Birla Corp to Invest ₹4,335 Cr in Cement Capacity Expansion

Birla Corporation, the flagship of the M P Birla Group, is set to invest ₹4,335 crore to significantly ramp up its cement production capacity. The move comes as the company posted strong financials for the fourth quarter of FY25, with both demand and pricing contributing to its performance.

The investment includes three new greenfield grinding units and the expansion of an existing integrated unit. Birla Corp board has sanctioned ₹860 crore for a 2.8 million tonnes per annum (MTPA) greenfield grinding unit at Gaya, Bihar. The plant will come on stream in phases and is scheduled to be operational from Q4 FY29.

Also, its subsidiary RCCPL will invest ₹3,475 crore to establish two greenfield grinding units in Uttar Pradesh with a combined capacity of 3.4 MTPA. It also plans to have a 3.7 MTPA brownfield clinker unit at Maihar in Madhya Pradesh.

Our capacity utilization in central and eastern India has crossed 100%,\” said Harsh V Lodha, Chairman of Birla Corporation. “This expansion is essential to fulfill rising demand and strengthen our market share.

The firm registered a 33% quarter-to-quarter year-to-year consolidated net profit of March Q4 FY25 at ₹256.6 crore versus ₹193.3 crore in the previous corresponding period.

Operating revenue rose by 6% at ₹2,814.9 crore for March Q4 FY25 from ₹2,654.4 crore for March Q4 FY24.

Its cement business operating margins were better at 20% in the quarter compared to 18.6% for the same quarter last year on account of enhanced efficiency and stronger market fundamentals.

Growth drive is reflective of Birla Corporation’s plans to bet on high-demanding segments and long-term expansion, as infra and construction activity gains momentum across the country