Ultratech commissions greenfield capacities in Tamil Nadu & Chhattisgarh

Ultratech Cement said that it has commissioned two new greenfield capacities totaling 5.4 million tones per annum (MTPA) in the states of Chhattisgarh and Tamil Nadu, taking the company's total cement capacity to 151.6 MTPA.

This capacity is more than 150% of the capacity in the United States and 80% of Europe's capacity.

The company said that it took 36 years for the cement business of the Aditya Birla Group, to get to a capacity of 100 MTPA. UltraTech has subsequently added the next 50 MTPA in less than 5 years with an investment of around Rs 32,000 crore. Over the past two decades, UltraTech has grown 11x, far outpacing the industry growth of 4x.

Kumar Mangalam Birla, chairman, Aditya Birla Group, said: "Reaching this milestone is symbolic of Indias ascent on the global stage and demonstrates the dynamism and scale of Indian corporations. UltraTech, as a national champion, is an enabler of Indias development.

With a mix of integrated cement plants, grinding units, bulk terminals across 59 locations in India along with 307 ready mix concrete plants, UltraTechs scale and capacity footprint is unparalleled. And this scale will further enable UltraTech to service Indias growing demand for cement across the country."

Over the last 12 months, UltraTech has expanded its capacity by 18.7 MTPA. In addition to that, the ongoing expansion of 35.5 MTPA is actively being implemented across 16 locations.

The company is in the process of closing the proposed acquisition of Kesoram Cement. This will further augment UltraTechs grey cement capacity to 198.2 MTPA.

"UltraTech is committed to a capex of Rs.32,400 crores over the next three years, the company said in a statement.

UltraTech Cement is the cement flagship company of the Aditya Birla Group. It is the third largest cement producer in the world, outside of China, with a consolidated Grey Cement capacity of 138.39 MTPA.

The company reported 67.03% jump in consolidated net profit to Rs 1,774.78 crore on 7.85% rise in revenue from operations to Rs 16,739.97 crore in Q3 FY24 over Q3 FY23.

The scrip rose 0.25% to currently trade at Rs 10065 on the BSE.

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