonable assurance
comply with ethical requirements and plan and perform the regarding prevention or timely detection of unauthorised
audit to obtain reasonable assurance about whether adequate acquisition, use, or disposition of the company’s assets that
internal financial controls over financial reporting with could have a material effect on the financial statements.
reference to these consolidated financial statements was
established and maintained and if such controls operated
effectively in all material respects.
1 J.K. Cement
INHERENT LIMITATIONS OF INTERNAL FINANCIAL

OPINION
CONTROLS OVER FINANCIAL REPORTING WITH REFERENCE
In our opinion, the Holding Company, its subsidiary company
TO THESE CONSOLIDATED FINANCIAL STATEMENTS
and its joint venture company, which are companies
Because of the inherent limitations of internal financial controls
incorporated
over financial reporting with reference to these consolidated
in India, have, in all material respects, an adequate internal
financial statements including the possibility of collusion
financial controls over financial reporting with reference to
or improper management override of controls, material
these consolidated financial statements and such internal
misstatements due to error or fraud may occur and not be
financial controls over financial reporting with reference to these
detected. Also, projections of any evaluation of the internal
consolidated financial statements were operating effectively
financial controls over financial reporting with reference to
as at March 31, 2018, based on the internal control over
these consolidated financial statements with reference to these
financial reporting criteria established by the Holding
consolidated financial statements to future periods are subject to
Company considering the essential components of internal
the risk that the internal financial control over financial reporting
control stated in the Guidance Note on Audit of Internal
with reference to these consolidated financial statements may
Financial Controls Over Financial Reporting issued by the
become inadequate because of changes in conditions, or that
Institute of Chartered Accountants of India.
the degree of compliance with the policies or procedures may
deteriorate.
Chartered Accountants
per Atul Seksaria

Place : Kanpur Partner
Annual Report 1
Consolidated Balance Sheet | Consolidated Statement of Profit and
CONsOLIDATED BALANCE sHEET

as at 31st March, 2018
`/Lacs
Notes As at As at
31 March 2018 31 March 2017
(Restated)
ASSETS
Non-current assets
Property, plant and equipment 2 4,42,121.39 4,51,839.02
Capital work-in-progress 2 10,426.52 12,674.80
Intangible assets 3 2,212.62 2,332.12
Financial assets
(i) Investments 4 4,135.57 1,500.84
(ii) Loan & Advances 5 3,802.93 13,477.43
Other non-current assets 6 12,338.55 11,337.15
Total non-current assets 4,75,037.58 4,93,161.36
Current assets
Inventories 7 58,980.96 56,089.29
Financial assets
(i) Current investments 8 7,757.62 6,526.00
(ii) Trade receivables 9 23,578.91 20,193.34
(iii) Cash and cash equivalents 10 19,839.53 13,010.96
(iv) Bank balances other than (iii) above 11 36,107.82 30,520.43
(v) Other current financial assets 12 7,442.00 5,266.36
Current tax assets (net) 13 757.45 -
Other current assets 14 15,014.79 16,319.70
Assets held for sale 44 902.61 -
Total current assets 1,70,381.69 1,47,926.08
Total assets 6,45,419.27 6,41,087.44
Equity
Equity share capital 15 6,992.72 6,992.72
Other equity 16 1,90,494.10 1,64,075.83
Equity attributable to equity holders of the J K Cement Ltd. 1,97,486.82 1,71,068.55
Non-controlling interests - 398.74
Total equity 1,97,486.82 1,71,467.29
Liabilities
Non-current liabilities
(i) Borrowings 17 2,57,410.51 2,87,014.50
(ii) Other financial liabilities 18 20,678.88 17,671.71
Long-term provisions 19 2,737.12 2,237.99
Deferred tax liabilities (net) 20 26,696.66 25,986.52
Other non-current liabilities 21 9,232.02 8,633.01
Total non-current liabilities 3,16,755.19 3,41,543.73
Current liabilities
(i) Borrowings 22 15,646.93 22,593.28
(ii) Trade payables 23 43,571.66 42,712.98
(iii) Other financial liabilities 24 50,585.13 45,931.78
Other current liabilities 25 19,091.31 15,638.19
Short-term provisions 26 2,282.23 1,051.29
Current Tax liability (Net) 13 - 148.90
Total Current liabilities 1,31,177.26 1,28,076.42
Total liabilities 4,47,932.45 4,69,620.15
Total equity and liabilities 6,45,419.27 6,41,087.44
1 J.K. Cement
CONsOLIDATED sTATEMENT OF PROFIT AND LOss

For the year ended 31st March, 2018
`/Lacs
Notes For the year ended For the year ended
31 March 2018 31 March 2017
(Restated)
Revenue from operations 27 5,02,047.63 4,65,399.91
Other income 28 12,813.85 9,843.01
Total income 5,14,861.48 4,75,242.92
EXPENSES
Cost of materials consumed 29 78,185.98 68,647.53
Purchase of Stock in Trade 84.75 92.50
Changes in inventories of finished goods, stock-in-Trade and work-in-progress 30 1,869.13 1,451.83
Employee benefits expenses 31 36,827.86 31,554.28
Finance costs 32 28,409.15 30,266.26
Depreciation and amortization expenses 33 23,132.18 21,694.99
Other expenses 34 3,06,334.45 2,91,042.39
Total Expenses 4,74,843.50 4,44,749.78
Profit/(loss) before exceptional items and tax 40,017.98 30,493.14
Exceptional items 45 1,696.15 1,931.62
Profit/(loss) before tax 38,321.83 28,561.52
Tax expense:
Current tax 9,413.62 7,047.08
Deferred tax charged/(credit) 20 349.45 4,320.39
Earlier Years Tax Adjustments - (2.75)
Profit/ (loss) for the year 28,558.76 17,196.80
Items that will not be reclassified to profit or loss
Remeasurement gains/(losses)of defined benefit plans 195.55 48.17
Income tax relating to remeasurement of defined benefit plans (67.67) (16.67)
Exchange differences on translations 1,680.07 (1,896.15)
1,807.95 (1,864.65)
Total comprehensive income for the year 30,366.71 15,332.15
Profit attributable to:
Equity holders of the J K Cement Limited 28,957.50 17,773.53
Non-controlling interests (398.74) (576.73)
28,558.76 17,196.80
Other comprehensive income attributable to:
Equity holders of the J K Cement Limited 1,807.95 (1,864.65)
Non-controlling interests - -
1,807.95 (1,864.65)
Total comprehensive income attributable to:
Equity holders of the J K Cement Limited 30,765.45 15,908.88
Non-controlling interests (398.74) (576.73)
30,366.71 15,332.15
Earnings per equity share (`) 35
Basic 41.41 25.42
Diluted 41.41 25.42

date
Annual Report 1
Consolidated Statement of Cash
STATEMENT OF CONsOLIDATED CAsH FLOW

for the year ended 31 March 2018
`/Lacs
For the year ended For the year

31 March 2018 ended 31
March 2017
(Restated)
A. CASH FLOW FROM OPERATING ACTIVITIES
Net Profit before tax 38,321.83 28,561.52
Adjustment for :-
Depreciation & amortization expenses 23,132.18 21,694.99
Loss on the sale of property, plant & equipment/ Impairment 1,748.14 2,709.84
Interest paid 27,698.35 29,513.52
Interest received (4,220.12) (4,239.57)
Bad Debts / Loans and Advances 9.85 1,000.00
Provision for doubtful debts / loans and advances 174.68 172.25
Profit on sale of current Investment (171.73) (239.67)
Net fair value gain on financial assets measured at fair value through profit or loss (284.83) 165.04
Net loss on unrealised Foreign Currency transactions and translation (83.80) -
Mines restoration charges 14.40 21.48
Operating Profit Before Working Capital Changes 86,338.95 79,359.40
Movements in working capital :-
Increase / (Decrease) in Trade Payables 858.68 (411.18)
Increase / (Decrease) in Other financial liabilities 8,957.60 (1,865.99)
Increase / (Decrease) in Other liabilities 4,052.13 11,033.03
Increase / (Decrease) in provisions 4,101.51 (435.39)
(Increase )/ Decrease in Inventories (2,891.67) (6,778.68)
(Increase)/ Decrease in Trade receivables (3,570.10) (230.84)
(Increase)/ Decrease in Other financial assets (738.37) (2,009.77)
(Increase)/ Decrease in Other assets 1,161.98 4,854.71
Cash Generated From Operations 98,270.71 83,515.29
Less : Income Tax Paid (inclusive of tax deducted at source) (9,959.28) (6,334.08)
Net Cash From Operating Activities 88,311.43 77,181.21
B. CASH USED IN INVESTING ACTIVITIES
Proceed from maturity of fixed deposit (31,015.47) (30,410.69)
Investment in fixed deposit 35,277.57 -
Acquisition/Purchase of property, plant & equipment (20,179.56) (40,371.48)
Sale of property, plant & equipment 5,751.87 1,976.15
Investment in Equity, Mutual funds & Bonds (65,766.35) (17,691.76)
Intercorporate loan given (4,500.00) (7,862.00)
Repayment of intercorporate loan 4,500.00 7,862.00
Sale of Current Investment / Impairment 62,071.73 17,767.85
Interest received 4,279.45 3,813.84
Net Cash Used In Investing Activities (9,580.76) (64,916.09)
1 J.K. Cement
STATEMENT OF CONsOLIDATED CAsH FLOW

for the year ended 31 March 2018
`/Lacs
31 March 2018 31 March 2017
(Restated)
C. CASH USED IN FINANCING ACTIVITIES
Advance to Related Party (1,302.96) (915.89)
Increase in Long Term Borrowings (0.00) 75,105.33
Deffered Sales Tax / VAT 2,314.27 (1,702.51)
Net proceeds from Long Term Borrowings (1,910.33) -
Cash Credit Accounts (6,946.35) (2,342.27)
Repayment of Long Term Borrowings (31,247.05) (71,828.27)
Vehicle Loans 132.75 199.45
Interest Expense Paid (inclusive of tax deducted at source) (27,889.48) (29,709.61)
Dividend paid (6,733.02) (3,366.51)
Net Cash Used in Financing Activities (73,582.17) (34,560.28)
Net Increase/( Decrease ) in Cash and Cash Equivalents 5,148.50 (22,295.16)
Exchange rate fluctuation reserve on conversion 1,680.07 (1,896.15)
Cash and Cash Equivalents at the beginning of the year 13,010.96 37,202.27
Cash and Cash Equivalents at the end of the year 19,839.53 13,010.96
5,148.50 (22,295.16)
Notes :
1. Cash and cash equivalents includes cash in hand and bank balances including Fixed Deposits.

Annual Report 1
Consolidated Statement of Changes in Equity |
STATEMENT OF CHANGEs IN EQUITY

for the year ended 31st March 2018
(A) EQUITY SHARE CAPITAL

`/Lacs
As at As at
31 March 2018 31 March 2017
Balance at the beginning of the year (equity share of ` 10/- each issued, subscribed & paid up) 6,992.72 6,992.72
Changes in equity share capital during the year - -
Balance at the end of the reporting period (equity share of ` 10/- each issued,subsribed & paid up) 6,992.72 6,992.72
(B) OTHER EQUITY
`/Lacs
Reserves and Surplus
Retained
Securities earnings Total Non-
Debenture
premium General (including controlling Total
redemption interests
reserve other
account reserve comprehensive
income)
Balance at 31 March 2016 25,988.60 8,244.45 69,501.31 47,975.39 1,51,709.75 975.47 1,52,685.22
Profit for the year - - - 17,773.53 17,773.53 (576.73) 17,196.80
Other comprehensive income/ (loss) for - - - (1,864.65) (1,864.65) (1,864.65)
the year
Total comprehensive income for the year - - - 15,908.88 15,908.88 (576.73) 15,332.15
Amortisation of mining rights - - (176.29) (176.29) (176.29)
Transfer to/(from) general reserve - 5,000.00 (5,000.00) - -
Transfer to/(from) debenture redemption - 1,710.65 (1,710.65) - -
reserve
Dividend paid - (2,797.09) (2,797.09) (2,797.09)
Dividend distribution tax - (569.42) (569.42) (569.42)
Balance at 31 March 2017 (Restated) 25,988.60 9,955.10 74,325.02 53,807.11 1,64,075.83 398.74 1,64,474.57
Profit for the year - - - 28,957.50 28,957.50 (398.74) 28,558.76
Other comprehensive income for the year - - - 1,807.95 1,807.95 1,807.95
Total comprehensive income for the year - - - 30,765.45 30,765.45 (398.74) 30,366.71
Dividend on 3% preference shares 2,385.84 2,385.84 2,385.84
Transfer to/(from) general reserve - - 6,000.00 (6,000.00) - -
Transfer to/(from) debenture redemption - 9.40 - (9.40) - -
reserve
Dividend paid (5,594.18) (5,594.18) (5,594.18)
Dividend distribution tax (1,138.84) (1,138.84) (1,138.84)
Balance at 31 March 2018 25,988.60 9,964.50 80,325.02 74,215.98 1,90,494.10 - 1,90,494.10

1 J.K. Cement
NOTEs
to the consolidated financial statements for the year ended 31st March, 2018
1. CORPORATE INFORMATION
the appropriate headings. Details of the joint
I. Reporting Entity
operation as set out in note 47(3).
The consolidated financial statement comprise statement
of JK Cement limited, its subsidiaries and joint venture
These are Group’s separate financial statements.
operation (collectively, the group) for the year ended 31
March 2018. J K Cement Limited (“J K Cement Limited”
These financial statements were authorised for
or “the Company” or the “Parent”) is a public limited
issue by the Board of Directors on 12.05.2018.
company domiciled in India and has its registered
office at Kamla Tower, Kanpur, Uttar Pradesh – 208
(c) The assets and liabilities of foreign operations
001. J K
are translated into INR at the rate of exchange
Cement Limited’s equity shares are listed on National
prevailing at the reporting date and their
Stock Exchange and Bombay Stock Exchange in India.
statements of profit or loss are translated at
exchange rates prevailing at the dates of the
II. Significant Accounting Policies
transactions. For practical reasons, the group
The Group has consistently applied the following
uses an average rate to translate income and
accounting policies to all periods presented in the financial
expense items, if the average rate approximates
statements.
the exchange rates at the dates of the
transactions. The exchange differences arising
1. Basis of consolidation
on translation for consolidation are recognised
(a) The consolidated financial statements of the
in OCI. On disposal of a foreign operation, the
Group have been prepared in accordance
component of OCI relating to that particular
with Indian Accounting Standards (Ind-AS)
foreign operation is recognised in profit or
notified under the Companies (Indian
loss.
Accounting Standards) Rules, 2015 (as
amended from time to time). The financial
(d) The consolidated financial statements have
statements of the
been prepared using uniform accounting
Company and its Subsidiary Company have been
policies for like transactions and other events
consolidated on a line-by-line basis by adding
in similar circumstances and are presented, to
together the book value of like items of assets,
the extent possible, in the same manner as the
liabilities, income and expenses, after eliminating
Company’s separate financial statements.
intra-group balances.
(e) Calendar year as accounting year is adopted by
(b) Bander Coal Company Private Limited
J.K. Cement (Fujairah) FZC and J.K. Cement Works
recognizes its direct right to the assets,
(Fujairah) FZC and the books are being prepared
liabilities, revenues and expenses of joint
on year ending 31.12.2017.
operations and its share
of any jointly held or incurred assets, liabilities,
revenues and expenses. These have been
incorporated in the financial statements under
(f) The Companies considered in the consolidated financial statements of Group are:
Name of the Company Nature of Company Country of Holding as on Date of period consolidation
Incorporation 31.03.2018
J.K. Cement (Fujairah) FZC Subsidiary U.A.E. 100% Calendar year December 2017
J.K. Cement Works (Fujairah) FZC Fellow Subsidiary U.A.E. 90% Calendar year December 2017
Bander Coal Company Pvt Ltd Joint Venture India 37.5% FY 2017-2018
Jaykaycem(Central)Ltd Subsidiary India 100% FY 2017-2018
(g) Profit or loss attributable to ‘non-controlling interest’ and to ‘owners of the parent’ in the statement of profit and loss
is presented as allocation for the period. Further, ‘total comprehensive income’ for the period attributable to ‘non-
Annual Report 1
Consolidated Statement of Changes in Equity |
controlling interest’ and to ‘owners of the parent’ is presented in the statement of profit and loss as allocation for the
period. The aforesaid disclosures for ‘total comprehensive income’ is made in the statement of changes in equity.
1 J.K. Cement
Not
NOTEs
Non-controlling interests’ in the Balance Sheet

the estimated economic life and estimated
and in the Statement of Changes in Equity,
cost of the assets. The Group has analyzed
within equity, is presented separately from the
each lease contract on case to case basis
equity of the ‘owners of the parent’.
to classify the arrangements as operating
and finance lease, based on evaluation of
2. Basis of measurement
the term and conditions of the
The Consolidated financial statements have been
arrangements.
prepared on a historical cost basis except the
following items, which are measured on fair value
– Provision and contingencies
basis on each reporting date:
The assessment undertaken in the
recognizing provision and contingencies
– Certain financial assets and liabilities that is
have been made in accordance with Ind
measured at fair value (Refer Note 41)
AS 37, ‘Provisions, contingent liabilities
and contingent assets’. The evaluation of
– Defined benefit liability/(assets): fair value of
the likelihood of the contingent events
plan assets less present value of defined
has required best judgement by
benefit obligation(Refer Note 38)
management regarding the probability of
exposure to potential loss.
3. Functional and presentation currency
These financial statements are presented in Indian
B. Assumptions and estimation uncertainties
National Rupee (‘INR’), which is the Company’s
The key assumptions concerning the future
functional currency. All amounts have been rounded
and other key sources of estimation uncertainty
to the nearest lacs up to two decimal places unless
at the reporting date, that have a significant
otherwise indicated.
risk of causing a material adjustment to the
carrying amounts of assets and liabilities
4. Use of judgements and estimates
within the next financial year, are described
In preparing these financial statements, management
below, the Group based its assumptions and
has made judgements, estimates and assumptions
estimates on parameters available when the
that affect the application of the Group’s accounting
financial statements were prepared. Existing
policies and the reported amounts of assets, liabilities,
circumstances and assumptions about
income , expenses, and the accompanying
future development, however, may change
disclosures, and the disclosure of contingent
due to
liabilities. Uncertainty about these assumptions and
market change or circumstances arising that
estimates could result in outcomes that require a
are beyond the control of the Group. Such
material adjustment to
changes are reflected in the assumptions when
the carrying amount of assets or liabilities affected in
they occurred.
future periods.
Taxes:
Estimates and underlying assumptions are reviewed
Deferred tax assets are recognized for unused
on an ongoing basis. Revisions to estimates are
tax losses to the extent that it is probable that
recognised prospectively.
taxable profit will be available against which the
losses can be utilized. Significant management
A. Judgements
judgement is required to determine the
Information about the judgements made in
amount of deferred tax assets that can be
applying accounting policies that have the most
recognized, based upon the likely timing and
significant effects on the amounts recognised in
the level of future taxable profits together with
the financial statements have been given below:
tax planning strategy.
– Assessment of lease contracts:

Useful lives of property, plant and equipment
Classification of lease under finance lease or
The estimated useful lives of property, plant
operating requires judgement with regard
and equipment are based on a number of
to
1 J.K. Cement
factors including the effects of obsolescence,
Annual Report 1
Not
NOTEs
demand, competition, internal assessment of

– Expected to be realised within twelve months
user experience and other economic factors
after the reporting period, or
(such as the stability of the industry, and
known technological advances) and the level
– Cash and cash equivalent unless restricted from
of
being exchanged or used to settle a liability for at
maintenance expenditure required to obtain the
least twelve months after the reporting period.
expected future cash flows from the asset. The
Group reviews the useful life of property, plant
All other assets are classified as non-current.
and equipment at the end of each reporting date.
A liability is treated as current when:
Post-retirement benefit plans
Employee benefit obligations (gratuity
– It is expected to be settled in normal operating
obligations) are determined using actuarial
cycle.
valuation. An actuarial valuation involves
making various assumptions that may differ
– It is held primarily for the purpose of trading
from actual developments in the future. These
include the determination of the discount rates,
– It is due to be settled within twelve months after
future
the reporting period, or
salary increases and Mortality rates. Due to the
complexities involved in the valuation and its
– There is no unconditional right to defer
long term natures, a defined benefit obligation is
the settlement of the liability for at least
highly sensitive to changes in these
twelve months after the reporting period.
assumptions. All assumptions are reviewed at
each reporting date.
All other liabilities are classified as non-current.
Fair value measurement of financial

Deferred tax liabilities are classified as non-current
instruments
liabilities.
The fair value of financial assets and financial
liabilities recorded in the balance sheet in
The operating cycle is the time between the acquisition
respect of which quoted prices in active markets
of the assets for processing and their realisation in
are available and measured using valuation
cash and cash equivalents. The Group has identified
techniques. The inputs to these models are
twelve months as its operating cycle.
taken from observable markets where possible,
but where this is not feasible, a degree of
6. Property, plant and equipment
judgement is required in establishing fair values.
Recognition and measurement
Judgements include considerations of inputs
Items of property, plant and equipment are stated at
such as liquidity risk, credit risk and volatility.
cost less accumulated depreciation and
Changes in assumptions about these factors
accumulated impairment loss, if any. The cost of
could affect the reported fair value of financial
assets comprises of purchase price and directly
instruments.
attributable cost
of bringing the assets to working condition for its
5. Classification of Assets and Liabilities as Current and
intended use including borrowing cost and incidental
Non-Current
expenditure during construction incurred upto the
The Group presents assets and liabilities in the
date when the assets are ready to use. Capital work in
balance sheet based on current/ non-current
progress includes cost of assets at sites, construction
classification. An asset is treated as current when it is:
expenditure and interest on the funds deployed.
– Expected to be realised or intended to be sold

If significant parts of an item of property, plant and
or consumed in normal operating cycle.
equipment have different useful lives, then they are
accounted for as a separate items (major
– Held primarily for the purpose of trading
components) of property, plant and equipment.
1 J.K. Cement
NOTEs
Any gain/ (loss) on disposal of property, plant and lives are realistic and reflect approximation of the period over
equipment is recognised in statement of profit and which the assets are likely to be used.
loss.
Subsequent Measurement
Subsequent expenditure is capitalised only if it is
Group.
Depreciation
Depreciation on Property, plant and equipment
(PPE) is calculated using the straight-line method
(SLM)
to allocate their cost, net of their residual values,
over their estimated useful lives (determined by the
management based on technical estimates). The
assets residual values and useful lives are reviewed
and adjusted if appropriate, at the end of each
reporting period.
Leasehold land is being amortised over the period

of lease tenure.
The management estimates the useful lives for the

property, plant and equipment, except leasehold land
as follows –
Tangible Assets Life

Factory building 03-30 Years
Non factory building 03-60 Years
Plant and machinery 02-40 Years
Vehicles 04-10 Years
Furniture and fixtures 03-15 Years
Office equipment 03-05 Years
Railway slidings 05-18 Years
Freehold Mining Land is depleted according to the

‘unit of production’ method by reference to the ratio
of extraction of limestone in the year to the related
reserves of limestone.
Leasehold Land is amortized on a straight line basis

over the primary lease period.
Limestone reserves are estimated by the

management based on the internal best estimates or
independent expert’s valuation as considered
appropriate. These estimates are reviewed at least
annually.
The management believes that the estimated useful
Annual Report 1
Not
7. Intangible assets
Intangible Assets are stated at cost less
accumulated amortization and impairment
loss, if any. Intangible assets are amortized
on straight line method basis over the
estimated useful life. Estimated useful life of
the Software is considered as 3 years.
Subsequent expenditure is capitalised only if it

is probable that the future economic benefits
Group.
Amortisation methods, useful lives and

residual values are reviewed in each financial
year end and changes, if any, are accounted for
prospectively.
8. Financial instruments
A financial instrument is any contract that
gives rise to asset of one entity and a financial
liability or equity instrument of another entity.
Financial instruments also include derivative
contracts such as foreign currency forward
contracts, cross currency interest rate swaps,
interest rate swaps and currency options; and
embedded derivatives in the host contract.
Financial Assets
All financial assets are recognised initially at fair
value plus, in the case of financial assets not
recorded at fair value through profit or loss,
transaction costs that are attributable to the
acquisition of the financial asset.
Purchases or sales of financial assets that

require delivery of assets within a time frame
established by regulation or convention in the
market place (regular way trades) are
recognized on the trade date, i.e., the date
that the Group commits to purchase or sell
the asset.
Classifications
The Group classifies its financial assets as
subsequently measured at either amortised
cost or fair value depending on the Group’s
business model for managing the financial
assets and the contractual cash flow
characteristics of the financial assets.
Business model assessment

The Group makes an assessment of the
objective of a business model in which an
asset is held at an
instrument level because this best reflects the way
the business is managed and information is provided
to management.
1 J.K. Cement
NOTEs
Debt instruments at amortised cost

investment that is not held for trading, the Group may
A financial asset is measured at amortised cost only if
irrevocably elect to present subsequent changes in
both of the following conditions are met:
fair value in OCI. This election is made on an
investment- by-investment basis.
– It is held within a business model whose
objective is to hold assets in order to collect
All other Financial Instruments are classified as
contractual cash flows.
measured at FVTPL.
– The contractual terms of the financial asset

Derecognition of financial assets
represent contractual cash flows that are solely
A financial asset (or, where applicable, a part of a
payments of principal and interest.
financial asset or part of a group of similar financial
assets) is primarily derecognised (i.e. removed from
After initial measurement, such financial assets are
the Group’s balance sheet) when:
subsequently measured at amortised cost using the
Effective Interest Rate (‘EIR’) method. Amortised cost
– The rights to receive cash flows from the asset
is calculated by taking into account any discount or
have expired, or
premium on acquisition and fees or costs that are
an integral part of the EIR. The EIR amortisation is
– The Group has transferred its rights to receive
included as finance income in the profit or loss. The
cash flows from the asset or has assumed an
losses arising from impairment are recognised in the
obligation to pay the received cash flows in full
profit or loss.
without material delay to a third party under a
‘pass-through’ arrangement; and either (a) the
Debt instrument at fair value through Other
Group has transferred substantially all the
Comprehensive Income (FVOCI)
risks and rewards of the asset, or (b) the
Debt instruments with contractual cash flow
Group has neither transferred nor retained
characteristics that are solely payments of principal
substantially all the risks and rewards of the
and interest and held in a business model whose
asset, but has transferred control of the asset
objective is achieved by both collecting contractual
cash flows and selling financial assets are classified
When the Group has transferred its rights to receive
to be measured at FVOCI.
cash flows from an asset or has entered into a
pass-through arrangement, it evaluates if and
Debt instrument at fair value through profit and loss
to what extent it has retained the risks and
(FVTPL)
rewards of ownership. When it has neither
Any debt instrument, which does not meet the criteria
transferred nor
for categorization as at amortized cost or as FVOCI, is
retained substantially all of the risks and rewards of
classified as at FVTPL.
the asset, nor transferred control of the asset, the
Group continues to recognize the transferred asset
In addition, the Group may elect to classify a debt
to the extent of the Group’s continuing involvement.
instrument, which otherwise meets amortized cost
In that case, the Group also recognizes an
or FVOCI criteria, as at FVTPL. However, such
associated liability. The transferred asset and the
election is allowed only if doing so reduces or
associated
eliminates a
liability are measured on a basis that reflects the rights
measurement or recognition inconsistency (referred
and obligations that the Group has retained.
to as ‘accounting mismatch’).
Continuing involvement that takes the form of a
Debt instruments included within the FVTPL
guarantee over the transferred asset is measured at
category are measured at fair value with all changes
the lower of the original carrying amount of the asset
recognized in the profit and loss.
and the maximum amount of consideration that the
Equity Instruments
Group could be required to repay.
All equity instruments in scope of Ind AS 109 are
measured at fair value. On initial recognition an equity
On derecognition of a financial asset, the difference
Annual Report 1
Not
between the carrying amount of the asset (or the
1 J.K. Cement
NOTEs
carrying amount allocated to the portion of the asset

financial liabilities designated upon initial recognition
derecognised) and the sum of (i) the consideration
as at fair value through profit or loss. Financial
received (including any new asset obtained less any
liabilities are classified as held for trading if they are
new liability assumed) and (ii) any cumulative gain or
incurred for the purpose of repurchasing in the near
loss that had been recognised in OCI is recognised in
term.
profit or loss.
Gains or losses on liabilities held for trading are
Impairment of financial assets
The Group assesses on a forward looking basis
the expected credit losses associated with its
Financial liabilities designated upon initial
assets carried at amortised cost The impairment
recognition at fair value through profit or loss are
methodology applied depends on whether there has
designated as such at the initial date of recognition,
been a significant increase in credit risk.
and only if the criteria in Ind AS 109 are satisfied.
For liabilities designated as FVTPL, fair value gains/
With regard to trade receivable, the Group applies
losses attributable to changes in own credit risk
the simplified approach as permitted by Ind AS
are recognized in OCI. These gains/ loss are not
109, Financial Instruments, which requires expected
subsequently transferred to P&L. However, the Group
lifetime losses to be recognised from the initial
may transfer the cumulative gain or loss within equity.
recognition of the trade receivables.
All other changes in fair value of such liability are
recognised in the statement of profit or loss.
Derecognition of financial liabilities
Financial liabilities are classified, at initial recognition,
The Group derecognises a financial liability when its
as financial liabilities at fair value through profit or
contractual obligations are discharged or cancelled, or
loss, amortised cost, as appropriate.
expire.
All financial liabilities are recognised initially at fair

Reclassification of financial assets
value and, in the case of amortised cost, net of directly
The Group determines classification of financial
attributable transaction costs.
assets and liabilities on initial recognition. After
initial recognition, no reclassification is made for
Subsequent measurement
financial assets which are equity instruments and
The measurement of financial liabilities depends on
financial liabilities. For financial assets which are debt
their classification, as described below:
instruments, a reclassification is made only if there is
a change in the business model for managing those
Financial Liabilities measured at amortised cost
assets. Changes to the business model are expected
After initial recognition, interest-bearing loans and
to be infrequent. The Group ’s senior management
borrowings are subsequently measured at
determines change in the business model as a result
amortised cost using the EIR method. Gains and
of external or internal changes which are significant
losses are recognised in profit or loss when the
to the Group ’s operations. Such changes are evident
liabilities are derecognised as well as through the
to external parties. A change in the business model
EIR amortisation process.
occurs when the Group either begins or ceases to
perform an activity that is significant to its operations.
Amortised cost is calculated by taking into
If the Group reclassifies financial assets, it applies the
account any discount or premium on acquisition
reclassification prospectively from the reclassification
and fees or costs that are an integral part of the
date which is the first day of the immediately next
EIR. The
reporting period following the change in business
EIR amortisation is included as finance costs in the
model. The Group does not restate any previously
statement of profit and loss.
recognized gains, losses (including impairment gains
or losses) or interest.
Financial liabilities at fair value through profit or loss
Financial liabilities at fair value through profit or
loss include financial liabilities held for trading and
Annual Report 1
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9. Inventories
Inventories are valued as follows:
Raw materials, packing Lower of cost and net realisable value. Cost is determined on a moving weighted average basis.
materials, stores and Materials and other items held for use in the production of inventories are at cost not written down
spares below costs, if finished goods in which they will be incorporated are expected to be sold at or above
cost
Work-in-progress, finished Lower of cost and net realisable value. Cost includes direct materials, labour and a proportion of
goods and traded goods manufacturing overheads. Cost of finished goods includes excise duty, wherever applicable.
Waste At net realisable value
Net realisable value is the estimated selling price in the ordinary course of business, less estimated costs of completion
and to make the sale.
10. Provisions, Contingent Liabilities and Assets is recognized in the accounts. The total estimated
Provisions are recognised when the Group has a
present legal or constructive obligation as a result of
past events, it is probable that an outflow of resources
will be required to settle the obligation and the
amount can be reliably estimated. Provisions are
not recognised for future operating losses.
Provisions are measured at the present value of

management’s best estimate of the expenditure
required to settle the present obligation at the end
of the reporting period. The discount rate used to
determine the present value is a pre-tax rate that
reflects current market assessments of the time value
of money and the risks specific to the liability. The
increase in the provision due to the passage of time
is recognised as interest expense.
Where it is not probable that an outflow of

economic benefits will be required, or the amount
cannot be estimated reliably, the obligation is
disclosed as a contingent liability, unless the
remote. Possible obligations, whose existence will
only be confirmed by the occurrence or non-
occurrence of one or more future uncertain events not
wholly within the control of the Group , are also
disclosed as contingent liabilities unless the
remote.
Contingent Assets are not recognized in the financial

statements. However, when the realization of income
is virtually certain, then the related asset is not a
contingent asset and its recognition is appropriate.
Mines Restoration Expenditure

The expenditure on restoration of the mines based
on technical estimates by Internal/External specialists
1 J.K. Cement
restoration expenditure is apportioned over the

estimated quantity of mineral resources (likely to be
made available) and provision is made in the
accounts based on minerals mined during the year.
11. Revenue Recognition

Revenue is recognised to the extent that it is
probable that the economic benefits will flow to the
Group and the revenue can be reliably measured,
regardless
of when the payment is being made. Revenue is
received or receivable, taking into account
contractually defined terms of payment and
excluding taxes or duties collected on behalf of the
government. The Group has concluded that it is
acting as a principal in all of its revenue
arrangements since it is the primary obliger in all the
revenue arrangements as it has pricing latitude and
is also exposed to inventory and credit risks. Based
on the education material
on Ind AS 18 issued by the ICAI, the Group assumed
that recovery of excise duty flows to the Group on its
own account. This is for the reason that it is a liability
of the manufacturer which forms part of the cost of
production, irrespective of whether the goods are
sold or not. Since the recovery of excise duty flows to
the Group on its own account, revenue includes
excise duty.
However, sales tax/value added tax (VAT) goods &

service tax (GST) is not received by the Group on
its own account. Rather, it is tax collected on
value added to the commodity by the seller on
behalf of
the government. Accordingly it is excluded from the
revenue. The specific recognition criteria described
below must also be met before revenue is
recognised.
(a) Sale of goods

Revenue is recognised when the significant
risk and rewards of ownership have been
transferred
Annual Report 1
Not
NOTEs
to the customer which generally coincide with the

the expected lives of the related assets and presented
delivery of goods, recovery of the consideration
within other income.
is probable, the associated costs and possible
return of goods can be estimated reliably, there
13. Employee benefits
is no continuing management involvement
(i) Short term employee benefits
with the goods, and the amount of revenue
Short-term employee benefits are expensed
can be measured reliably. Revenue is
as the related service is provided. A liability is
recognised for the amount expected to be
received or receivable. Amounts disclosed as
paid if the Group has a present legal or
revenue are inclusive of excise duty upto
constructive obligation to pay this amount as
30.06.2017 and net of returns, trade discounts
a result of past service provided by the
and volume rebates.
employee and the obligation can be estimated
reliably.
(b) Dividend Income from investments is
recognized when the right to receive payment
(ii) Defined contribution plans
is established and recovery is probable.
Obligations for contributions to defined
contribution plans are expensed as the related
(c) Interest income is recognized using the EIR
service is provided. The Group has following
method. The EIR is the rate that exactly discounts
defined contribution plans:
the estimated future cash receipts through the
a) Provident fund
expected life of the financial instrument or a
b) Superannuation scheme
shorter period, where appropriate to the net
carrying amount of the financial asset. The EIR
(iii) Defined benefit plans
is computed basis the expected cash flows by
The Group‘s net obligation in respect of defined
considering all the contractual terms of the
benefit plans is calculated separately for each
financial instrument. The calculation includes all
plan by estimating the amount of future benefit
fees, transaction costs, and all other premiums
that employees have earned in the current and
or discounts paid or received between parties to
prior periods, discounting that amount and
the contract that are an integral part of the
deducting the fair value of any plan assets.
effective interest rate.
The calculation of defined benefit obligations
(d) Insurance Claims: Claims lodged with the
is performed annually by a qualified actuary
insurance Companies are accounted for on
using the projected unit credit method. When
accrual basis to the extent these are
the calculation results in a potential asset
measurable and ultimate collection is reasonably
for
certain.
the Group, the recognised asset is limited to the
present value of economic benefits available in
12. Government Grants and Subsidies
the form of any future refunds from the plan or
Grants from the government are recognised at their
reductions in future contributions to the plan. To
fair value where there is a reasonable assurance
calculate the present value of economic benefits,
that the grant will be received and the Group will
consideration is given to any applicable minimum
comply with all attached conditions.
funding requirements.
Government grants that compensate the Group for

Remeasurement of the net defined benefit
expenses incurred are recognised in profit or loss as
liability, which comprise actuarial gains and
income on a systematic basis in the periods in which
losses, the return on plan assets (excluding
the expense is recognised.
interest) and the effect of the asset ceiling (if
any, excluding interest), are recognised
Government grants relating to the purchase of
immediately in Other Comprehensive Income. Net
property, plant and equipment are included in
interest expense (income) on the net defined
non-current liabilities as deferred income and are
liability (assets) is computed by applying the
credited to profit or loss on a straight-line basis over
1 J.K. Cement
discount rate, used to measure the net

defined liability
Annual Report 1
Not
NOTEs
(asset), to the net defined liability (asset) at the

Sheet date, based on Projected Unit Credit
start of the financial year after taking into account
Method, carried out by an independent
any changes as a result of contribution and
actuary.
benefit payments during the year. Net interest
expense and other expenses related to defined
14. Foreign currency transactions
benefit plans are recognised in profit or loss.
Transactions in foreign currencies are translated into
the Group ’s functional currency at the exchange rates
When the benefits of a plan are changed or
at the dates of the transactions.
when a plan is curtailed, the resulting change in
benefit that relates to past service or the gain
Monetary assets and liabilities denominated in
or loss on curtailment is recognised immediately
foreign currencies are translated into the functional
in profit or loss. The Group recognises gains and
currency at the exchange rate at the reporting date.
losses on the settlement of a defined benefit plan
Non- monetary assets and liabilities that are
when the settlement occurs.
measured at fair value in a foreign currency are
translated into the functional currency at the exchange
The Group has following defined benefit plans:
rate when the fair value was determined. Non-
monetary items that are measured based on
a) Gratuity
historical cost in a foreign currency are translated at
The Group provides for its gratuity liability
the exchange rate at the date of the transaction.
based on actuarial valuation of the gratuity
Foreign currency differences are generally recognised in
liability as at the Balance Sheet date, based
profit or loss.
on Projected Unit Credit Method, carried out
by an independent actuary and contributes
15. Borrowing Cost
to the gratuity fund formed by the Group.
Borrowing costs directly attributable to the
The contributions made are recognized
acquisition, construction or production of an asset
as plan assets. The defined benefit
that necessarily takes a substantial period of time to
obligation as reduced by fair value of
get ready for its intended use or sale are capitalised
plan assets
as part of the cost of the asset. All other borrowing
is recognized in the Balance Sheet. Re-
costs are expensed in the period in which they occur.
measurements are recognized in the
Borrowing costs consist of interest and other costs
Other Comprehensive Income, net of tax in
that an entity incurs in connection with the
the year in which they arise.
borrowing of funds.
Borrowing cost also includes exchange differences to
(iv) Other long-term employee benefits
the extent regarded as an adjustment to the borrowing
The Group’s net obligation in respect of long-term
costs.
employee benefits is the amount of future benefit
that employees have earned in return for their
16. Taxes
service in the current and prior periods. That
Tax expense comprises current and deferred tax. It is
benefit is discounted to determine its present
recognised in profit or loss except to the extent that
value. Re-measurements are recognised in profit
it relates to items recognised directly in equity or in
or loss in the period in which they arise.
The Group has following long term employment

i) Current tax
benefit plans:
Current tax comprises the expected tax payable
or receivable on the taxable income or loss
a) Leave Liability
for the year and any adjustment to the tax
Leave encashment is payable to eligible
payable or receivable in respect of previous
employees at the time of retirement. The
years. It is measured using tax rates enacted
liability for leave encashment, which is a
or substantively enacted at the reporting date.
defined benefit scheme, is provided based
on actuarial valuation as at the Balance
1 J.K. Cement
NOTEs
Current tax assets and liabilities are offset only if,

The carrying amount of deferred tax asset is
the Group:
reviewed on each reporting date.
a) Has a legally enforceable right to set off

Deferred tax assets and liabilities are offset only
the recognised amounts; and
if:
b) Intends either to settle on a net basis, or

a) The entity has a legally enforceable right to
to realise the asset and settle the liability
set off current tax assets against current tax
simultaneously.
liabilities; and
ii) Deferred tax

b) The deferred tax assets and the deferred
Deferred tax is recognised in respect of temporary
tax liabilities relate to income taxes levied
differences between the carrying amounts of
by the same taxation authority on the
assets and liabilities for financial reporting
same taxable entity.
purposes and the amounts used for taxation
purposes. Deferred tax is not recognised for
17. Impairment of non-financial assets
temporary differences on the initial recognition
At each reporting date, the Group reviews the carrying
of assets or liabilities in a transaction that is not
amounts of its non-financial assets (other than
a business combination and that affects
inventories and deferred tax assets) to determine
neither accounting nor taxable profit nor loss.
whether there is any indication on impairment. If any
such indication exists, then the asset’s recoverable
amount is estimated.
tax losses, unused tax credits and deductible
temporary differences to the extent that it is
For impairment testing, assets are grouped
together into the smallest group of assets that
generates cash inflows from continuing use that
Deferred tax assets are reviewed at each
are largely independent of the cash inflows of
reporting date and are reduced to the extent
other assets or Cash Generating Units (‘CGUs’).
that it is no longer probable that the related
tax benefit will be realised; such reductions are
The recoverable amount of an asset or CGU is the
reversed when the probability of future taxable
greater of its value in use and its fair value less costs to
profits improves.
sell. Value in use is based on the estimated future
cash flows, discounted to their present value using a
Unrecognized deferred tax assets are
pre-tax discount rate that reflects current market
reassessed at each reporting date and
assessments of the time value of money and the risks
recognised to the extent that it has become
specific to the asset or CGU.
An impairment loss is recognised if the carrying
amount of an asset or CGU exceeds its recoverable
Deferred tax is measured at the tax rates that are
amount.
expected to be applied to temporary differences
when they reverse, using tax rates enacted or
Impairment loss in respect of assets other than
goodwill is reversed only to the extent that the assets
carrying amount does not exceed the carrying
The measurement of deferred tax reflects the tax
amount that would have been determined, net of
consequences that would follow from the
depreciation or amortisation, if no impairment loss
manner in which the Group expects, at the
had been recognised.
reporting date, to recover or settle the carrying
amount of its assets and liabilities.
Annual Report 1
Not
NOTEs
18. Segment Reporting

allocated between the liability and finance cost. The
Operating segments are reported in a manner
finance cost is charged to the profit or loss over the
consistent with the internal reporting provided to the
lease period so as to produce a constant periodic
chief operating decision maker.
rate of interest on the remaining balance of the liability
for each period.
The board of directors of the Group has been identified
as being the chief operating decision maker by the
Leases in which a significant portion of the risks and
Management of the Group. Refer note 37 for segment
rewards of ownership are not transferred to the
information presented.
Group as lessee are classified as operating leases.
Payments made under operating leases (net of any
19. Cash and cash equivalents
incentives received from the lessor) are charged to
Cash and cash equivalents comprise cash at bank
profit or loss on a straight-line basis over the period of
and on hand and short-term deposits with original
the lease unless the payments are structured to
maturities of three months or less that are readily
increase in line with expected general inflation to
convertible to known amounts of cash and which
compensate for the lessor’s expected inflationary cost
are subject to an insignificant risk of changes in
increases.
value.
21. Earnings Per Share (EPS)
20. Leases
Basic earnings per share are computed by dividing
Leases of property, plant and equipment where the
the profit for the year by the weighted average
Group, as lessee, has substantially all the risks and
number of equity shares outstanding during the
rewards of ownership are classified as finance
period. Diluted earnings per shares is computed by
leases. Finance leases are capitalised at the lease’s
dividing the
inception at the fair value of the leased property or,
if lower, the present value of the minimum lease
equity shares considered for deriving basic earnings
payments.
per shares and also the weighted average number
The corresponding rental obligations, net of finance
of equity shares that could have been issued upon
charges, are included in borrowings or other financial
conversion of all dilutive potential equity shares.
liabilities as appropriate. Each lease payment is
1 J.K. Cement
to the consolidated financial statements for the year ended 31st March,
2. PROPERTY, PLANT AND EQUIPMENT
1
NOT
Not
`/Lacs
Particulars Gross Block Depreciation Net Block
J.K. Cement
Foreign Foreign
Deletions As at Deletions As at As at As at
Opening Additions Exchange Opening Additions Exchange
/ Adj 31.03.2018 / Adj 31.03.2018 31.03.2017 31.03.2018
Impact Impact
Tangible Assets
Freehold land 28,930.11 5,004.11 4,983.85 28,950.37 - - - - 28,930.11 28,950.37
Building 80,606.42 2,660.64 396.46 (321.77) 82,870.60 12,676.78 3,871.51 50.97 (92.19) 16,497.32 67,929.64 66,373.28
Plant and equipment (iv) 4,31,523.48 11,160.40 6,324.39 (287.30) 4,36,359.49 1,07,145.45 16,453.36 3,554.82 (278.09) 1,20,043.99 3,24,378.03 3,16,315.50
Plant & equipment-Others (i) 5,029.13 - - 5,029.13 518.64 299.19 - 817.83 4,510.49 4,211.30
Vehicles 3,636.84 650.76 192.28 (32.72) 4,095.32 1,782.08 439.56 153.99 7.16 2,067.65 1,854.76 2,027.67
Furniture and fixtures 3,787.53 111.40 6.09 42.34 3,892.84 2,059.05 339.33 5.20 (12.80) 2,393.18 1,728.48 1,499.66
Office Equipment 450.53 79.93 12.52 0.61 517.94 243.64 70.96 11.12 (0.63) 303.48 206.89 214.46
Railway sidings 10,297.52 245.88 1.04 10,542.36 1,813.83 677.54 0.12 2,491.25 8,483.69 8,051.11
Rolling stock 89.43 - - 89.43 63.85 8.19 - 72.04 25.58 17.39
Other assets 537.39 90.05 1.32 (53.29) 626.12 313.87 95.55 - 6.91 409.42 223.52 216.70
Assets under Finance Lease - - - - - - - - - -
Leasehold land (iii) 16,315.16 1,368.39 39.17 (40.44) 17,644.38 2,747.33 656.36 3.26 (4.54) 3,400.43 13,567.83 14,243.95
Total 581,203.54 21,371.56 11,957.12 (692.57) 5,90,617.98 1,29,364.52 22,911.55 3,779.48 (374.18) 1,48,496.59 4,51,839.02 4,42,121.39
Capital work-in-progress(ii) 12,674.80 10,968.22 13,216.50 10,426.52 - - - - 12,674.80 10,426.52
Total 5,93,878.34 32,339.78 25,173.62 (692.57) 6,01,044.50 1,29,364.52 22,911.55 3,779.48 (374.18) 1,48,496.59 4,64,513.82 4,52,547.91
(i) Cost incurred by company ownership of which vest with State Electricity Boards & Indian Railways.
(ii) The amount of ` 13,216.50 lacs represents the amount capitalised during the year
(iii) It includes freehold land for minning having cost of 3274.81/- (31st March 2017 : 3082.44/-), amortisation of 117.66/- (31st March 2017 : 74.16/-) and net block
of 2,449.95/- (P.Y. 2,375.24/-)
(iv) Property , plant & equipmetnt pledged as security: Refer note no. 17(a) for information on property, plant & equipment pledged as security by the company.
(v) The title deeds of immovable properties included in property, plant and equipment are held in the name of the Company except for 1 case of
leasehold land and 4 cases of freehold land amounting to gross block of ` 1,353.07 lacs (net block: ` 177.29 lacs) and gross block of ` 225.64 lacs (net block:
` 225.64 lacs) respectively as at March 31, 2018 for which title deeds are in the name of the erstwhile company that merged with the Company
pursuant to a scheme of amalgamation and arrangement as approved by the honourable High Court in earlier years.
(vi) Assets related to Thermal Power Plant and other DG Set at Rajasthan Location are decapitalised & kept for final disposal. Refer Note No.44 & 45.
3. INTANGIBLE ASSETS
NOT
`/Lacs
World of J.K.
Particulars Gross Block Depreciation Net Block
Opening Additions Deletions Foreign As at Opening Additions Deletions Foreign As at As at As at
/ Adj Exchange 31.03.2018 / Adj Exchange 31.03.2018 31.03.2017 31.03.2018
Impact Impact
Intangible Assets
Computer Software 739.47 149.59 48.46 840.60 182.50 220.63 - 403.13 556.97 437.47
Minning Rights 1,877.38 - - 1.15 1,877.38 102.23 - - 0.06 102.23 1,775.15 1,775.15
Total 2,616.85 149.59 48.46 1.15 2,717.98 284.73 220.63 - 0.06 505.36 2,332.12 2,212.62
Statutory
Financial
Annual Report
1
Not
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
4 NON CURRENT INVESTMENTS
A. Investment in equity instruments (fully paid-up)
Unquoted (at FVTPL)
- 8000 (31st March 2017 : 5200) equity shares of ReNew Wind Energy AP (Pvt.) Ltd. (Face value ` 10 each) 8.00 5.20
- 3140101(31st March 2017 : 3140101) equity shares of VS Legnite Power Pvt. Ltd. (Face value ` 10) ## - -
B. Investment in preference shares (fully paid up) Unquoted (at FVTPL)
- 2785552(31st March 2017 : 2785552) 0.01% cumulative redeemable Preference shares in VS Legnite - -
Power Pvt. Ltd. (Face value ` 10)##
C. Investment In Mutual Funds
Quoted (at FVTPL)
5000000( 31st March 2017:5000000) HDFC fmp 1302D Sep2016(1)Regular-Growth -Series-37 Maturity 569.69 500.00
date2020
5000000( 31st March 2017:5000000) HDFC fmp 1188D Mar-2017(1)-Regular-Growth-Series38- Maturity 540.32 500.00
date-29-6-2020
5000000 (31st March 2017: Nil) UTI FITF Series XXVII-II (1161 Days) 522.56 -
5000000( 31st March 2017:NIL) ICICI Prudential Fixed Maturity Plan Series 82-1187 Days 508.53 -
5000000( 31st March 2017:NIL) ICICI Prudential Fixed Maturity Plan Series 82-1136 Days 501.51 -
D. Investments in Bonds (Quoted) (at FVTPL)
50 (31st March 2017:50) State bank of India SR-III 8.39% BD perpetual Bonds, Face value per Bond 494.15 495.64
` 1000000 purchased @991285
50 (31st March 2017:NIL) State bank of India SR-II 8.75% BD perpetual Bonds, Face value per Bond 499.44 -
` 1000000 purchased @1007773
50 (31st March 2017:NIL) Punjab National Bank SR- VIII, 8.95% BD perpetual Bonds, Face value per 491.37 -
Bond
` 1000000 purchased @1006175
4,135.57 1,500.84
Aggregate amount of market value of quoted investment 4,127.57 1,495.64
Aggregate amount of unquoted investment 8.00 5.20
##
The fair value of investment is Nil (31 March 2017: Nil).
`/Lacs
As at As at
31 March 2018 31 March 2017
5 NON CURRENT LOAN & ADVANCES
(unsecured, considered good)
Fixed Deposits* 563.76 10,413.25
Vehicle Loan Recoverable 143.41 12.03
3,802.93 13,477.43
*Non Current Fixed Deposits includes deposit of ` 27.16 Lacs (31 March 2017 is ` 112.82 Lacs ) pledged against overdraft /other commitments.
1 J.K. Cement
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
6 OTHER NON-CURRENT ASSETS
Capital Advances 10,579.16 9,720.69
Prepaid Rent 29.43 26.92
Deferred Employee Compensation 26.03 25.69
Deposit under protest with Govt Authorities 1,581.52 1,432.92
12,338.55 11,337.15
`/Lacs
As at As at
31 March 2018 31 March 2017
7 INVENTORIES
(Valued at lower of cost and net realisable value)
Raw Materials 8,977.25 8,492.07
Work-in-Process 7,412.67 8,584.16
Finished goods 7,343.63 8,032.86
Stock-in-Trade 8.04 16.45
Consumable Stores and Spares (net of provisions for non-moving inventores of ` 108.75 lacs (31 30,542.79 29,625.49
March 2017: ` 38.91)
Goods in transit :
- Consumable Stores and Spares 4,696.58 1,338.26
58,980.96 56,089.29
Refer to note 17 for information on inventories pledged as security by the company.
`/Lacs
As at As at
31 March 2018 31 March 2017
8 CURRENT INVESTMENTS
Investment in Mutual Funds
Quoted (at FVTPL)
- 6568620.89(31st March 2017 : 6568620.89) units in “ICICI Prudential Regular Income fund” 1,151.85 1,076.47
- 1774748.873 (31st March 2017 : 1774748.873) units in “HDFC Regular Saving – Growth” 611.12 575.19
- 2721606.837(31st March 2017 : 2721606.837) units in Edelweiss Mutual Fund “Edelweiss Government 389.06 372.44
Securities Regular- Growth”
- 9322487.4370 (31st March 2017 :3180661.58) units in “ Axis Regular Saving Fund –Regular Plan Growth” 1,579.11 500.81
- 73605.432(31st March 2017 : 39292.91) units in “SBI Premier Liquid fund -DIR Plan Growth” 2,005.30 1,000.28
-44082.999 (31st March 2017 : 46894.59) units in HDFC Liquid Fund Growth 1,504.04 1,500.46
-Nil ( 31st March 2017 :86538.37) units in IDBI Liquid Fund -Regular Plan-Growth - 1,500.35
-2353040.835 ( 31st March 2017 :Nil) units in Birla Sun Life(BSL) 517.14 -
Aggreegate amount of quoted Investments 7,757.62 6,526.00
Annual Report 1
Not
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
9 TRADE RECEIVABLES
Secured
Unsecured
Considered doubtful 959.87 739.12
Less: Provision for doubtful balances 959.87 739.12
23,578.91 20,193.34
Refer to Note 17 for information on Trade receivables pledged as security by the company.
`/Lacs
As at As at
31 March 2018 31 March 2017
10 CASH AND CASH EQUIVALENTS
Balance with banks:
- In current accounts 3,566.47 4,007.82
-Fixed Deposits with maturity of upto 3 months 14,060.34 8,944.68
Cash on hand 41.31 33.23
Cheques in hand 2,171.41 25.23
19,839.53 13,010.96
`/Lacs
As at As at
31 March 2018 31 March 2017
11 OTHER BANK BALANCES
Earmarked Bank balances# 117.88 99.20
Fixed Deposits for more than 3 months & upto one year* 35,989.94 30,421.23
36,107.82 30,520.43
*Fixed Deposits for more than 3 months & upto one year include deposit of ` 2,698.08 Lacs (31 March 2017: ` 1,839.70 Lacs ) pledged against overdraft /other commitments.
# bank balance are against unpaid dividend.
`/Lacs
As at As at
31 March 2018 31 March 2017
12 OTHER CURRENT FINANCIAL ASSETS
Other Loans and Advances - Doubtful 33.96 49.63
Provision for doubtful advances (33.96) (49.63)
Loans and Advances to Related Parties# 1,302.96 915.89
Other Loans and Advances * 4,899.51 2,509.21
Interest Accrued 1,198.79 1,258.12
Others - 365.82
7,442.00 5,266.36
*Includes Government Subsidy of ` 3,233.65 Lacs (31 March 2017: ` 1,403.11 Lacs ).
# Funds remmitted after consolidated period (31st December) to J.K.Cement (Fujairah) FZC.
Refer to Note 17 for information on other current financial assets pledged as security by the company.
1 J.K. Cement
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
13 CURRENT TAX (NET)
Advance tax/(Liability) (Net of provision for income tax of ` 9,413.62 Lacs) 757.45 (148.90)
757.45 (148.90)
`/Lacs
As at As at
31 March 2018 31 March 2017
14 OTHER CURRENT ASSETS
Balances with Government authorities 3,041.24 5,806.66
Prepaid Expenses 2,686.42 2,550.58
Advances recoverable in cash or in kind 9,184.07 7,871.92
Deferred employee compensation 14.54 15.45
15,014.79 16,319.70
`/Lacs
As at As at
31 March 2018 31 March 2017
15 SHARE CAPITAL
Authorised:
8,00,00,000 (As at 31 March 2017 - 8,00,00,000) equity shares of ` 10/- each 8,000.00 8,000.00
Issued, subscribed & fully paid up:
6,99,27,250 (As at 31 March 2017 - 6,99,27,250) equity Shares of ` 10/- each 6,992.72 6,992.72
6,992.72 6,992.72
a. Terms and rights attached to equity shares

Each holder of equity shares is entitled to one vote per share. In the event of liquidation of the company, the holders of equity
shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution
will be in proportion to the number of equity shares held by the shareholders. There is no restriction on distribution of
dividend. However, same is subject to the approval of the shareholders in the Annual General Meeting.
b. Reconciliation of number of shares outstanding at the beginning and end of the year :
`/Lacs
Number of Shares Amount
Outstanding at the 1 April 2016 6,99,27,250 6,992.72
c. Shareholders holding more than 5% shares in the company

No. of Shares Percentage No. of Shares Percentage
Yadu International Ltd 3,01,99,518.00 43.19% 2,99,49,518.00 42.83%
Yadupati Singhania 1,20,64,198.00 17.25% 1,22,84,198.00 17.57%
Annual Report 1
Not
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
16 OTHER EQUITY
a. Securities premium reserve
b. Debenture redemption reserve
Add: Transfer from retained earnings 9.40 1,710.65
c. General reserve
Add: Transfer from retained earnings 6,000.00 5,000.00
Less :Amortisation of mining rights - (176.29)
d. Retained earnings
Add: Dividend on 3% cumulative preference shares 2,385.84 -
Add: Net profit for the year 28,957.50 17,773.53
Add: Other Comprehensive income for the year 1,807.95 (1,864.65)
Less: Transfer to general reserve 6,000.00 5,000.00
Less: Transfer to debenture redemption reserve 9.40 1,710.65
Less: Dividend on equity shares 5,594.18 2,797.09
Less: Dividend distribution tax on equity shares 1,138.84 569.42
74,215.98 53807.11
1,90,494.10 1,64,075.83
Nature and purpose of other reserves/ other equity

(b) the return on plan assets, excluding amounts
Debenture Redemption Reserve
included in net interest on the net defined benefit
The Group has issued redeemable non-convertible debentures.
liability (asset); and
Accordingly, the Companies (Share capital and Debentures)
Rules, 2014 (as amended), require the group to create DRR out of
(c) any change in the effect of the asset ceiling, excluding
profits of the company available for payment of dividend. DRR
amounts included in net interest on the net defined
is required to be created for an amount which is equal to 25%
benefit liability (asset)
of the value of debentures issued.
b) Foreign Currency Translations
General reserve
Foreign Currency Translation adjustments on foreign
The Company appropriates a portion to general reserves out
subsidiaries.
of the profits either as per the requirements of the Companies
Act 2013 (‘Act’) or voluntarily to meet future contingencies. The
Capital management
said reserve is available for payment of dividend to the
For the purpose of the Group’s capital management, capital
shareholders as per the provisions of the Act
includes issued equity capital, securities premium and all
other equity reserves attributable to the equity holders of
the parent. The primary objective of the Group’s capital
a) Remeasurement of defined benefit plans
management is to maximise the shareholder value.
Remeasurements of defined benefit plans represents
the following as per Ind AS 19, Employee Benefits:
The Group manages its capital structure and makes
adjustments in light of changes in economic conditions
(a) actuarial gains and losses
and the requirements of the financial covenants. To
maintain or
1 J.K. Cement
NOTEs
adjust the capital structure, the Group may adjust the dividend payment to shareholders, return capital to shareholders or
issue new shares. The Group monitors capital using a gearing ratio, which is net debt divided by total capital plus net debt.
The Group includes within net debt, interest bearing loans and borrowings, less cash and cash equivalents, excluding
discontinued operations.
`/Lacs
As at As at
31 March 2018 31 March 2017
Borrowings (Note 17) 2,57,410.51 2,87,014.50
Current matuirty of Long term Borrowings (Note 24) 20,997.58 22,103.95
Cash and cash equivalents (Note 10) (19,839.53) (13,010.96)
Net debt 2,58,568.56 2,96,107.49
Total Equity 1,97,486.82 1,71,467.29
Capital and net debt 4,56,055.38 4,67,574.78
Gearing ratio 56.70% 63.33%
In order to achieve this overall objective, the Group’s capital management, amongst other things, aims to ensure that it meets
financial covenants attached to the interest-bearing loans and borrowings that define capital structure requirements.
Breaches in meeting the financial covenants would permit the bank to immediately call loans and borrowings. There have
been no breaches in the financial covenants of any interest-bearing loans and borrowing in the current period.
No changes were made in the objectives, policies or processes for managing capital during the years ended 31 March 2018 and
31 March 2017
`/Lacs
As at As at
31 March 2018 31 March 2017
17 BORROWINGS
Secured
Non convertible debentures 58,992.88 66,197.39
Less: Current maturities of non convertible debentures (Refer note 24) 7,300.00 7,300.00
Term loans (Secured)
- From banks 2,09,624.11 2,33,666.65
Less: Current maturities of Term loans (Refer note 24) 12,712.50 14,032.48
- Vehicle loans 672.04 539.29
Less: Current maturities of Vehicle loans (Refer note 24) 325.13 239.79
- VAT loans from Government 5,300.66 4,419.13
Unsecured
Deferred sales tax liabilities 3,818.40 4,295.99
Less: Current maturities of Def.sales tax liabilities (Refer note 24) 659.95 531.68
2,57,410.51 2,87,014.50
Annual Report 1
Not
NOTEs
a. Particulars of Securities, Repayment & Interest

Carrying Amount
Loan’s Securities Repayment Year of Maturity Rate of Interest As at As at
Frequency p.a. 31 March 2018 31 March 2017
1) Secured Non Convertible Debentures
NCD as shown includes ` 207.12 Lacs ( 31 March 2017
` 302.61)
Non Convertible Debentures(NCDs): ` 59,200.00 lacs Annual 2020-21 10.25% 7,200.00 9,000.00
i) Security for NCDs for ` 29,200.00 lacs Annual 2020-21 10.50% 7,200.00 9,000.00
Secured by first mortgage on the Company’s flat Annual 2020-21 11.00% 3,660.00 7,000.00
at Ahmedabad and also against first pari-passu
charge
Secured by pari-passu first charge on the Annual 2020-21 11.00% 11,140.00 11,500.00
Company's PPE (movable & immovable) by way
of equitable mortgage on immovable Assets
and hypothecation on movable PPE ,related to
company's plant at Nimbahera ,Mangrol,Gotan
a) Company's Existing Plant at Nimbahera Annual 2023-24 10.50% 8,500.00 8,500.00

having capacity of 3.25 MnTPA.
b) Company's Existing Plant at Mangrol
having capacity of 0.75 MnTPA.
c) Company's Existing Plant at Gotan
consisting of White Cement plant having
capacity of 0.40 MnTPA and Thermal
Power Plant.
d) Company's Existing Thermal power plant
ii Security for NCDs for ` 30,000.00 lacs Annual 2023-24 11.00% 11,500.00 11,500.00
Secured by first mortgage on the Company’s Annual 2025-26 9.65% 10,000.00 10,000.00
flat at Ahmedabad and also against first pari-
passu charge by way of equitable mortgage of
all the immovable assets except mining land
and hypothecation of movable PPE pertaining
to Company’s existing cement plant at village
Muddapur Karnataka
Sub Total (1) 59,200.00 66,500.00
2) Secured Term Loans from Banks
Term Loan as shown includes ` 313.13 Lacs (31 March
2017 ` 344.92 Lacs) towards amortised expenses .
Secured by pari-passu first charge on the Company's Quarterly 2021-22 - - 3,570.69
PPE (movable & immovable) by way of equitable
mortgage on immovable Assets and hypothecation on
movable PPE ,related to company's existing plant at Quarterly 2019-20 LTMLR 625.00 1,134.32
Nimbahera, Mangrol,Gotan Grey and Katni .
i) Company's Existing Plant at Nimbahera having Quarterly 2019-20 MCLR+0.75% 2,910.70 4,262.64
capacity of 3.25 MnTPA.
ii) Company’s Existing Plant at Mangrol having Quarterly 2023-24 MCLR+0.50% 8,460.28 9,469.21
capacity of 0.75 MnTPA.
1 J.K. Cement
NOTEs
Carrying Amount
iii) Company’s Existing Plant at Gotan consisting Quarterly 2018-19 MCLR+0.20% 428.57 857.14
of White Cement plant having capacity of 0.40
Quarterly 2018-19 - - 714.18
MnTPA and Thermal Power Plant.
iv) Company’s Existing Thermal power plant at Quarterly 2017-18 - - 248.07
Bamania.
Secured by exclusive charge by way of equitable Quarterly 2018-19 - - 850.98
mortgage over the immovable assets and Quarterly 2020-21 MCLR+0.65% 1,541.91 1,542.00
hypothecation of movable assets pertaining to the
specified properties.
Secured by equitable mortgage of immovable Quarterly 2019-20 - - 2,475.58
properties and hypothecation of movable PPE Quarterly 2022-23 LTMLR 3,750.00 4,464.75
pertaining to undertaking of J.K. Cement Works,
Gotan except current assets and vehicles.
Secured by First Pari-passu charge by way of Quarterly 2021-22 MCLR+ 0.50% 6,267.50 7,279.83
equitable mortgage of all the immovable Properties Quarterly 2021-22 MCLR 433.30 488.37
(except mining land) and hypothecation of all Quarterly 2021-22 MCLR 757.50 851.58
moveable non current assets, present and future
pertaining to J.K. Cement Works and Thermal power
plant, Muddapur, Karnataka.
equitable mortgage of all the immovable assets
except
mining land and hypothecation of all movable PPE,
present and future pertaining to J.K. Cement Works,
Muddapur, Karnataka.
equitable mortgage of all the immovable assets
and hypothecation of all movable PPE, present
and future pertaining to J.K. Cement Works,
Muddapur,
Karnataka.
Secured against exclusive charge on entire movable Quarterly 2023-24 LTMLR 8,800.00 9,300.00
PPE (by way of hypothecation) and on immovable
PPE related to the Wall Putty project at Katni, Madhya
Pradesh (excluding current assets and mining land,
if
any).
First pari-passu charge on the entire movable and
immovable fixed assets pertaining to J.K. Cement
Works(Fujairah)FZC, UAE as per prevalent local laws in
UAE.
Hypothecation of Inventories & assignment of trade
receivables.
Assignment of the rights under the Land Lease Quarterly 2024-25 3.25% + 6 Month 54,392.17 61,563.33
Agreement in respect of lease hold land(both LIBORE
plant and mining land).
Corporate Guarantee of J.K. Cement Limited for entire
tenor of loan.
Assignment of Insurance Contracts/Insurance
proceeds arising from the Insurance Contracts.
Annual Report 1
Not
NOTEs
Carrying Amount
Secured by First charge by way of mortgage, on Quarterly 2030-31 MCLR+ 0.50% 1,04,254.72 1,11,604.23
all the immovable properties, both present and
future pertaining to, of the new cement Plants at
Mangrol, Rajasthan (save and except mining
land) including captive power plant of 25 MW and
waste
heat recovery based power plant of 10 MW and
split Grinding Unit at Jharli, Haryana and Quarterly 2030-31 MCLR+ 0.40% 12,538.33 7,488.33
hypothecation of all the movable PPE of the above
plants (save and except Current Assets), both
present and future and second charge on all current
assets, present and
future, pertaining to the above plants (subject to prior
charge created or to be created on the Current Assets
in favour of the Working Capital Lenders for securing
the Working Capital Facilities.
Sub Total (2) 2,09,937.24 2,34,011.57
Total (1) + (2) 2,69,137.24 3,00,511.57
Less : Shown in current maturities of long term debt 20,012.50 21,332.48
Balance shown as above 2,49,124.74 2,79,179.09
b Net Debt Reconciliation

This section sets out an analysis of net debt and the movements in net debt for each of the periods presentated
`/Lacs
As at As at
31 March 2018 31 March 2017
Cash and cash equivalents 56,393.23 53,845.44
Liquid investments 7,757.62 6,526.00
Current borrowings (36,644.51) (44,697.23)
Non Current borrowings (2,57,410.51) (2,87,014.50)
Net Debt (2,29,904.17) (2,71,340.29)
1 J.K. Cement
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
18 OTHER NON-CURRENT FINANCIAL LIABILITIES
20,678.88 17,671.71
`/Lacs
As at As at
31 March 2018 31 March 2017
19 LONG-TERM PROVISIONS
Provision for employee benefits (Refer Note No.38)
- Gratuity 20.00 10.00
- Leave encashment 2,505.57 2,030.84
Provision for Mines Restoration Charges* 211.55 197.15
2,737.12 2,237.99
* Provision for Mines Restoration charges:
Addition during the year 14.40 21.48
The Company provides for the expenditure to reclaim the quarries used for mining in the Statement of Profit and Loss based on the estimated expenditure required to be
made towards restoration and rehabilitation at the time of vacation of mine. Provisions are reviewed at each balance sheet date and are adjusted to reflect the current best
estimates.
`/Lacs
As at As at
31 March 2018 31 March 2017
20 DEFERRED TAX LIABILITIES (NET)
A. The balance comprises temporary differences attributable to:
Deferred tax liabilities
Property, plant and equipment 60,057.48 58,450.60
Deferred tax assets
Unabsorbed depreciation & Losses 1,915.62 9,980.15
Employee benefits 965.63 840.63
Trade receivables 343.95 272.97
Liability on payment basis 2,763.18 3,291.07
MAT Credit adjustment 27,372.44 18,079.26
26,696.66 25,986.52
Annual Report 1
Not
NOTEs
`/Lacs
B. Movement in deferred tax balances As at
Recognized in P&L Recognized in OCI
As at
31 March 2017 31 March 2018
Deferred Tax Assets
Unabsorbed depreciation & Losses 9,980.15 (8,064.53) 1,915.62
Sub- Total (a) 32,464.08 964.41 (67.67) 33,360.82
Property, plant and equipment 58,450.60 1,606.88 60,057.48
Sub- Total (b) 58,450.60 1,606.88 - 60,057.48
Net Deferred Tax Liability (b)-(a) 25,986.52 #
642.47 67.67 26,696.66
`/Lacs
As at As at
31 March 2016 Recognized in P&L Recognized in OCI
31 March 2017
Deferred Tax Assets
Unabsorbed depreciation & Losses 18,140.11 (8,159.96) - 9,980.15
Sub- Total (a) 34,039.16 1,558.41 (16.67) 32,464.08
Sub- Total (b) 55,691.41 2,759.19 - 58,450.60
Net Deferred Tax Liability (b)-(a) 21652.25 4,317.60 16.67 25,986.52
#
Movement included ` 293.02 Lacs of earlier year tax adjustment
`/Lacs
31 March 2018 31 March 2017
C. Amounts recognised in profit or loss
Current tax expense
Current year 9,413.62 7,047.08
9,413.62 7,047.08
Deferred tax expense
Origination and reversal of temporary differences 349.45 4,320.39
Earlier year Tax Adjustment - (2.75)
349.45 4,317.64
Total Tax Expense 9,763.07 11,364.72
`/Lacs
For the year For the year
Tax Tax
ended 31 ended 31
(Expense)/ Net of tax (Expense)/ Net of tax
March 2018 March 2017
Income Income
Before tax Before tax
D. Amounts recognised in Other Comprehensive Income
Remeasurements of defined benefit liability 195.55 (67.67) 127.88 48.17 (16.67) 31.50
195.55 (67.67) 127.88 48.17 (16.67) 31.50
1 J.K. Cement
NOTEs
`/Lacs
31 March 2018 31 March 2017
Rate Amount Rate Amount
E. Reconciliation of effective tax rate
Profit before tax from continuing operations 34.608 43,972.76 34.608 32,443.17
Tax using the Company’s domestic tax rate 15,218.10 11,227.93
Tax effect of:
Non-deductible expenses 300.36 1,344.28
Tax-exempt income & incentives (5,786.91) (1,402.87)
Recognition of tax effect of previously - 187.92
unrecognised tax losses
Others 31.52 7.46
9,763.07 11,364.72
`/Lacs
31 March 2018 31 March 2017
Amount Expiry date Amount Expiry date
F. Tax losses carried forward
Unabsorbed Depreciation carried forward expire as follows.
Never expire 4,276.46 - *42,936.13 -
*Actual carry over was ` 28,604.07 Lacs.
`/Lacs
As at As at
31 March 2018 31 March 2017
21 OTHER NON-CURRENT LIABILITIES
Deferred government subsidies
- Capital subsidy sanctioned by Rajasthan government on PPE 9,232.02 8,633.01
9,232.02 8,633.01
Government grants have been received against the purchase of certain items of property, plant and equipment. There are no unfulfilled conditions or contingencies
attached to these grants.
`/Lacs
As at 31 March 2017 606.88 399.19
Current 8,633.01 7,747.68
Non Current 9,239.89 8,146.87
1,499.65 1,699.90
Received during the year 753.76 606.88
Released to statement of profit or loss
As at 31 March 2018 753.76 606.88
Current 9,232.02 8,633.01
Non Current 9,985.78 9,239.89
Annual Report 1
Not
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
22 SHORT TERM BORROWINGS
Loan repayable on demand (Secured)*
- From banks 15,646.93 22,593.28
15,646.93 22,593.28
* Cash credit account : ` 11,351.76 Lacs(31 March 2017 is ` 16,729.17 Lacs )
Cash credit accounts are secured by first charge on current assets of the Company namely inventories, book debts, etc. and second charge on fixed assets of the
Company except the fixed assets pertaining to J.K. Cement Works, Gotan and the assets having exclusive charge of other lenders.
* Short Term Loan/Over Draft Account : ` 4,295.17 lacs (` 5,864.11 lacs)
Working Capital facilities are secured by first charge on current assets of the Company namely inventories, book debts etc. and undated cheques covering the exposure.
`/Lacs
As at As at
31 March 2018 31 March 2017
23 TRADE PAYABLE
Micro, Small and Medium Enterprises 1,227.33 403.57
Trade Payables 42,344.33 42,309.41
43,571.66 42,712.98
Based on the information available with the Company regarding the status of suppliers as defined under MSMED Act,2006, there was no principal amount overdue
and no interest was payable to the Micro, Small and Medium Enterprises on 31st March,2018 as per the the terms of contract.
`/Lacs
As at As at
31 March 2018 31 March 2017
24 OTHER FINANCIAL LIABILITIES
Current maturities of long-term debt 20,997.58 22,103.95
Employee Dues 1,358.09 2,286.93
Interest accrued but not due on borrowings 1,362.60 1,463.51
Interest accrued and due on borrowings - 90.22
Unpaid dividends 117.88 99.20
Unclaimed fraction money 9.22 9.23
Security deposits 1,033.33 843.12
Project Creditors 686.34 558.04
Temporary Book Overdraft 54.28 185.29
Others* 24,965.81 18,292.29
50,585.13 45,931.78
*Other Includes Customer obligations ,customers claims etc.
`/Lacs
As at As at
31 March 2018 31 March 2017
25 OTHER CURRENT LIABILITIES
Statutory Dues Payable 9,046.25 7,008.75
Government Grant 753.76 606.88
Advance from Customers 9,019.44 7,178.34
Others 271.86 844.22
19,091.31 15,638.19
1 J.K. Cement
NOTEs
`/Lacs
As at As at
31 March 2018 31 March 2017
26 SHORT-TERM PROVISIONS
Employee benefits
- Gratuity (Refer Note 38) 1,788.03 663.09
- Leave Encashment 494.20 388.20
2,282.23 1,051.29
`/Lacs
31 March 2018 31 March 2017
27 REVENUE FROM OPERATIONS
Sale of products (including excise duty) 4,97,162.19 4,60,200.01
Total (i) 4,97,162.19 4,60,200.01
Other operating revenue
Claims realised 356.42 511.69
Government grants 3,825.13 4,451.75
Miscellaneous income 703.89 236.46
Total (ii) 4,885.44 5,199.90
Revenue from operations [(i) + (ii)] 5,02,047.63 4,65,399.91
Sale of products includes excise duty collected from customers of ` 16,696.42 lacs (31 March 2017: ` 62,428.74 lacs). Sale of goods
net of excise duty is ` 4,80,465.77 lacs (31 March 2017: ` 3,97,771.27 lacs). Revenue from operations for periods up to 30 June 2017
includes excise duty. From 1 July 2017 onwards the excise duty and most indirect taxes in India have been replaced Goods and
Service Tax (GST). The group collects GST on behalf of the Government. Hence, GST is not included in Revenue from operations. In
view of the aforesaid change in indirect taxes, Revenue from operations year ended 31 March 2018 is not comparable 31 March
2017.
`/Lacs
31 March 2018 31 March 2017
28 OTHER INCOME
Interest income from financial assets measured at amortised cost
- from bank deposits 3,133.73 3,269.26
- from others 1,086.39 970.31
Net fair value gain/(loss) on financial assets measured at fair value through profit or loss 284.83 (165.04)
Profit on sale of current investment (net) 171.73 239.67
Government grants 332.23 359.56
Miscellaneous income 7,804.94 4,443.30
Net Gain on Foreign Currency transactions and translation - 725.95
12,813.85 9,843.01
`/Lacs
31 March 2018 31 March 2017
29 COST OF MATERIALS CONSUMED
Raw material Consumed 78,185.98 68,647.53
78,185.98 68,647.53
Annual Report 1
Not
NOTEs
`/Lacs
31 March 2018 31 March 2017
30 CHANGES IN INVENTORIES OF FINISHED GOODS, WORK-IN-PROGRESS AND STOCK IN TRADE
Closing Inventory
Work-in-Progress (7,412.67) (8,584.16)
Finished Goods (7,343.63) (8,032.86)
Stock in Trade (8.04) (16.45)
Total (A) (14,764.34) (16,633.47)
Opening Inventory
Work-in-Progress 8,584.16 9,801.12
Finished Goods 8,032.86 8,260.75
Stock in Trade 16.45 23.43
Total (B) 16,633.47 18,085.30
Total (A-B) 1,869.13 1,451.83
`/Lacs
31 March 2018 31 March 2017
31 EMPLOYEE BENEFITS EXPENSE
Salaries and wages 30,717.79 26,816.09
Contribution to provident and other funds (Refer Note No 38) 4,036.19 2,524.13
Staff welfare expenses 2,073.88 2,214.06
36,827.86 31,554.28
`/Lacs
31 March 2018 31 March 2017
32 FINANCE COST
Interest expenses 27,698.35 29,513.52
Other Borrowing Costs (includes bank charges, etc.) 268.16 691.79
Unwinding of discounts 442.64 60.95
28,409.15 30,266.26
`/Lacs
31 March 2018 31 March 2017
33 DEPRECIATION AND AMORTISATION EXPENSE
Depreciation on tangible assets 22,911.55 21,469.58
Amortisation on intangible assets 220.63 225.41
23,132.18 21,694.99
1 J.K. Cement
NOTEs
`/Lacs
31 March 2018 31 March 2017
34 OTHER EXPENSES
Packing material consumed 22,171.05 18,171.27
Stores and spares consumed 10,871.96 10,544.75
Repairs and maintenance:
- Buildings 1,235.10 1,257.04
- Plant and machinery 7,709.39 8,342.29
- Other Assets 89.43 134.41
Other manufacturing expenses 989.97 1,107.74
Power and fuel 95,213.30 66,451.05
Rent 2,276.10 3,351.32
Lease rent and hire charges 1,744.50 51.22
Rates and taxes 548.66 641.58
Insurance 1,184.38 967.32
Travelling and conveyance 2,949.08 2,777.98
CSR expenses (Refer Note No 43) 498.29 322.69
Bad trade receivables / advances / deposits written off 9.85 1,000.00
Provision for doubtful trade receivables / advances / deposits 174.68 172.25
Sales Tax/VAT 343.13 1,089.70
Excise Duty Paid 17,415.81 63,260.16
Loss on disposal of Property, plant and equipments 164.20 26.77
Miscellaneous expenses 13,429.27 15,037.54
Selling and promotion expenses 10,686.99 11,695.23
Freight and forwarding 1,10,607.40 81,275.59
Advertisement and publicity 6,021.91 3,364.49
3,06,334.45 2,91,042.39
`/Lacs
31 March 2018 31 March 2017
35 EARNING PER SHARE
Total profit/ (loss) for the year 28,957.50 17,773.53
Weighted average number of equity shares of ` 10/- each (In lacs) 699.27 699.27
EPS - Basic and Diluted (`) 41.41 25.42
Annual Report 1
Not
NOTEs
`/Lacs
As at 31-03-2018 As at 31-03-2017
36.(A) CONTINGENT LIABILITIES, CONTINGENT ASSETS AND COMMITMENTS
(i) Claim against the Company not acknowledged as debts (includes show cause notices 22,345.42 16,338.86
pertaining
to ecise duty and others) (Cash Flow is dependent on court decisions pending at various level)
Other for which the Company is contingently liable
(ii) In respect of disputed demands for which Appeals are pending
with Appellate Authorities/Courts-no provision has been considered
necessary
by the Management
a) Excise Duty* 1,724.76 1,662.53
b) Sales Tax and Entry Tax* 5,469.56 5,162.02
c) Service Tax* 1,362.89 1,314.31
d) Income Tax (primarily on account of disallowance of depreciation on goodwill and 5,450.36 5,450.36
additional
depreciation on Power Plants etc.)
(iii) In respect of Interest on " Cement Retention Price" realised in earlier years 1,251.43 1,231.06
(iv) In respect of penalty of non lifting of fly ash 1,270.56 839.29
(v) The Competition Commission of India (CCI) has imposed penalty of ` 128.54 13,782.00 13,782.00
crores and ` 9.28 crores in two separate orders dated 31.08.2016 and 19.01.2017
respectively for alleged contravention of provisions of the Competition Act 2002
by the Company. The Company has filed appeals with Competition Appellate
Tribunal(COMPAT) against above orders COMPAT has stayed the CCI order in first matter on
deposit of ` 6.56 crores and Appeal is being heard.In second matter stayed demand and
appeal are yet to be heard. The Company, backed by a legal opinion, believes that it has a
good case and
accordingly no Provision has been made in the Accounts
(vi) In respect of demand made by Revenue Department, Karnataka for conversion of
agricultural land into non agricultural land for mining purpose - 560.17
(vii) In respect of land tax levied by State Governement of Rajasthan 206.69 191.23
(viii) In respect of demand of Railway Administration pending with Jodhpur High Court 218.86 212.10
(ix) In respect of charges on account of electricity duty, water cess etc levied by Ajmer Vidyut Vitran 4,497.04 3,869.34
Nigam Ltd.
(x) In respect of Environmental and Health Cess 324.52 324.52
* disputes are primarily on account of disallowances of input credits, interest on entry tax etc.
FINANCIAL GUARANTEES
(i) Other Financial Guarantees including Joint Ventures - 613.89
(B) COMMITMENTS
i) Capital commitments - 535.66
ii) Estimated amount of contracts remaining to be executed on capital accounts
and not provided for 3,804.91 1,319.83
iii) Contractual Commitments for Lease
Non cancellable operating lease commitments ;
Not longer than one year 1,458.09 1,550.28
Longer than one year and not longer than five years 5,832.34 6,201.13
Longer than five years 16,038.94 18,603.39
1 J.K. Cement
NOTEs
37 SEGMENT INFORMATION
Segment information is presented in respect of the company’s key operating segments. The operating segments are based on
the company’s management and internal reporting structure.
Operating Segments
The Company’s Board of Directors have been identified as the Chief Operating Decision Maker (‘CODM’), since they are
responsible for all major decision w.r.t. the preparation and execution of business plan, preparation of budget, planning,
expansion, alliance, joint venture, merger and acquisition, and expansion of any new facility.
Board of Directors reviews the operating results at company level, accordingly there is only one Reportable Segment for
the Company which is “Cement”, hence no specific disclosures have been made.
Entity wide disclosures

A. Information about product total revenue
`/Lacs
31 March 2018 31 March 2017
Grey Cement 3,33,489.26 2,92,632.34
White Cement and allied products 1,63,672.93 1,67,567.67
B. Information about geographical areas

Non-current assets (Property, plant and equipment, Intangible assets and other non-current assets ) are in India and UAE.
C. Information about major customers (from external customers)

The Company has not derived revenues from single customer during the year as well as during previous year which amount
to 10 per cent or more of the entity’s revenues.
38. EMPLOYEE BENEFITS

The Company contributes to the following post-employment defined benefit plans in India.
(i) Defined Contribution Plans:

The Company makes contributions towards provident fund and superannuation fund to a defined contribution retirement
benefit plan for qualifying employees. Under the plan, the Company is required to contribute a specified percentage of payroll cost
to the retirement benefit plan to fund the benefits.
`/Lacs
For the year ended
31 March 2018 31 March 2017
Contribution to Government Provident Fund 1,135.91 942.09
Contribution to Superannuation Scheme 478.06 398.25
Contribution to Family Pension Fund 473.87 444.72
(ii) Defined Benefit Plan:

The Company provides for gratuity for employees in India as per the Payment of Gratuity Act, 1972. Employees who are in
continuous service for a period of 5 years are eligible for gratuity. The amount of gratuity payable on retirement/termination is
the employees last drawn basic salary per month computed proportionately for 15 days salary multiplied for the number of
years of service. The gratuity plan is a funded plan and the Company makes contributions to Group Gratuity Trust registered
under Income Tax Act-1961.
The most recent actuarial valuation of plan assets and the present value of the defined benefit obligation for gratuity were
carried out as at 31 March 2018. The present value of the defined benefit obligations and the related current service cost and past
service cost, were measured using the Projected Unit Credit Method.
Annual Report 1
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A. Based on the actuarial valuation obtained in this respect, the following table sets out the status of the gratuity plan
and the amounts recognised in the Company’s financial statements as at balance sheet date:
`/Lacs
31 March 2018 31 March 2017
Net defined benefit obligation 7,190.39 6,061.68
Total employee benefit asset 5,331.48 5,596.87
Net defined benefit liability 1,858.91 464.81
B. Movement in net defined benefit (asset) liability - Gratuity (Funded)

The following table shows a reconciliation from the opening balances to the closing balances for net defined benefit
(asset) liability and its components:
`/Lacs
31 March 2018 31 March 2017
Net defined Net defined
Defined benefit Fair value of Defined benefit Fair value of
benefit (asset)/ benefit (asset)/
obligation plan assets obligation plan assets
liability liability
Balance as at 31 March 6,061.68 5,596.87 464.81 5,739.12 5,388.80 350.32
Included in profit or loss
Current service cost 420.41 420.41 347.70 347.70
Past service credit 1,137.18 1,137.18 -
Interest cost (income) 400.58 368.51 32.07 420.45 401.33 19.12
1,958.17 368.51 1,589.66 768.15 401.33 366.82
Included in OCI
Remeasurements loss (gain)
- Actuarial loss (gain) arising from: -
- demographic assumptions -
- financial assumptions (251.19) (251.19) 309.49 309.49
- experience adjustment (65.95) (121.58) 55.63 (197.53) 160.13 (357.66)
- Return on plan assets excluding interest
income
(317.14) (121.58) (195.56) 111.96 160.13 (48.17)
Other
Contributions paid by the employer 468.68 468.68 204.16 (204.16)
Benefits paid (512.32) (512.32) (557.55) (557.55)
(512.32) (43.64) 468.68 (557.55) (353.39) (204.16)
Balance as at 31 March 7,190.39 5,800.16 1,390.23 6,061.68 5,596.87 464.81
Gratuity in the books of Subsidiary Companies is accounted on actual basis.
C. Plan assets
The plan assets are managed by the Gratuity Trust formed by the Company. The management of 100% of the funds is
entrusted according to norms of Gratuity Trust, whose pattern of investment is available with the Company.
Particulars As at As at
31 March 2018 31 March 2017
Government of India Securities (Central and State) 52.57% 0.00%
High quality corporate bonds (including Public Sector Bonds) 1.81% 0.00%
Equity shares of listed companies 0.00% 0.00%
Property 0.00% 0.00%
Cash (including Special Deposits) 23.27% 0.00%
Schemes of insurance - conventional products 0.00% 0.00%
Schemes of insurance - ULIP products 0.00% 0.00%
Others 22.35% 100%
1 J.K. Cement
NOTEs
D. Actuarial assumptions
The following were the principal actuarial assumptions at the reporting date (expressed as weighted averages).
`/Lacs
As at As at
31 March 2018 31 March 2017
Discount rate 7.40% 6.90%
Expected rate of return on plan assets 8.50% 8.50%
Mortality
Turnover rate : Staff 5% of all ages 5% of all ages
Turnover rate : Worker 1% of all ages 1% of all ages
Expected rate of future salary increase 10% 10%
Assumptions regarding future mortality have been based on published statistics and mortality tables.
At 31 March 2018, the weighted-average duration of the defined benefit obligation was 6 years (as at 31 March 2017: 6 years).
E. Sensitivity analysis
Reasonably possible changes at the reporting date to one of the relevant actuarial assumptions, holding other assumptions
constant, would have affected the defined benefit obligation by the amounts shown below.
Gratuity
`/Lacs
31 March 2018 31 March 2017
Increase Decrease Increase Decrease
Discount rate (1% movement) (450.10) 522.30 (381.71) 439.89
Expected rate of future salary increase (1% movement) 424.00 (388.00) 285.84 (280.87)
(26.10) 134.30 (95.87) 159.02
Although the analysis does not take account of the full distribution of cash flows expected under the plan, it does provide an
approximation of the sensitivity of the assumptions shown.
F. Through its defined benefit plans, the company is exposed to a number of risks, the most significant of which are
detailed below:
Asset volatility: The plan liabilities are calculated using a discount rate set with reference to bond yields; if plan assets
underperform this yield, this will create a deficit. Most of the plan asset investments is in fixed income securities with high grades
and in government securities. These are subject to interest rate risk and the fund manages interest rate risk with derivatives to
minimise risk to an acceptable level.
Changes in bond yields: A decrease in bond yields will increase plan liabilities, although this will be partially offset by an
increase in the value of the scheme’s bond holdings.
Life expectancy: The pension obligations are to provide benefits for the life of the member, so increase in life expectancy will
result in increase in plans liability. This is particularly significant where inflationary increases result in higher sensitivity to
changes in life expectancy.
Annual Report 1
Not
NOTEs
The Company ensures that the investment positions are managed within an asset-liability matching (ALM) framework
that has been developed to achieve long-term investments that are in line with the obligations under the employee
benefit plans.
Within this framework, the group’s ALM objective is to match assets to the pension obligations under the employee benefit
plan term fixed interest securities with maturities that match the benefit payments as they fall due and in the appropriate
currency. The Company actively monitors how the duration and the expected yield of the investments are matching the
expected cash outflows arising from the employee benefit obligations. The Compnay has not changed the processes used to
manage its risks from previous periods. Investments are well diversified, such that the failure of any single investment would
not have a material impact on the overall level of assets. A large portion of assets at reporting date consists of government
and corporate bonds, although the group also invests in equities, cash and mutual funds. The group believes that equities
offer the best returns over the long term with an acceptable level of risk.
G. The expected benefit payments in future

years:
`/Lacs
31 March 2018 31 March 2017
Beyond 10 years 18,905.01 18,905.01
Total expected payments 27,737.97 27,599.79
H. The expected employer contribution in the next

year
`/Lacs
31 March 2018 31 March 2017
39. RELATED PARTIES

(1) (a) Parties where the control/significant influence exists
i) Yadu International Ltd
(b) Key Management Personnel & their Relatives
i) Shri Yadupati Singhania Chairman & Managing Director
ii) Smt. Shushila Devi Singhania Relative of Chairman & Managing
Director
iii) Shri Ajay Kumar Saraogi President (Corp.Affairs) & CFO
iv) Shri Shambhu Singh Company Secretary
v) Shri A.Karati Non Executive Independent Director
vi) Shri J.N Godbole Non Executive Independent Director
vii) Dr. K.B.Agarwal Non Executive Independent Director
viii) Shri K.N.Khandelwal Non Executive Non Independent Director
ix) Shri Raj Kumar Lohia Non Executive Independent Director
x) Shri Suparas Bhandari Non Executive Independent Director
xi) Shri Shyam Lal Bansal Non Executive Independent Director
xii) Mr. Paul Heinz Hugentobler Non Executive Non Independent Director
(c) Enterprises significantly influenced by Key Management Personnel or their Relatives
i) Jaykay Enterprises Ltd
ii) J.K. Cotton Ltd.
iii) Jaykaycem (Eastern) Ltd
iv) J.K.Cement(Western) Ltd
1 J.K. Cement
NOTEs
(2) a) Following are the transactions with related parties as defined under section 188 of Companies Act 2013
`/Lacs
For the year ended
31 March 2018 31 March 2017
(i) Jaykay Enterprises Ltd
- Services received 35.17 34.47
- Rent paid 49.50 47.71
- Expenses Reimbursed 60.34 50.60
(ii) J.K. Cotton Ltd
- Rent paid 32.39 45.42
- Purchases - 0.21
- Sale of Products
(iii) J.K. Cement(Fujairah) FZC
Advances given 1,302.80 915.89
(iv) J.K. Cement(Western) Ltd
Opening - 15.00
Advances given during the year - -
Received during the year - 15.00
Balance as at close of the year - -
(v) Key Management Personnel and their relatives
a) Shri Y.P. Singhania(Chairman & Managing Director)
- Remuneration 1,761.00 1,266.92
- Sale of farm house 5,087.99 -
- Rent paid 15.13 -
- Rent paid to relatives 30.47 -
b) Smt Sushila Devi Singhania
- Sitting Fees 5.26 4.52
c) Shri Ajay Kumar Saraogi
- Remuneration 226.52 197.34
d) Shri Shambhu Singh
- Remuneration 45.41 38.15
e) Other Directors
and `108.13 lacs (111.31 lacs) paid to other Director Mr. Paul Heinz Hugentobler on 108.13 111.31
professional capacity.
b) Terms and conditions of transactions with related parties

The sales to and purchases from related parties are made on terms equivalent to those that prevail in arm’s length
transactions. Outstanding balances at the year-end are unsecured and interest free and settlement occurs in cash. There
have been no guarantees provided (except corporate bank guarantee) or received for any related party receivables or
payables. For the year ended 31 March 2018, the Group has not recorded any impairment of receivables relating to
amounts owed by related parties (31 March 2017: ` Nil). This assessment is undertaken each financial year through
examining the financial position of the related party and the market in which the related party operates.
Annual Report 1
Not
NOTEs
c) Compensation of key management personnel of the

Group
`/Lacs
For the year ended
31 March 2018 31 March 2017
- short-term employee benefits 2,032.93 1,368.91
- other long-term benefits 48.54 133.50
40 OPERATING LEASE
The Company has taken various residential premises, office premises and warehouses under operating lease agreements.
These are generally cancellable and are renewable by mutual consent on mutually agreed terms.
41. FINANCIAL INSTRUMENTS – FAIR VALUES AND RISK MANAGEMENT

I. Fair value measurements
A. Financial instruments by category
`/Lacs
FVTPL FVOCI Amortised cost FVTPL FVOCI Amortised cost
Financial assets
Investments 11,893.19 - - 8,026.84 - -
Other financial assets - - 11,244.93 - - 18,743.79
Trade receivables - - 23,578.91 - - 20,193.34
Cash and cash equivalents - - 19,839.53 - - 13,010.96
Other Bank balances - - 36,107.82 - - 30,520.43
11,893.19 - 90,771.19 8,026.84 - 82,468.52
Non-Current Borrowings - - 2,57,410.51 - - 2,87,014.50
Other non-current financial liabilities - - 20,678.88 - - 17,671.71
Short term borrowings - - 15,646.93 - - 22,593.28
Trade payables - - 43,571.66 - - 42,712.98
Other current financial liabilities - 50,585.13 45,931.78
- - 3,87,893.11 - - 4,15,924.25
B. Fair value hierarchy
This section explains the judgements and estimates made in determining the fair values of the financial instruments that are:
(a) recognised and measured at fair value and
(b) measured at amortised cost and for which fair values are disclosed in the financial statements.
To provide an indication about the reliability of the inputs used in determining fair value, the Company has classified its
financial instruments into the three levels prescribed under the accounting standard. An explanation of each level follows
underneath the table.
1 J.K. Cement
NOTEs
Quantitative disclosures fair value measurement hierarchy for assets and liabilites as at 31 March 2018:
`/Lacs
Financial assets
Investments
Mutual Funds & Bonds 11,885.19 - 11,885.19
Long Term Borrowings 2,56,601.57 2,56,601.57
11,885.19 - 2,56,609.57 2,68,494.76
Quantitative disclosures fair value measurement hierarchy for assets and liabilites as at 31 March 2017:
`/Lacs
Financial assets
Investments
Mutual Funds & Bonds 8,021.64 - 8,021.64
Long Term Borrowings - - 2,86,923.33 2,86,923.33
8,021.64 - 2,86,928.53 2,94,950.17
Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices. This includes mutual funds that have
quoted price.
Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation techniques
which maximise the use of observable market data and rely as little as possible on entity-specific estimates. If all significant
inputs required to fair value an instrument are observable, the instrument is included in level 2.
Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. This
is the case for unlisted equity securities.
There are no transfers between level 1 and level 2 during the year
Valuation technique used to determine fair value

Specific valuation techniques used to value financial instruments include:
- the use of quoted market prices or dealer quotes for similar instruments
- the fair value of forward foreign exchange contracts is determined using forward exchange rates at the balance sheet date
- the fair value of the remaining financial instruments is determined using discounted cash flow analysis.
Annual Report 1
Not
NOTEs
C. Fair value of financial assets and liabilities measured at amortised cost
`/Lacs
Carrying Amount Fair Value Carrying Amount Fair Value
Financial assets
Other financial assets 11,244.93 11,244.93 18,743.79 18,743.79
Trade receivables 23,578.91 23,578.91 20,193.34 20,193.34
Cash and cash equivalents 19,839.53 19,839.53 13,010.96 13,010.96
Other Bank balances 36,107.82 36,107.82 30,520.43 30,520.43
90,771.19 90,771.19 82,468.52 82,468.52
Non-Current Borrowings 2,57,410.51 2,56,601.57 2,87,014.50 2,86,923.33
Other non current financial liabilities 20,678.88 20,678.88 17,671.71 17,671.71
Short term borrowings 15,646.93 15,646.93 22,593.28 22,593.28
Trade payables 43,571.66 43,571.66 42,712.98 42,712.98
Other current financial liabilities 50,585.13 50,585.13 45,931.78 45,931.78
3,87,893.11 3,87,084.17 4,15,924.25 4,15,833.08
(i) The carrying amounts of trade receivables, trade payables, Short Term Borrowings, cash and cash equivalents, other
bank balances, other financial liabilities, and other financial assets are considered to be the same as their fair values, due
to their short-term nature. The fair values for security deposits are calculated based on cash flows discounted using a
current lending rate.
(ii) The fair values of non-current borrowings are based on discounted cash flows using a current borrowing rate. They
are classified as level 3 fair values in the fair value hierarchy due to the use of unobservable inputs, including own credit
risk.
(iii) The fair value of the financial assets and liabilities is included at the amount at which the instrument is exchanged in a
current transaction between willing parties, other than in a forced or liquidation sale..
II. Financial risk management controls and to monitor risks and adherence to
The Company has exposure to the following risks limits. Risk management policies and systems are
arising from financial instruments: reviewed
- credit risk;
- liquidity risk; and
- market risk
i. Risk management framework

The Company’s board of directors has overall
responsibility for the establishment and oversight
of the Company’s risk management framework.
The board of directors has established the Risk
Management Committee, which is responsible for
developing and monitoring the Company’s risk
management policies. The committee reports
regularly to the board of directors on its activities.
The Company’s risk management policies are

established to identify and analyse the risks faced
by the Company, to set appropriate risk limits
and
1 J.K. Cement
regularly to reflect changes in market conditions and

the Company’s activities. The Company, through its
training and management standards and procedures,
aims to maintain a disciplined and constructive control
environment in which all employees understand their
roles and obligations.
The Company’s Audit Committee oversees

how management monitors compliance with
the Company’s risk management policies and
procedures, and reviews the adequacy of the risk
management framework in relation to the risks faced
by the Company. The Audit Committee is assisted
in its oversight role by Internal Audit. Internal Audit
undertakes both regular and ad hoc reviews of risk
management controls and procedures, the results of
which are reported to the Audit Committee.
ii. Credit risk

Credit risk is the risk of financial loss to the Company
if a customer or counterparty to a financial instrument
fails to meet its contractual obligations, and arises
Annual Report 1
Not
NOTEs
principally from the Company’s receivables from

operate in largely independent markets.
customers including deposits with banks and
fails to make contractual payments within 60
Trade and other receivables
days of when they fall due. This definition of
The Company’s exposure to credit risk is
default is determined by considering the business
influenced mainly by the individual characteristics
environment in which the entity operates and other
of each customer. However, management also
macro-economic factors. The Company holds bank
considers the factors that may influence the credit
guarantees/ security deposits against trade receivables
risk of its customer base, including the default risk
of ` 10,428.10 lacs (31 March 2017: ` 11,604.71) and
of the industry and country in which customers
as per the terms and condition of the agreements,
operate.
the Company has the right to encash the bank
guarantee or adjust the security deposits in case of
The Risk Management Committee has established
defaults.
a credit policy under which each new customer
is The Company establishes an allowance for impairment
analysed individually for creditworthiness before the that represents its expected credit losses in respect of
Company’s standard payment and delivery terms trade and other receivables. The management uses a
and conditions are offered. The Company’s review simplified approach for the purpose of computation of
includes external ratings, if they are available, and in expected credit loss for trade receivables
some cases bank references. Sale limits are
established Expected credit losses are a probability weighted
for each customer and reviewed quarterly. Any sales estimate of credit losses. Credit losses are measured
exceeding those limits require approval from the as the present value of all cash shortfalls (i.e. the
Risk Management Committee. difference between the cash flows due to the Company
In monitoring customer credit risk, customers are
that the Comapny expects to receive).
Companyed according to their credit characteristics,
including whether they are an individual or a During the based on specific assessment, the Company
legal entity, their geographic location, industry recognised bad debts and advances of ` 9.85 lacs (31
and existence of previous financial difficulties.The March 2017: ` 1,000). The year end trade receivables do
Company evaluates the concentration of risk not include any amounts with such parties.
with
respect to trade receivables as low, as its customers
are located in several jurisdictions and industries
and
The maximum exposure to credit risk at the reporting date is the carrying value of trade receivables disclosed in Note 9
Reconciliation of loss allowance provision - Trade Receivables

Particulars As at As at
31 March 2018 31 March 2017
Change in loss allowance 220.75 137.12
Financial instruments and cash deposits

Credit risk from balances with banks and financial institutions is managed by the Company’s treasury department in
accordance with the Company’s policy. Investments of surplus funds are made only with approved counterparties and
within credit limits assigned to each counterparty. The limits are set to minimise the concentration of risks and therefore
mitigate financial loss through counterparty’s potential failure to make payments.
1 J.K. Cement
The Company’s maximum exposure to credit risk for the components of the balance sheet at 31 March 2018 and 31
March 2017 is the carrying amounts as shown in Note 4,8,10,11 & 12. The Company has not recorded any further loss
during the year in these financial instruments and cash deposits as these pertains to counter parties of good credit
ratings/credit worthiness.
Annual Report 1
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NOTEs

under both normal and stressed conditions, without
fails to make contractual payments within 60 days
incurring unacceptable losses or risking damage to the
Company’s reputation.
determined by considering the business environment
in which the entity operates and other macro-
Prudent liquidity risk management implies
economic factors
maintaining sufficient cash and marketable
securities and the availability of funding through an
adequate amount of committed credit facilities to
impairment that represents its expected credit losses in
meet obligations when due and to close out market
respect of trade and other receivables. The
positions. Due to the dynamic nature of the underlying
businesses, Company treasury maintains flexibility in
funding by maintaining availability under committed
trade receivables
credit lines.
Expected credit losses are a probability weighted

Management monitors rolling forecasts of the
estimate of credit losses. Credit losses are measured
Company’s liquidity position (comprising the
undrawn borrowing facilities below) and cash and
difference between the cash flows due to the Company
cash equivalents on the basis of expected cash
flows. This is generally carried out in accordance with
that the Company expects to receive).
practice and limits set by the Company. These limits
vary
iii. Liquidity risk
by location to take into account the liquidity of the
Liquidity risk is the risk that the Company will
market in which the entity operates. In addition, the
encounter difficulty in meeting the obligations
Company’s liquidity management policy involves
associated with its financial liabilities that are settled
projecting cash flows in major currencies and
by delivering cash or another financial asset. The
considering the level of liquid assets necessary to meet
Company’s approach to managing liquidity is to
these, monitoring balance sheet liquidity ratios against
ensure, as far as possible, that it will have sufficient
internal and external regulatory requirements and
liquidity to meet its liabilities when they are due,
maintaining debt financing plans.
(a) Financing arrangements

The company had access to the following undrawn borrowing facilities at the end of the reporting
period:
`/Lacs
As at As at
31 March 2018 31 March 2017
Floating rate
Expiring within one year (bank overdraft and other facilities) Nil 700.00
Expiring beyond one year (bank loans) Nil 6,958.00
- 7,658.00
The bank overdraft facilities may be drawn at any time and may be terminated by the bank without notice. Subject to the
continuance of satisfactory credit ratings, the bank loan facilities may be drawn at any time in INR and have an
average maturity of Nil years (as at 31 March 2017 - 6.57 years).
1 J.K. Cement
NOTEs
(b) Maturities of financial liabilities

The following are the remaining contractual maturities of financial liabilities at the reporting date. The amounts are gross
and undiscounted, and include contractual interest payments and exclude the impact of netting agreements.
`/Lacs
Amounts 31 2 months or More than
Total 2–12 months 1–5 years
March 2018 less 5 years
Non-current Borrowings 2,57,410.51 2,62,626.82 1,29,679.60 1,32,947.22
Short term borrowings 15,646.93 15,646.93 15,646.93
Trade payables 43,571.66 43,571.66 43,571.66
Total non-derivative liabilities 3,87,893.11 3,93,109.42 48,535.54 61,131.73 1,50,494.93 1,32,947
`/Lacs
Amounts 31 2 months More than
or
March 2017 Total 2–12 months 1–5 years
less 5 years
Non-current Borrowings 2,87,014.50 2,91,270.99 1,28,300 162,970.09
Short term borrowings 22,593.28 22,593.28 22,593.28
Trade payables 42,712.98 42,712.98 42,712.98
Total non-derivative liabilities 4,15,924.25 4,20,180.74 49,210.86 61,927.98 1,45,352.00 162,970
Further the Company issued financial guarantee as disclosued in note 39 for which the possibility of payment is remote.
iv. Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in
market prices. Market risk comprises of interest rate risk and currency risk. Financial instruments affected by market risk
primarily include trade and other receivables, trade and other payables and borrowings.
Currency risk
Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in
foreign exchange rates. The Company’s exposure to the risk of changes in foreign exchange rates relates primarily to the
Company’s operating activities (when revenue or expense is denominated in a foreign currency). The Company manages
its foreign currency risk by taking foreign currency forward contracts, if required
Exposure to currency risk

The summary quantitative data about the Company’s exposure to currency risk as reported to the management of
the Company is as follows:

USD EUR USD EUR
Trade payables 19,39,975.00 18,86,009.00 11,38,140.00 20,89,440.00
Net statement of financial position exposure 19,39,975.00 18,86,009.00 11,38,140.00 20,89,440.00
Annual Report 1
Not
NOTEs
The following significant exchange rates have been

applied
Average Rates Year end spot rates
31 March 2018 31 March 2017 31 March 2018 31 March 2017
USD 1 64.39 66.97 65.04 64.84
EUR 1 75.32 73.50 80.62 69.25
AED 1 17.53 18.27 18.24 17.66
Sensitivity analysis
A reasonably possible strengthening (weakening) of the INR against all other currencies at 31 March would have
affected the measurement of financial instruments denominated in a foreign currency and affected equity and profit or
loss by the amounts shown below. This analysis assumes that all other variables, in particular interest rates, remain
constant.
`/Lacs
Strengthening Weakening Strengthening Weakening
31 March 2018
USD (10% movement) 126.17 (126.17) 82.50 (82.50)
EUR (10% movement) 152.05 (152.05) 99.43 (99.43)
31 March 2017
USD (10% movement) 73.79 (73.79) 48.25 (48.25)
EUR (10% movement) 144.69 (144.69) 94.62 (94.62)
Interest rate risk

The Company’s main interest rate risk arises from long-term borrowings with variable rates, which expose the Company
to cash flow interest rate risk.During 31 March 2018 and 31 March 2017, the Company’s borrowings at variable rate were
mainly denominated in INR.
The Company’s fixed rate borrowings are carried at amortised cost. They are therefore not subject to interest rate risk as
defined in Ind AS 107, since neither the carrying amount nor the future cash flows will fluctuate because of a change in
market interest rates.
Currently the Company’s borrowings are within acceptable risk levels, as determined by the management, hence
the Company has not taken any swaps to hedge the interest rate risk.
Exposure to interest rate risk

The interest rate profile of the Company’s interest-bearing financial instruments as reported to the management of the
company is as follows.
`/Lacs
Nominal Amount
31 March 2018 31 March 2017
Fixed-rate instruments
Financial liabilities 89,462.86 93,123.51
1,45,856.41 1,47,708.58
Variable-rate instruments
Financial liabilities 2,25,271.04 2,56,259.93
2,35,679.27 2,63,791.13
1 J.K. Cement
NOTEs
Cash flow sensitivity analysis for variable-rate instruments

A reasonably possible change of 100 basis points in interest rates at the reporting date would have increased
(decreased) equity and profit or loss by the amounts shown below. This analysis assumes that all other variables, in
particular foreign currency exchange rates, remain constant.
`/Lacs
100 bp increase 100 bp decrease 100 bp increase 100 bp decrease
31 March 2018
31 March 2017
42. a) PRIOR YEAR ERRORS

During the financial year ended 31 March 2018, the Company discovered that the deferred tax charge was erroneously created
lower by ` 4,879.19 lacs due to consideration of incorrect carried forward unabsored depreciations and business losses.
Consequently, Deferred tax liability (net) was shown lower by the same amount. Financial statements for the year ended 31
March 2017 has been restated to correct this error. The effect of the restatement on those financial statements is summarised
below. There is no effect in financial year 2017-18.
In financial year ended 31 March 2017, the Company reported as follows:

`/Lacs
31 March 2017
MAT credit entitlement (7,047.08)
Deferred tax 6,488.28
Deferred tax liability (net) was shown ` 21,107.33 in the Balance Sheet as at 31 March 2017
The following are the restated amounts which are being reported after correction for the year ended 31 March 2017 as
comparatives.
`/Lacs
31 March 2017
Restated
Deferred tax charged/(credit) 4,320.39
Deferred tax liability (net) restated to ` 25986.52 in the Balance Sheet as at 31 March 2017
Annual Report 1
Not
NOTEs
b) In addition to the above, following are the reclassifications made in the previous year figures to make them
comparable/ better presentation with the current year figures. These reclassification does not have any significant effect
on the balance sheet at the beginning of the preceding financial year, i.e, April 1, 2016. Also, these reclassifications do not
have any impact on the profit other than those described in note (a) above.
Particulars As at 31st As at 31st Nature

March 2017 March 2017
(Restated) (Published)
ASSETS
NON CURRENT ASSETS
Non current - Investments 1500.84 1500.84 Reclassification items
Non current - Loans and advances 13477.43 14264.06 Reclassification items
Other non current assets 11337.15 9773.30 Reclassification items
CURRENT ASSETS
Current Assets - Financial assets - Cash and cash equivalents 13010.96 42624.56 Reclassification items
Current Assets - Financial assets - Bank balances other than (iii) 30520.43 99.20 Reclassification items
above
Other Current Financial Assets 5266.36 4925.82 Reclassification items
Other current assets 16319.70 17583.05 Reclassification items
Other Equity 164075.83 168955.02 Reclassification items
Borrowings - Non Current 287014.50 290623.46 Reclassification items
Deferred tax liabilities (net) 25986.52 21107.33 Variance due to error as mentioned in
note above
Other non-current liabilities 8633.01 5271.37 Reclassification items
Current Liabilities
Borrowings - Current 22593.28 22441.35 Reclassification items
Trade Payable - Current 42712.98 23371.51 Reclassification items
Other financial liabilities 45931.78 70868.97 Reclassification items
Other current liabilities 15638.19 8382.12 Reclassification items
Short-term provisions 1051.29 1946.56 Reclassification items
Current tax Liability (net) 148.90 156.55 Reclassification items
Profit & loss Account
Revenue from operations 465399.91 469487.60 Reclassification items
Other income 9843.01 5029.39 Reclassification items
Cost of materials consumed 68647.53 73794.08 Reclassification items
Changes in inventories of finished goods, stock-in-Trade and 1451.83 2102.72 Reclassification items
work-in-progress
Finance costs 30266.26 29540.31 Reclassification items
Other expenses 291042.39 285244.97 Reclassification items
Tax Expense
MAT Credit Entitlement -7047.08 Reclassification items
Deferred Tax 4320.39 6488.28 Variance due to :-
i) reclassification of MAT credit
entitlement in deferred tax
ii) error as mentioned in note above
Profit/ (loss) for the year 17196.80 22075.99
Earning per equity share (`)
Basic 25.42 32.39
Diluted 25.42 32.39
1 J.K. Cement
NOTEs

a. Amount required to be spent by the Company on Corporate Social Responsibility (CSR) activities during the year was
` 461.28 lacs i.e. 2% of average net profits for last three financial years, calculated as per section 198 of the Companies
Act,2013
b. Corporate Social Responsibility (CSR) activities undertaken during the year is ` 481.07 lacs. Further, no amount has
been spent on construction/acquisition of an asset of the Company and entire amount is spent on cash basis.
44. ASSETS HELD FOR SALE

During the year, the Company entered into agreement to sell the thermal power plant and other DG sets at Rajasthan location
as these were not in active use. Accordingly, these assets has been classified as ‘held for sale’. Sale of these assets are expected to
be completed within next 12 months.
45. EXCEPTIONAL ITEMS

This represents the loss booked on accounts of sale of thermal power plant and other DG sets in current year. The previous
year exceptional item represents governement cess reversed.
46 (1) Additional informations, as required under Schedule III of the Companies Act,2013 of Enterprises consolidated as
Subsidiary/Joint Ventures
Name of Enterprise Net Assets i.e. (Total Assets- Share in Profit or Loss
Total
Liabilites)
As % As %
of Amount Amount
of
Consolidated (` in
Consolidated (` in lacs)
Assets lacs) Profit
Parent
J.K.Cement Ltd. 96.84% 1,91,239.52 118.06% 34,187.36
Subsidiary (Indian)
Jaykaycem Central Ltd. 4.40% 8,689.28 -0.22% (64.41)
Subsidiary including Fellow Subsidiary (Foreign)
J.K.Cement (Fujairah) FZC & J.K.Cement Works (Fujairah) FZC -1.24% (2,457.84) -19.22% (5,564.89)
Minority Interest in Foreign Subsidiary - - 1.38% 398.74
Joint Venture
Bander Coal Company Pvt. Ltd 0.01% 15.86 0.00% 0.70
Total 100.00% 1,97,486.82 100.00% 28,957.50
Annual Report 1
46 (2). SALIENT FEATURES OF FINANCIAL STATEMENTS OF SUBSIDIARIES (PART-A)
NOT
1
Not
`/Lacs
S.No. Name of the Subsidiary Reporting
Share Reserves & Non Current Total Assets Non Current Total Investment Total Profit/ Provision Profit/ Proposed % of
J.K. Cement
Company Currency #
Capital Surplus Current Assets Current Liabilities Liabilites Income (Loss) for Tax (Loss) after Dividend Holding
Assets Liabilities before Tax Tax
1 J.K.Cement (Fujairah) FZC * AED 15,190.03 517.64 48,230.57 8.06 48,238.62 32,510.48 20.47 32,530.95 44,846.41 1,105.37 266.26 - 266.26 - 100.00
2 J.K.Cement Works (Fujairah) AED 15,518.52 (21,234.56) 80,825.75 11,733.91 92,559.66 84,648.30 13,627.40 98,275.71 - 26,230.11 (5,567.40) - (5,567.40) - 90.00
FZC * (Fellow Subsidiary) @
3 Jaykaycem (Central) Ltd. INR 1,044.72 7,644.56 7,444.60 1,255.67 8,700.27 - 10.99 10.99 - 48.01 (86.74) (22.33) (64.41) -
Notes;
# Exchange Rate adopted for consolidation ` 17.407025 1 AED
* Company having 31st December as a reporting
date. @ Non-controlling interest as on reporting
date is Nil
46 (3). SALIENT FEATURES OF FINANCIAL STATEMENTS OF JOINT VENTURES (PART-

B) `/Lacs
S.No. Name of Joint Venture Shares of Joint Ventures held by the Networth Profit/(Loss) for the year**
company
on the year end Reason why attributable
Description
Latest Audited
Balance Sheet
Date of how there the Joint to
Amount of Extent of is significant ventre is not Shareholding Considered in Not
Nos. Investment in as per latest Conisdered in
Holding influence consolidated Consolidation
Joint Venture audit Consolidation
Balance Sheet
1 Bander Coal Company Pvt. Ltd 31.03.2017 375000 37.50 37.50% Share holding - 15.14 0.70 -
Note ;
** Financial Information is based on Unaudited Results
NOTEs
46. STANDARDS ISSUED BUT NOT YET EFFECTIVE

Currently, the Company recognises revenue
The amendments to standards that are issued, but not
from the sale of goods measured at the fair
yet effective, up to the date of issuance of the Company’s
value of the consideration received or
financial statements are disclosed below. The Company
receivable,
intends to adopt these standards, if applicable, when
net of returns and allowances, trade discounts
they become effective.
and volume rebates. If revenue cannot be
reliably measured, the Company defers revenue
The Ministry of Corporate Affairs (MCA) has issued the
recognition until the uncertainty is resolved. Such
Companies (Indian Accounting Standards) Amendment
provisions give rise to variable consideration
Rules, 2017 and Companies (Indian Accounting Standards)
under Ind AS 115, and will be required to be
Amendment Rules, 2018 amending the following standard:
estimated at contract inception and updated
thereafter.
Ind AS 115 Revenue from Contracts with Customers
Ind AS 115 was issued on 28 March 2018 and
Ind AS 115 requires the estimated variable
establishes a five-step model to account for revenue
consideration to be constrained to prevent over-
arising from contracts with customers. Under Ind AS
recognition of revenue. The Company does not
115, revenue is recognised at an amount that reflects
expects that application of the constraint will
the consideration to which an entity expects to be
result in material revenue being deferred than
entitled in exchange for transferring goods or services
under current Ind AS.
to a customer.
(b) Presentation and disclosure requirements
The new revenue standard will supersede all current
The presentation and disclosure requirements in Ind
revenue recognition requirements under Ind AS. Either a
AS 115 are more detailed than under current Ind AS.
full retrospective application or a modified retrospective
The presentation requirements represent a
application is required for annual periods beginning on
significant change from current practice and
or after 1 April 2018. The Company plans to adopt the new
significantly increases the volume of disclosures
standard on the required effective date using the modified
required in
retrospective method.
the Company’s financial statements. Many of the
disclosure requirements in Ind AS 115 are new and
The Company is in the business of manufacturing and
the Company has assessed that the impact of these
selling cement and related products. The cement and
disclosures requirements will not be significant. In
related products are sold both on their own in separate
particular, the Company does not expect that the notes
identified contracts with customers and through
to the financial statements will be expanded because
distribution channel of dealers and distributors.
of the disclosure of significant judgements made: . In
addition, as required by Ind AS 115, the Company will
(a) Sale of goods
disaggregate revenue recognised from contracts with
For contracts with customers in which the sale of
customers into categories that depict how the nature,
cement and related products is generally expected to
amount, timing and uncertainty of revenue and cash
be the only performance obligation, adoption of Ind
flows are affected by economic factors. It will also
AS 115 is not expected to have any material impact
disclose information about the relationship between
on the Company’s revenue and profit or loss. The
the disclosure of disaggregated revenue and revenue
Company expects the revenue recognition to occur at a
information disclosed for reportable segment
point
in time when control of the asset is transferred to the
(c) Other adjustments
customer, generally on delivery of the goods.
The recognition and measurement requirements in
Ind AS 115 are also applicable for recognition and
In preparing to adopt Ind AS 115, the Company is
measurement of any gains or losses on disposal of
considering the following:
non-financial assets (such as items of property,
plant and equipment and intangible assets), when
(i) Variable consideration
that disposal is not in the ordinary course of
Some contracts with customers provide a right
business.
of return, trade discounts or volume rebates.
Annual Report 1
However, on transition, the effect of these
changes is not expected to be material for the
Company.
1 J.K. Cement
Notes
NOTEs
Amendments to Ind AS 112 Disclosure of Interests in is evidence of the change in use. A mere change in
Other Entities: Clarification of the scope of disclosure
requirements in Ind AS 112
The amendments clarify that the disclosure
requirements in Ind AS 112, other than those in
paragraphs B10–B16, apply to an entity’s interest in a
subsidiary, a joint venture or an associate (or a
portion of its interest in a joint venture or an
associate) that
is classified (or included in a disposal group that is
classified) as held for sale.
These amendments are not applicable to the

Company.
Amendments to Ind AS 12 Recognition of Deferred

Tax Assets for Unrealised Losses
The amendments clarify that an entity needs to
consider whether tax law restricts the sources of
taxable profits against which it may make
deductions on the reversal of that deductible
temporary difference. Furthermore, the amendments
provide guidance on how an entity should determine
future taxable profits and explain the circumstances
in which taxable profit may include the recovery of
some assets for more than their carrying amount.
Entities are required to apply the amendments

retrospectively. However, on initial application of the
amendments, the change in the opening equity of
the earliest comparative period may be recognised
in opening retained earnings (or in another
component of equity, as appropriate), without
allocating the change between opening retained
earnings and other
components of equity. Entities applying this relief must
disclose that fact.
These amendments are effective for annual periods

beginning on or after 1 April 2018. These
amendments are not expected to have significant
impact on the Company.
TRANSFERS OF INVESTMENT PROPERTY -

AMENDMENTS TO IND AS 40
The amendments clarify when an entity should
transfer property, including property under
construction or development into, or out of
investment property. The amendments state that a
change in
use occurs when the property meets, or ceases to
meet, the definition of investment property and there
Annual Report 1
management’s intentions for the use of a
property does not provide evidence of a
change in use.
Entities should apply the amendments

prospectively to changes in use that
occur on or after the beginning of the
annual reporting period in which the entity
first applies the amendments. An entity
should reassess the classification of
property held at that date and, if
applicable, reclassify property to reflect
the conditions that exist at that date.
Retrospective application
in accordance with Ind AS 8 is only
permitted if it is possible without the use
of hindsight.
The amendments are effective for annual

periods beginning on or after 1 April 2018.
These amendments are not expected to
have significant impact on the Company.
Ind AS 28 Investments in Associates and

Joint Ventures - Clarification that
measuring investees at fair value through
profit or loss is an investment-by-
investment choice
The amendments clarify that:
• An entity that is a venture capital

organisation, or other qualifying
entity, may elect, at initial
recognition on an investment-by-
investment basis, to measure its
investments in associates and joint
ventures at fair value through profit
or loss.
• If an entity, that is not itself an

investment entity, has an interest
in an associate or joint venture that
is an investment entity, the entity
may, when applying the equity
method, elect to retain the fair
value measurement applied by
that investment entity associate or
joint venture to the investment
entity associate’s or joint venture’s
interests in subsidiaries. This
election is made separately for each
investment entity associate or joint
venture, at the later of the date on
which: (a) the investment entity
associate
or joint venture is initially recognised;
(b) the associate or joint venture
becomes an investment entity; and
(c) the investment entity associate or
joint venture first becomes a parent.
The amendments should be applied

retrospectively and are effective from 1
April 2018. These amendments are not
applicable to the company.
2 J.K. Cement
NOTEs
Appendix B to Ind AS 21 Foreign Currency Transactions and Advance Consideration

The Appendix clarifies that, in determining the spot exchange rate to use on initial recognition of the related asset, expense
or income (or part of it) on the derecognition of a non-monetary asset or non-monetary liability relating to advance
consideration, the date of the transaction is the date on which an entity initially recognises the non-monetary asset or
non- monetary liability arising from the advance consideration. If there are multiple payments or receipts in advance, then
the entity must determine the transaction date for each payment or receipt of advance consideration.
Entities may apply the Appendix requirements on a fully retrospective basis. Alternatively, an entity may apply these
requirements prospectively to all assets, expenses and income in its scope that are initially recognised on or after:
(i) The beginning of the reporting period in which the entity first applies the Appendix, or
(ii) The beginning of a prior reporting period presented as comparative information in the financial statements of
the reporting period in which the entity first applies the Appendix.
The Appendix is effective for annual periods beginning on or after 1 April 2018. However, since the Company’s current
practice is in line with the Interpretation, the Company does not expect any effect on its consolidated financial statements.

date
Annual Report 1
SHAREHOLDERS GENERAL INFORMATION & GUIDANCE
1. The Ministry of Corporate Affairs has taken ‘Green Initiative

6. The share holders of physical segment who are having
in the Corporate Governance’ by allowing paperless
identical names in different folios are advised to consolidate
compliances by the Companies and has issued circulars
their holdings in one folio which will facilitate the investors
stating that service of notice/documents including Annual
in receiving consolidate dividend or non-cash corporate
Report can be sent by e-mail to its members. In this regard
benefit of future and would reduce un-necessary paper
we solicit your cooperation to update our databank.
work and service cost.
Members who have not registered so far, are requested to
register their e-mail address, contact telephone number,
7. The Investors who have not received Demat credit of
NECS/ECS Mandate in respect of electronic holdings with
shares allotted under public issue may write to us by
the Depository through their concerned Depository
quoting reference of their application no., name, address &
Participants. Members who hold shares in physical form
No. of shares applied for.
are requested to intimate their e-mail address, contact
telephone number at any of our e-mail address viz. (a)
8. Shareholders of physical segment who wish to notify
shambhu.singh@jkcement. com, (b)
change in their address may intimate complete new
rc.srivastava@jkcement.com, (c) investorservices@
address with Pin code No. by quoting their Folio No. and
jkcement.com, (d) jkshr@jkcement.com and send NECS/ECS
proof of Address
Mandate to the Registered Office of the Company.
i.e. copy of telephone/electricity bill or any receipt of
Municipal Corporation etc.
2. The equity shares of your company are listed on the
Bombay Stock Exchange Ltd. & National Stock Exchange
The Shareholders who holds shares in electronic /
of India Ltd., Mumbai and the same are compulsorily
Demat segment may notify their change in their
traded in dematerialized mode. Shareholders who wish
address to the DP with whom they are maintaining a
to dematerialize their shareholdings may send their
Demat account. No request For change in address from
request on prescribed form (available with DP)
the holders of Demat segment will be entertained
alongwith share certificate(s)/ for dematerialisation
directly by The Company.
through depository participant (DP) with whom they are
maintaining a demat account. The ISIN of the Company
9. The shareholders who wish to make nomination may
is INE 823G01014.
send their application on prescribed form under
Companies Act 2013 and Rules framed thereunder. The
3. The share holders who have not received corporate benefit
said form is also available on company’s website
i.e. share certificates, on account of shares held by them
www.jkcement.com.
in Jay Kay Enterprises Ltd (erstwhile J K Synthetics Ltd),
dispatched by the company during April, 2005 may
10. The Shareholders who holds shares in physical segment
intimate the company by quoting reference of Folio No. /
are mandatorily required to notify their updated Bank
DP-ID and Client ID etc.
Account Details for printing on the Dividend Warrant as
required in Sebi Circular No.CIR/MRD/DP/10/2013 dated
4. The share holders who have not received dividend
21.3.13.
warrants for the year 2010-11, 2011-12, 2012-13, 2013-14,
2014-15, 2015-16 and 2016-17 on account of their change
11. Investor Facilitator Scheme (‘Scheme’) has been framed
in address or any other reason may write to the
by J.K. Cement Ltd (‘JKCL’) to provide opportunity to its
Company’s Registrar
shareholders holding upto 100 shares in physical segment
& Transfer Agents, Jaykay Enterprises Ltd, Kamla Tower,
to dispose of their holding at Market Value without
Kanpur by quoting reference of their folio or DP-ID & Client
undergoing the process of dematerialisation of shares and
ID.
other costs related thereto. Interested shareholders may
contact at shambhu.singh@jkcement.com or The Asst. Vice
5. The shareholders who wish to seek any information,
President (Legal) & Company Secretary, J.K. Cement Ltd,
clarification in respect of share transfer activities or status of
Kamla Tower, Kanpur-208001.
their grievances may write to Company’s Registrar Transfer
Agent, Jaykay Enterprises Ltd, Kamla Tower, Kanpur at
following email address: shambhu.singh@jkcement.com.
2 J.K. Cement
CORPORATE INFORMATION
BOARD OF DIRECTORS
Yadupati Singhania, Chairman and Managing SENIOR MANAGEMENT PERSONNEL
Director Raghavpat Singhania – Special Executive
Smt. Sushila Devi Singhania Madhavkrishna Singhania – Special Executive
Achintya Karati Abhishek Singhania – Special Executive
A.K. Saraogi, President (Corporate Affairs) & CFO
Jayant Narayan Godbole Ashok Ghosh, President (Education & CSR)
Dr. K.B. Agarwal Rajnish Kapur, Business Head – Grey Cement
Kailash Nath Khandelwal B.K. Arora, Business Head – White Cement
S.K. Rathore, Unit Head – Grey Cement – Rajasthan
Paul Heinz Hugentobler Rajeev Sharma, Unit Head – White Cement – Rajasthan
Raj Kumar Lohia R.B.M. Tripathi, Unit Head – Grey Cement, Karnataka
Suparas Bhandari Harish Agarwal, Unit Head – Grey Cement, Haryana
Pushpraj Singh, President (Marketing) – Grey Cement
Shyam Lal Bansal Niranjan Mishra, President (Marketing) – White Cement
S.K. Tejwani, President (Projects)
BANKERS
Anil Kumar Agrawal, Senior Vice President (Tax & Management
Allahabad Bank Services)
Andhra Bank Andleeb Jain, Chief People Officer
Axis Bank Jitendra Singh, Chief Information Officer
Canara Bank Christer Mikael Eriksson, CEO – (UAE Operations)
Dena Bank Ajay Mathur, Marketing & Sales – (UAE Operations)
Export Import Bank of India
IDBI Bank Ltd. ASST. VICE PRESIDENT (LEGAL) & COMPANY SECRETARY
Indian Bank Shambhu Singh
Jammu & Kashmir Bank
Oriental Bank of Commerce AUDITORS
State Bank of India M/s S. R. Batliboi & Co, LLP, Chartered Accountants
Union Bank of India Golf View Corporate Tower B, Sector 42, Sector Road,
United Bank of India Gurgaon-122002
National Bank of Fujairah-UAE
REGISTRAR & SHARE TRANSFER AGENT
REGISTERED & CORPORATE OFFICE Jaykay Enterprises Ltd.
Kamla Tower, Kamla Tower, Kanpur-
Kanpur - 208001 208001 E-
mail:jkshr@jkcement.com
Shambhu.singh@jkcement.com
CENTRAL MARKETING OFFICE

Padam Tower, 19, DDA Community Centre, Okhla, Phase-1,
PLANTS LOCATION New Delhi-110020
PlantsLocation
INDIA
Grey Cement Plants Nimbahera, Dist. Chittorgarh, Rajasthan
Jharli, Dist: Jhajjar, Haryana
White Cement/Wall Putty Plants Gotan, Dist. Nagaur, Rajasthan
Rupaund, Tehsil- Badwara, Distt. Katni, M.P.
Thermal Power Plants Nimbahera, Dist. Chittorgarh, Rajasthan
Waste Heat Recovery Power Plant (For captive Nimbahera, Dist. Chittorgarh, Rajasthan
consumption) Mangrol, Dist. Chittorgarh, Rajasthan
OVERSEAS UNDERTAKEN BY SUBSIDIARY
Dual process White/Grey Cement Plant Plot No.7, Habhab, Tawian Fujairah, UAE

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DELIVERING

`341.87 CRORE 62%

GROWTH OVER FY 2016-17

Under Mr. Singhania’s leadership, J.K. Cement has recorded

CREATING VALUE THAT ENDUREs

J.K. Cement Limited is part of the

As one of the India’s leading cement

10.50 MNTPA 1.20 MNTPA 0.7 MNTPA

EQUIPPED TO PARTNER NATION-BUILDING

SECOND LARGEST PRODUCER

ACCESS TO EXTENSIVE LIMESTONE

TEAM OF 2,900+ `5,000 CRORE+

GLIMPsE OF OUR OPERATIONAL cANVAs

WHITE CEMENT AND

GREY CEMENT Vs WHITE

GREY CEM ENT

A view of the Gotan plant

INcREAsING sHARE OF sALEs FY 2017-18 FY 2016-17

EXPANDING OUR REAcH

WHITE CEMENT MARkET (GLOBAL)

STATE-WIsE GREY cEMENT VOLUME

OFFERINGs THAT sET INDUsTRY

JK White JK Wall Putty

JK Primaxx JK Super Grip

Ordinary Portland Portland Pozzolana Portland Slag

JK White Cement JK Wall Putty

CHAIRMAN AND MD’S INSIGHT

WE ARE AIMING TO ALMOsT DOUBLE OUR GREY cEMENT PRODUcTION cAPAcITY TO 18 MN

are growing capacities, expanding reach, steadfast focus on enhancing

PROGRESS WITH RESPONSIBILITY

At the same time, we are working

We are taking confident strides in all

A REsILIENT BUsINEss MODEL THAT

KEY INPUTs LEVERAGING OUR cORE sTRENGTHs

MANUFAcTURED CAPITAL STRATEGIc LOcATION

CREATING VALUE FOR

EXPANsION PLANs PARTNERs/DEALERs

KEY PERFORMANCE INDICATORS

NET sALEs EBITDA

PROFIT AFTER TAX (PAT) NET WORTH

KEY FINANcIAL RATIOs

EARNINGs PER sHARE (EPS) BOOk VALUE PER sHARE

FY16-17 FY17-18 y-o-y growth FY13-14 FY14-15 FY15-16 FY16-17 FY17-18

MAcRO LANDscAPE sHAPING OUR sTRATEGIEs

Infra promise Housing for All

Railways gathers momentum

Cement with bitumen

OUR sTRATEGIc ROADMAP

Objectives What’s on the radar Achievements, FY 2017-18

Capacity • Double Grey Cement capacity through • Initiated brownfield expansion of

Enhance brand • Sales volume increased by 16% over FY 2016-17

GREY cEMENT cAPAcITY

In FY 2017-18, we commenced our

We are also planning a 3.5 MnTPA

POST COMPLETION OF OUR TWO-

WALL PUTTY CAPACITY GROWTH

Annual Report 2017-18 23

1975 thermal power 0.75 MnTPA at