Birla Tyres targets ₹3,000-crore revenue as Himadri revives bankrupt brand with premium products, exports

Less than three years after acquiring Birla Tyres through the insolvency process, Himadri Speciality Chemical is aiming to build the once-defunct tyre maker into a ₹3,000-crore business, banking on premium products, exports and electric vehicle (EV) tyres to drive its turnaround.

The ambitious target comes after Birla Tyres generated ₹187 crore in revenue in FY26, marking the company’s return to business after its Balasore manufacturing facility remained shut for more than 30 months.

The revival follows Himadri’s acquisition of Birla Tyres along with Dalmia Bharat Refractories Ltd (DBRL) under the Insolvency and Bankruptcy Code. The consortium acquired the company for around ₹347 crore, against admitted secured financial creditor claims of ₹1,097 crore, implying recoveries of about 29%.

The latest annual report of Himadri, coupled with company disclosures, shows the turnaround has now entered the growth phase after production resumed in the first quarter of FY26.

“Our strategy has shifted from restarting operations to scaling the business,” the company said, outlining plans to expand manufacturing, strengthen distribution and move into higher-value tyre segments.

The company said Birla Tyres is already “nearing double-digit market share in select geographies”, while achieving above-market realisations and steadily improving utilisation at its Balasore plant.

To support the expansion, Birla Tyres has rebuilt its sales network with 49 distributors—40 in India and nine overseas—and more than 1,000 dealers.

The product portfolio has also expanded to over 145 SKUs, comprising truck and bus bias tyres, agriculture tyres and off-the-road (OTR) tyres. The company plans to launch nearly 400 additional SKUs across agriculture, construction and mining, truck and bus, and other emerging categories.

A key pillar of the turnaround strategy is entry into the passenger car radial (PCR) segment, particularly tyres for electric vehicles and SUVs, where demand is expected to grow rapidly. Himadri plans to commission the PCR manufacturing facility by FY28, while export-led growth in agriculture and OTR tyres will remain another focus area.

The company expects production to ramp up first in commercial vehicle and off-highway tyres before expanding into passenger vehicle tyres over the next two years.

The turnaround marks a dramatic reversal for Birla Tyres, whose business had virtually collapsed before insolvency. The company reported standalone revenue of just ₹5.42 crore in FY22 and a net loss of more than ₹655 crore, before operations came to a halt.

The ₹187 crore recorded in FY26 is the first tangible evidence that the business is regaining commercial traction. Himadri now expects Birla Tyres to become a key pillar of its diversification strategy, alongside investments in advanced battery materials and speciality chemicals.

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