Birla Corporation Q3 FY25 results: Net profit down 71.4% to Rs 31.19 crore

M P Birla Group flagship, Birla Corporation, recorded a 71.4 per cent year-on-year (Y-o-Y) drop in consolidated net profit to Rs 31.19 crore in the October–December quarter (Q3 FY25). In the year-ago period, net profit had stood at Rs 109.14 crore.

 

The company said that realisation from cement sales during the December quarter, at Rs 4,781 per tonne, was 9.5 per cent lower than last year due to lower prices in Maharashtra and central India. However, it represents a sequential growth of 1.8 per cent (Rs 4,697 per tonne in the September quarter).

 

In Q2 FY25, the company had reported a net loss of Rs 25.19 crore.

 

 

Revenue on a consolidated basis stood at Rs 2,272.07 crore in Q3 FY25, down 2.4 per cent from Rs 2,326.75 crore in the year-ago period. In Q2 FY25, revenue stood at Rs 1,969.78 crore.

 

Improved market conditions towards the end of the year reflected in a Y-o-Y sales growth of 7 per cent by volume in the December quarter, the company said.

 

The performance was led by the Chanderia unit, which benefited from higher traction in demand and prices in northern India. The company said that in the core markets of central India, it retained its premium positioning despite increased competition.

 

The Mukutban plant of subsidiary RCCPL registered a sequential volume growth of almost 20 per cent.

 

On prices, the company said that they had started to firm up, and improved realisation was expected to support healthy growth in the quarters ahead.

 

While prices remained flat through October, cement manufacturers were able to raise prices by an average of Rs 3–5 per 50-kg bag only between end-November and December, Birla Corporation stated. In the eastern and central markets, which are among the company’s core markets, prices rose by Rs 2–3 per bag, against an average of Rs 4 for the rest of the country.

 

The company’s jute division was impacted by a drop in government orders and higher material and conversion costs. It reported a cash loss of Rs 4.60 crore for the December quarter. However, the division registered a 108 per cent jump in overseas sales of value-added products during the quarter, the company mentioned.