Birla Corporation has provided comprehensive updates on its growth projections, capital expenditure plans, and operational developments. The cement manufacturer outlined its volume growth expectations while revising capex guidance for the current financial year.

Volume Growth Projections

The company expects to achieve 4% to 5% volume growth this quarter, aligning with broader industry trends. Looking ahead, Birla Corporation anticipates maintaining a steady growth trajectory with projected growth rates of 3% to 4% in the future periods.

Capital Expenditure Update

Birla Corporation has revised its capital expenditure outlook for FY2026. The company's capex for the first nine months of FY2026 stands at around INR300 crores. Notably, the full-year capex is anticipated to be lower than previously guided, indicating a more conservative approach to capital allocation.

Operational Developments

The company continues to advance its expansion plans with the Kundanganj Line 3 operations set to commence during the current quarter. Additionally, Birla Corporation maintains its fuel cost projections, expecting costs to reach INR 1.5 per 1000 kilocalorie in Q4 FY2026.

These updates reflect Birla Corporation's balanced approach to growth, combining volume expansion expectations with prudent capital management while maintaining operational efficiency.

Birla Corporation Limited held its Q3FY26 earnings conference call on January 31, 2026, where management provided detailed insights into the company's performance and strategic direction. The call was hosted by HDFC Securities and attended by key executives including MD & CEO Sandip Ghose and Group CFO Aditya Saraogi.

Management Extensions and Board Decisions

The company announced significant management changes during the quarter. The Board extended Chief Marketing Officer Kalidas Pramanik's term by 2 years until January 2028, despite his scheduled retirement. Additionally, MD & CEO Sandip Ghose's tenure was extended beyond his original retirement date of December 31, 2025.

Strategic Focus on Trade and Premium Segments

Management emphasized their unwavering commitment to trade segment sales and premium product positioning. Despite market pressures favoring non-trade sales, the company maintained its strategic focus on B2C markets. The premium product share increased to 63% of total volumes, while trade segment proportion also grew during the quarter.

Operational Performance and Plant Updates

Mukutban plant achieved significant operational milestones, recording its highest ever monthly dispatch. The plant contributed 6.3 lakh tonnes in Q3FY26 with improved performance metrics. Management highlighted successful ramping up of the facility with strong premium product sales in the local market.

Expansion Plans and Capital Allocation

The company outlined comprehensive expansion plans worth Rs 4,750 crore including GST (Rs 4,200 crore net of GST). Kundanganj Line-III is expected to commence operations in Q4FY26, while Maihar Line-II is targeted for FY28. The expansion will increase total capacity from 20 million tonnes to 27.6 million tonnes by FY29.

Financial Metrics and Market Positioning

The company reported net debt of Rs 2,550 crore with capex of Rs 300 crore for nine months. Incentive booking was Rs 8 crore for the quarter, lower due to GST corrections. Management maintained focus on clinker realization optimization rather than simple volume growth.

Regional Market Dynamics

Management discussed challenging market conditions across regions, particularly in Central India where competitive intensity remained high. Bihar market saw 99% growth in non-trade segment, which the company consciously avoided. The company maintained pricing discipline in UP markets while focusing on brand equity preservation.

The management expressed confidence in their strategic approach, emphasizing long-term brand building over short-term volume gains. The company continues to focus on operational efficiency improvements and capacity optimization across all plants.