PPC cautious on cement demand outlook

Pretoria Portland Cement (PPC) says it remains cautiously optimistic regarding the outlook for cement demand in South Africa and Zimbabwe.

Releasing a trading update on Monday, the construction group said cement demand in the Western Cape lagged behind the other provinces and consequently impacted on its South African cement sales in the quarter ended December 2011.

Cement sales for the South African cement industry as a whole in the quarter under review increased by 7% compared to the comparable period in the prior year.

PPC's cement sales in Zimbabwe continued to grow while cement sales in

Botswana declined in line with a general construction industry slowdown in that country.

The company said cement pricing momentum established during 2011 in South Africa, Botswana and Zimbabwe continued into 2012. Administered energy prices remain a challenge for the industry.

Lime sales improved during the quarter on the back of improved demand from exports and the local steel industry. Aggregate volumes in both South Africa and Botswana showed recovery in a very competitive environment.

"Phase 1 of our Western Cape modernisation project, the R280 million upgrade of kiln 6 at De Hoek factory is on track for completion during April 2012. The final EIA report for Phase 2, at our Riebeeck factory, has been submitted to authorities," it said in a statement.

PPC said it continued to focus on opportunities in sub-Saharan Africa.

"Although the global economic turmoil continues, we remain cautiously optimistic regarding the outlook for cement demand in South Africa and Zimbabwe. Current trends in cement demand and prices should result in improved results during the first half of our 2012 financial year," the company said.

 

Print article

View all news articles

 
 

For secure, convenient fast and reliable 24 hour banking

Individual customer

Corporate customer

Updated Tariff guide

Bancabc blood logo BancABC_ZebrasBanne
 

Latest News

2014-04-17
JOHANNESBURG - A few weeks ago, Zimbabwe was in a celebratory mood.
 
2014-04-16
THE first live trade on Zambia’s new derivatives market took place on Tuesday, with BancABC, majority-owned by former...
 
2014-04-16
THE first live trade on Zambia’s new derivatives market took place yesterday, with BancABC, majority-owned by former ...
 
2014-04-15
African presidents and policy makers are pushing back against pessimism to tell the world their continent´s economic ...
 
2014-04-15
A FEW weeks ago, Zimbabwe was in a celebratory mood.
 
2014-04-15
Ex-Barclays boss Bob Diamond has poached a former senior colleague from the British bank to head Atlas Mara, a ventur...
 
2014-04-14
Martin Kadzere and Fidelis Munyoro LOCAL firm, Premier Diamonds got a reprieve last week after the High Court granted...
 
2014-04-14
CEDA COO, Mr Lesego Selotate cutting the cluster of balloons, launching the Interbanks 2014 Citizen Entrepreneurial D...
 
2014-04-12
In Summary Atlas Mara is buying 77 per cent stake in BRD. Atlas Mara plans to buy stakes in existing African banks. W...
 
2014-04-12
HARARE - Suspended Zimbabwe Broadcasting Corporation (ZBC) Group Chief Executive Officer Happison Muchechetere’s case...
 

View all news articles

 
 

Investor Relations

BancABC aims to provide the investor community with transparent and timeous information. This is undertaken through a proactive process whereby information is continually and broadly disseminated to the financial community and the investing public, ensuring that the Group is accurately valued in the marketplace...

Visit investors page