Birla Corp Q4 Results: Cement major Birla Corporation Ltd reported a significant increase in its consolidated net profit to Rs 193 crore, a 127% rise, for the quarter ending March 2024.
The company stated that lower power and fuel costs helped offset the soft price of the construction material during the quarter, which was due to challenging market conditions.
Consolidated revenue for the fourth quarter of the fiscal year 2023-24 reached Rs 2,682 crore, showing a growth of 6.8% compared to the same period last year.
The realisation from cement in the March quarter slightly decreased by 1.6% year-on-year to Rs 5,178 per tonne.
Birla Corporation mentioned in a statement that its cement division achieved a capacity utilisation of 97% for the March quarter after successfully ramping up the Mukutban unit in Maharashtra.
Company officials noted that cement prices remained weak in the last two quarters due to various factors and disruptions like Assembly elections in key areas.
The company’s subsidiary, RCCPL Private Ltd, approved an investment of Rs 425 crore to expand the capacity of its Kundanganj unit by 1.4 million tonnes within two years.
Chairman Harsh Vardhan Lodha stated, \”A third of the proposed investment will be funded by internal accruals. Birla Corporation aims to increase cement production to 25 million tonnes by fiscal 2026-27 as cement consumption in India continues to rise.\”
He added that the company’s investment in capacity-building has led to the successful ramp-up of the Mukutban unit, surpassing the company’s expectations, and overall performance improvement in 2023-24.
