Dalmia Bharat said its newly acquired assets in central India are likely to start making a meaningful contribution to volumes from the third quarter of the current fiscal year. The update comes at a time when the cement maker is balancing expansion plans with weaker profitability.
According to the company, the assets were acquired from Adani Group and add more than five million tonnes of capacity. That increase is expected to strengthen Dalmia Bharat’s footprint in the region and support shipment growth once the new facilities are fully integrated into operations.
The positive outlook on volumes stood in contrast to the latest earnings performance, with profit falling 50%. While the company sees near-term pressure on the bottom line, management is pointing to the acquired capacity as a key driver for improving operating momentum in the coming quarters.
With operations beginning at the newly added assets, investors will now be watching how quickly the capacity ramps up and translates into sales. For Dalmia Bharat, the focus appears to be on turning this acquisition into higher volumes from the second half of the fiscal year.
