LONDON (Alliance News) - Steppe Cement Ltd on Wednesday reported an increase in sales of cement in the first quarter of 2019 and said it expects the demand to increase further in the remainder of the year.
The Kazakhstan-based construction materials company said it sold 266,393 tonnes of cement in the three months to the end of March for KZT4.46 billion, about GBP9.0 million, up 35% from 197,179 tonnes sold a year prior for KZT2.31 billion.
The average price for the current quarter for delivered cement was KZT16,723 per tonne, up 43% compared with KZT11,732 per tonne in the second quarter of 2018.
Steppe also noted that the higher transport tariffs and rental expenses have been compensated with savings due to better utilization of the wagon fleet.
Looking ahead, the company said it estimates Kazakhstan's cement market demand to increase to 9.0 million tonnes in 2019 from 8.6 million tonnes in 2018.
Exports from Kazakhstan, meanwhile, have reduced from 2018 but the outlook continues to be optimistic in Uzbekistan.
Steppe shares were trading 3.7% lower on Wednesday at 32.25 pence each.
Steppe Cement (STCM)