Birla Corporation Limited held its 105th Annual General Meeting on September 15, 2025, where the Chairman addressed shareholders on the company's performance and future strategies, emphasizing growth, efficiency, and sustainability.
Despite facing pricing pressure in the cement market with prices falling 11% in the first eight months, Birla Corporation maintained a capacity utilization of 91% in its cement division and achieved a sales growth of 2.5% by volume.
The company's premium products experienced strong growth, with sales increasing by 11%. The flagship brand, Perfect Plus, grew by 15% and now accounts for 60% of total sales through trade channels. Perfect Plus commands a premium in pricing over competitors in Uttar Pradesh.
The Mukutban plant, commissioned three years ago, has been scaling up its capacity utilization and contributing to the company's profits. With the stabilization of expansions at Mukutban and Chanderia, and maintaining capacity utilization above 90%, the company has decided to launch its next phase of growth.
Advertisement


In May 2025, the boards of Birla Corporation and its subsidiary RCCPL approved an investment of ?4,335 Crores to increase consolidated production capacity from 20 million tons to 27.6 million tons by 2028-29. RCCPL will invest ?2,300 Crores to expand the clinker production capacity of its Maihar unit, which will feed three new grinding units in Prayagraj, Gaya, and Aligarh. An investment of over ?2,035 Crores has been budgeted for these new units.
Birla Corporation expects cement demand in India to grow at a CAGR of 6-7% over the next few years. The reduction in GST rate on cement from 28% to 18% is expected to boost demand for housing. The government's capital investment outlay of ?11 Lakh Crores in this year's budget and the Reserve Bank's repo rate cuts are also expected to support growth.
The company's net debt has been reduced to a little over ?2,200 Crores from ?3,000 Crores a year earlier, thanks to robust cash flow. The cost of borrowing at the end of the last financial year was 7.56%, down 35 basis points from a year earlier.
Advertisement


In the first quarter of the current financial year, Birla Corporation has maintained high capacity utilization and pushed for growth in the premium segment. Sales by volume grew 9% year-on-year despite outages and maintenance shutdowns. The company purchased clinker from external sources to protect its market share.
Perfect Plus sales grew 19% in the June quarter, driven by growth in Rajasthan, Madhya Pradesh, Uttar Pradesh, Maharashtra, and West Bengal. Sales of Unique Plus grew 37% during the quarter. Sales in the east grew 18%, followed by the west at 15%. In the central and northern regions, sales grew 7-8%.
Birla Corporation is focused on improving efficiency and reducing its environmental impact. The company is increasing its consumption of green power, with the share of green power in total power consumption reaching 24.8% in financial year 2024-25 and 27% in the June quarter of the current year. The company is also three times water positive and is undertaking afforestation drives, planting more than 80,000 trees in and around its manufacturing facilities in the last financial year.
The MP Birla Group is committed to serving society, especially the weaker sections. The group is expanding its educational institutions and healthcare establishments, including the addition of Bombay Hospital, Jaipur, a multi-specialty hospital with 250 beds. The group's CSR initiatives are spread across 410 villages in six states and benefit at least 1.25 million people.
Birla Jute Mills, the only operating jute mill under the same management since 1919, is focused on improving its operations and profitability. The company is working on raw jute procurement, conversion cost, and order execution. It is also extending its drive to increase the use of green power and is setting up a solar power generation facility. Birla Jute Mills is retiring old looms and replacing them with advanced machines to increase productivity and cut operating costs.
Birla Jute Mills has delivered cash profits as sales grew sharply and operations became more efficient in the past two quarters. The company is also collaborating with various institutes with the aim of developing more varieties of value-added jute products through research.