PPC announces earnings increase of 30% or more

South Africa’s PPC has advised shareholders that the increase in its headline earnings and attributable earnings would be 30 percent or more in the six months to March compared with the previous period.

In an updated trading statement published on Friday, PPC said regional cement industry sales volumes in March reflected growth well ahead of expectations, with an increase of 25 percent compared with March last year.

"This larger-than-expected surge in demand has resulted in improved sales for the half-year period to March this year," it said.

The latest trading update further increases the possibility that PPC could, for the third consecutive year, declare a special dividend for its full year to September this year.

In November last year, PPC declared a final dividend of R5.50 a share for the year to September last year, 38 per cent higher than the previous year, plus a special dividend of R6.50. This boosted the total dividend to R13.75 for the year. In the previous financial year, PPC declared a special dividend of R6 a share.

The latest trading update follows the update published last month, when the company said its headline earnings for the interim period would be materially higher.