Birla Corp Q1 profit hit by clinker costs

Birla Corporation reported Q1 FY'26 EBITDA per ton of INR715, down from INR1,000, primarily due to unforeseen extended shutdowns at Mukutban and Maihar plants. This forced the company to purchase approximately 100,000 tons of clinker from competitors, incurring significant additional costs.

The Central region, representing 50% of volume mix, experienced a marginal 2% price drop, while East and North regions saw price increases. Management expects no further clinker purchases in Q2-Q4, anticipating improved profitability.

Net debt stands at INR2,300 crores, with a target to close the year under INR3,000 crores.