LONDON (Alliance News) - Steppe Cement Ltd Thursday said that it sold more tonnes of cement at a higher price, and increased its market share in the first quarter.
The construction materials producer in Kazakhstan, said that it sold 198,607 tonnes of cement in the quarter ended March, up 20% when compared with the 166,121 tonnes sold in the same quarter the prior year.
It said that all the cement in the quarter was sold for KZT2.49 million, a 9% increase on KZT2.27 million a year earlier.
The company said it increased its market share to 17% in the quarter, up from 15% in the first quarter of the previous year.
Steppe Cement said that the average price for delivered cement for the quarter, was KZT12,516 per tonne, excluding VAT, an 8% decrease when compared with KZT13,677 per tonne the prior year.
"This is the consequence of the volume over price strategy decided as line 5 was coming into full operation against the strategy of higher prices in 2013 where production was limited," the company said in a statement.
It also said that the ex-factory price for the first quarter was down 6% at KZT10,243 per tonne.
Steppe Cement said it estimates Kazakhstan's cement market to be 8.6 million tonnes for 2014, representing an increase of 6% from the estimated 8.1 million tonnes in 2013.
Steppe Cement shares were up 1.3% at 39.50 pence per share Thursday afternoon.
By Rowena Harris-Doughty; rowenaharrisdoughty@alliancenews.com; @rharrisdoughty
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Steppe Cement (STCM)