Steppe 3Q12 revenue increases, revises Kazakhstan demand outlook upwards

Kazakhstan-based producer Steppe Cement Ltd said 3Q12 revenue of KZT7.23bn (US$48m) was 28 per cent higher than the corresponding quarter in 2011 and has revised the demand outlook for the Kazakhstan market upwards for full year 2012.

For the nine months ended 30 Setptember, Steppe Cement recorded revenue of KZT14.96bn compared with KZT11.93bn in the corresponding nine month period in 2011, representing a 25 per cent improvement.

Sales of 518,433t were achieved during the third quarter, a 16 per cent YoY.

For the first nine months of 2012, sales rose by eight per cent to 1.13Mt from 1.05Mt in the same period of 2011.

Average price ex-VAT for delivered cement was 16 per cent higher at KZT13,190/t in the first nine months this year compared with KZT11,385/t in the corresponding period in 2011.

For the first nine months of 2012, the cement market in Kazakhstan increased by 13 per cent compared to the corresponding period in 2011. Steppe has therefore revised its demand estimate for 2012 from 6.8Mt to 7Mt.