Backed by better-than-estimated jump in average realization of grey cement (+1.5% yoy & +8.7% qoq) and improved operating synergies, J.K. Cement (JKC) has reported a healthy operating performance in 1QFY17 with its EBITDA surging by 95% yoy to Rs1.66bn topping our estimate of Rs1.52bn. Grey Cement EBITDA spiked by ~135% yoy to Rs1.0bn. Notably, raw material cost/tonne jumped by ~5% yoy & ~20% qoq owing to clinker purchase due to breakdown of Silo at Karnataka plant. However, decline in power and fuel cost (-34% yoy & -9% qoq on per tonne basis) and freight cost (-8% yoy & -2% qoq on per tonne basis) led by...