{"id":10922,"date":"2025-08-22T10:00:23","date_gmt":"2025-08-22T05:00:23","guid":{"rendered":"https:\/\/ksestocks.com\/blog\/?p=10922"},"modified":"2025-08-22T10:00:23","modified_gmt":"2025-08-22T05:00:23","slug":"kohat-cement-company-kohc-a-glimpse-into-the-future-through-its-financials","status":"publish","type":"post","link":"https:\/\/ksestocks.com\/blog\/kohat-cement-company-kohc-a-glimpse-into-the-future-through-its-financials\/","title":{"rendered":"Kohat Cement Company (KOHC): A Glimpse Into the Future Through Its Financials"},"content":{"rendered":"\n

Kohat Cement Company (KOHC<\/a>)<\/strong> has been in the spotlight lately, and for good reason. The numbers show a company that’s not only stable today but also gearing up for strong growth in the years ahead.<\/p>\n\n\n\n

Let\u2019s break down the key highlights from their financial projections in plain and simple terms.<\/p>\n\n\n\n

Revenues are holding steady<\/h2>\n\n\n\n

Over the last few years, KOHC\u2019s sales have remained solid:<\/p>\n\n\n\n

    \n
  • In FY23: PKR 38.9 billion<\/strong><\/li>\n\n\n\n
  • In FY24: PKR 38.6 billion<\/strong><\/li>\n\n\n\n
  • And they\u2019re expected to grow steadily to PKR 51.8 billion<\/strong> by FY28<\/li>\n<\/ul>\n\n\n\n

    This signals a gradual but healthy growth path<\/strong> for the business.<\/p>\n\n\n\n

    Profits are getting a big boost<\/h2>\n\n\n\n

    The real story is in the profit margins:<\/p>\n\n\n\n

      \n
    • Gross profit margins<\/strong> are expected to rise from 27% in FY23<\/strong> to 42%+ by FY27-FY28<\/strong><\/li>\n\n\n\n
    • Net profit<\/strong> will grow from PKR 5.8 billion in FY23<\/strong> to over PKR 15 billion by FY28<\/strong><\/li>\n\n\n\n
    • That\u2019s almost a 3x increase<\/strong> in profits over five years!<\/li>\n<\/ul>\n\n\n\n

      Higher profits mean KOHC is managing its costs well and earning more from each bag of cement sold.<\/p>\n\n\n\n

      Earnings Per Share (EPS) rising fast<\/h2>\n\n\n\n

      Earnings per share (EPS) tells us how much profit each share of the company makes:<\/p>\n\n\n\n

        \n
      • In FY23, EPS was PKR 31.7<\/strong><\/li>\n\n\n\n
      • It\u2019s projected to more than double to PKR 82.8<\/strong> by FY28<\/li>\n<\/ul>\n\n\n\n

        This is good news for investors, as it shows strong returns<\/strong> for shareholders.<\/p>\n\n\n\n

        KOHC is conservative with dividends, but that\u2019s changing<\/h2>\n\n\n\n

        Until now, KOHC hasn\u2019t paid any dividends (DPS = 0). But that\u2019s about to change:<\/p>\n\n\n\n

          \n
        • Starting FY27, they plan to pay PKR 7 per share<\/strong><\/li>\n\n\n\n
        • By FY28, that goes up to PKR 11 per share<\/strong><\/li>\n<\/ul>\n\n\n\n

          This reflects the company\u2019s confidence in its cash flow and long-term profitability.<\/p>\n\n\n\n

          Valuation: still a bargain?<\/h2>\n\n\n\n

          Even with strong profits, KOHC\u2019s Price-to-Earnings (P\/E) ratio<\/strong> stays low:<\/p>\n\n\n\n

            \n
          • FY24 P\/E: 5.5x<\/strong><\/li>\n\n\n\n
          • FY28 P\/E: 5.4x<\/strong><\/li>\n<\/ul>\n\n\n\n

            A lower P\/E means the stock is undervalued<\/strong>; investors are paying less for every rupee of profit.<\/p>\n\n\n\n

            In comparison, similar companies usually trade at higher P\/E multiples. For smart investors, this could be a great entry point<\/strong>.<\/p>\n\n\n\n

            Returns & financial strength<\/h2>\n\n\n\n

            KOHC\u2019s Return on Equity (ROE)<\/strong>, a measure of how efficiently it uses investor money, stays strong:<\/p>\n\n\n\n

              \n
            • Between 17\u201322%<\/strong> over FY23\u2013FY28<\/li>\n\n\n\n
            • That\u2019s well above average and shows consistent performance<\/li>\n<\/ul>\n\n\n\n

              And with minimal debt<\/strong> and strong cash flow, the company remains financially secure.<\/p>\n\n\n\n

              In summary<\/h2>\n\n\n\n

              KOHC\u2019s financial story is one of smart management<\/strong>, growing profits<\/strong>, and disciplined spending<\/strong>. Here\u2019s what stands out:<\/p>\n\n\n\n

              – Sales are rising steadily
              – Profits are growing sharply
              – Margins are improving
              – The company is starting dividends
              – Valuation still looks cheap
              – Returns remain strong and consistent<\/p>\n\n\n\n

              Source: Insight Securities <\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

              Kohat Cement Company (KOHC) has been in the spotlight lately, and for good reason. The numbers show a company that’s not only stable today but also gearing up for strong growth in the years ahead.<\/p>\n","protected":false},"author":9252,"featured_media":6820,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[154,138],"tags":[45],"class_list":["post-10922","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analysis","category-financials","tag-kohc"],"featured_image_src":{"landsacpe":["https:\/\/ksestocks.com\/blog\/wp-content\/uploads\/2024\/11\/KOHC-STOCK-PSX-1140x445.png",1140,445,true],"list":["https:\/\/ksestocks.com\/blog\/wp-content\/uploads\/2024\/11\/KOHC-STOCK-PSX-463x348.png",463,348,true],"medium":["https:\/\/ksestocks.com\/blog\/wp-content\/uploads\/2024\/11\/KOHC-STOCK-PSX-300x188.png",300,188,true],"full":["https:\/\/ksestocks.com\/blog\/wp-content\/uploads\/2024\/11\/KOHC-STOCK-PSX.png",1920,1200,false]},"_links":{"self":[{"href":"https:\/\/ksestocks.com\/blog\/wp-json\/wp\/v2\/posts\/10922","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ksestocks.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/ksestocks.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/ksestocks.com\/blog\/wp-json\/wp\/v2\/users\/9252"}],"replies":[{"embeddable":true,"href":"https:\/\/ksestocks.com\/blog\/wp-json\/wp\/v2\/comments?post=10922"}],"version-history":[{"count":1,"href":"https:\/\/ksestocks.com\/blog\/wp-json\/wp\/v2\/posts\/10922\/revisions"}],"predecessor-version":[{"id":10925,"href":"https:\/\/ksestocks.com\/blog\/wp-json\/wp\/v2\/posts\/10922\/revisions\/10925"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/ksestocks.com\/blog\/wp-json\/wp\/v2\/media\/6820"}],"wp:attachment":[{"href":"https:\/\/ksestocks.com\/blog\/wp-json\/wp\/v2\/media?parent=10922"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/ksestocks.com\/blog\/wp-json\/wp\/v2\/categories?post=10922"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/ksestocks.com\/blog\/wp-json\/wp\/v2\/tags?post=10922"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}