PPC Limited. JSE: PPC

PPC shares

Background of PPC Limited

  • PPC Limited is one of southern Africa’s leading cement producers and suppliers. During a history stretching back more than 100 years, the company has produced cement for many of the region’s most iconic landmarks, including the Union Buildings, Kariba Dam, the Gautrain, Cape Town Stadium, Medupi Power Station and Gariep Dam.

  • Cement is supplied from nine manufacturing facilities and three milling plants in South Africa, Botswana, Zimbabwe and Rwanda, producing approximately eight million tonnes of product for sale each year. The group is also planning to open facilities in the DRC and Ethiopia, as part of its long-term strategy to grow revenue outside of South Africa by 40%. Other products include aggregates, limestone, burnt dolomite and metallurgical-grade lime.

  • The group recorded revenue of R9.1 billion in the 2016 financial year. PPC Limited shares are listed on the Johannesburg Stock Exchange (JSE) with a market cap of R9 billion.

PPC Limited Shares Growth Driver

  • PPC Limited has gone through a period of crisis, fighting for survival in the face of depressed economic growth in South Africa. This prompted the company to list one billion shares for sale in August 2016 at R4 each, well below the stock’s actual value. This followed PPC Limited share price undergoing a protracted slide from R35.85 to below R6.

  • After several exceptionally lean years in which investors were reluctant to buy the shares, PPC is still showing significant signs of strife, although PPC Limited share price is slowly strengthening. According to the latest financial data, covering the six months ended March 2016, net profit increased by 35% to R369 million in 2016, supported by an intense focus on optimising costs and efficiencies. But profits from the sale of noncore assets contributed almost R100 million to this. Without these sales, profit would have declined slightly. A recently commissioned plant in Rwanda added over R100 million to EBITDA, without which PPC’s overall EBITDA would have declined by 8%. Shareholders did however receive small dividends.

  • Through capital expenditure, the group’s asset base increased by around R3.7 billion in value, but production volumes have been flat over the past several years. The group’s project finance debt has climbed steeply to over R3.5 billion, with R150 million relating to currency movements, over R500 million drawn down from a pre-arranged facility in the DRC and drawdowns in Rwanda and Zimbabwe. Profit was further dented by PPC’s average selling price falling by 4%.

PPC Limited Group Investor Tip

  • PPC Limited shares have not been a profitable buy for investors and have continued to slide down the live online stocks chart, and management has forecast that trade conditions will remain difficult and performance muted. Some investment analysts are however predicting that PPC Limited shares will outperform the market, with the belief that they are a bargain buy with potential for long-term growth. PPC Limited shares are currently an option for only very patient investors.

PPC Limited Major Shareholders

Public Investment Corporation, Government Employees Pension Fund, Prudential Investment Managers, Foord Asset Management, PPC Masakhane Employee Share Trust.

  • Sector

    Materials

  • Industry

    Construction Materials

  • Sub industry

    Cement & Aggregates

How to buy PPC Limited Group Shares

  • PPC Limited : How to buy PPC Limited Group Shares Online

    We have made it simple to buy JSE listed firm shares online. The easiest way to buy PPC Limited Group shares or stocks is to; start by submitting the ‘BUY THIS SHARE’ form. Next, one of our experienced and certified stock brokers will personally get in contact with you to discuss your custom stock request. Finally, a stock advisor will confirm the amount of shares you are looking to invest in PPC Limited Group and assist you with the setup and management of your stock portfolio account.

  • Here are the steps you must follow to Buy / Purchase PPC LimitedGroup shares with utmost confidence:

    1. Start by Filling in the BUY THIS SHARE form.
    2. Insert your name, email, telephone number and monthly remuneration.
    3. Then, Indicate the amount you are looking to invest in PPC Limited Group.
    4. Click the “ INVEST NOW” button
    5. Once we have received your info, a dedicated stock advisor will personally call you back to discuss your personal share request.
    6. Lastly, your newly appointed personal stock advisor will handle all account setups and reporting as stipulated by the financial services board of South Africa (FSB)
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<a href="https://www.sashares.co.za/ppc-limited-shares">Credits: SA Shares™</a>
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