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The Markets
by Proactive
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by Proactive
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Builders and building materials

Steppe Cement drops 16% after tough first half

Steppe Cement (AIM:STCM) slipped more than 16% as the Kazakhstan-based cement producer revealed a drop in interim sales had pushed it into the red.

Revenues in the half year to end June 2024 dropped by 7% to US$34.4 million with a loss after tax of US$3.5 million.

Gross margins fell to 15% from 26% due to higher electricity and maintenance costs over the period.

Steppe said there was a significant drop in volume of sales of 18% if the first quarter, offset by a 2% increase in the second quarter of the year, following price adjustments to align with market conditions.

“Volume of sales has continued to recover in the third quarter of 2024, and the price of cement has increased,” said the statement.

Shares fell by 2.5p to 13p.

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