BirlaNu Limited has informed the Exchange about Commencement of commercial production/operations
BIRLANU · price
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BirlaNu Limited has started commercial production of Autoclaved Aerated Concrete (AAC) blocks through Line 2 at its Chennai plant on May 27, 2025. The new line adds 211,700 cubic meters of capacity, nearly doubling the plant's total capacity to 448,220 m3 from the existing 236,520 m3 via Line 1. The expansion involved an investment of around Rs. 44 crore, funded through a mix of debt and internal accruals. The existing Line 1 was operating at 83% utilization in FY25 on a pro-rata basis, indicating strong demand. The company aims to cater to growing AAC block requirements in the southern region.
This capacity expansion strengthens BirlaNu's presence in the southern construction materials market and provides room for revenue growth, though actual earnings impact will depend on how quickly the new line ramps up utilization. The Rs. 44 crore investment is modest and likely manageable without straining the balance sheet.