Steppe Cement 3Q Revenue up 11% YoY

Steppe Cement 3Q Revenue up 11% YoY
Published: 30 October 2009

Steppe Cement Limited said Friday that for the third quarter ended September 30, it achieved a revenue of KZT3.08bn (US$20.5m) –  11% higher than the corresponding quarter in 2008.

For the nine months ended September 30, Steppe Cement Ltd recorded revenue of KZT6,964m compared to KZT9080m in the corresponding nine month period in 2008, representing a 23% decline.

Sales volume of 286,896t was achieved during the third quarter, a 35% increase over the third quarter of 2008.

For the first nine months of 2009, the sales volume increased by 17% to 729,123t from 623,870t in the corresponding nine month period in 2008.

Steppe Cement’s wholly-owned subsidiary, Karcement JSC accounted for 30% of the total sales volume.

Average price (ex-VAT) for delivered cement was KZT 9,551 per tonne in the first nine months compared to KZT 14,554 per tonne in the corresponding period in 2008.

For the nine months, ex-factory price stood at KZT 8,518/t representing $56.8 per tonne based on current exchange rates.

For the first nine months of 2009, the cement market in Kazakhstan decreased by 16% 8Mt, from the previously estimated 4.5Mt.

The total market in 2008 was 5.7Mt. Imports into Kazakhstan declined by 42% in 2009 while Steppe Cement’s market share rose to 19% compared to 14% in the corresponding nine month period in 2008.

Cost control measures continued to show progress in line with the announcements on the first half 2009.