Steppe Cement Share Discussion Threads

[zangdook] 07/12/2023 13:13

They didn't do that.

[riskvsreward] 07/12/2023 12:50

Is there a class legal case for the small PIs to take against the board for misleading the investors by stating clearly that a dividend of 2 to 3 p to be paid in November?

[1knocker] 07/12/2023 12:07

I think it is generous to put the silence down to 'cultural differences'.

The company stated that it expected to pay a substantial dividend. Income investors ely upon such indications to estimate their prospective income, and one would not expect a dividend of such a size to be passed without some significant change in the trading outlook, or the company business model. Such matters should be notified to shareholders. Failure to do so indicates a lack of concern, even contempt, for the shareholders. Where the majority of the shares are held by a few hands, it suggests to me that the board regards the company as a 'private venture', belonging to those few substantial shareholders (who are almost certainly kept better informed than are the small PIs), and that the small PIs cannot rely upon the board to be even-handed or to have a proper regard for their interests. Its a warning to watch our own backs, because the board will not.

[eggbaconandbubble] 07/12/2023 10:48

STOPH I agree with you but I also think one has, in part, to understand cultural differences. Despite being listed in the UK this is still a fact of life.

[renewed1] 07/12/2023 10:44

Sadly the management have made themselves uninvestible...maybe thats the intent!!!

[zangdook] 07/12/2023 10:29

There's usually a trading statement in early January, perhaps they'll say something then.

[stoph] 07/12/2023 09:14

So have we given up on a dividend now and decided that the Board are too ignorant to notify us?

[eggbaconandbubble] 28/11/2023 13:19

The RNS actually states that his family have made the purchase of shares. Is that a dodge around a closed period?

[1knocker] 28/11/2023 13:18

Yes, small change. Look at the capital outlay, not the number of shares.

What may be significant though is that I was sitting on 8.6% of the company I would be looking to increase my holding if I thought the dominant shareholder was looking to take it private.I would want to be in a position to take my place at the table - and not as the lunch!

Passing on dividends is also a classic way of softening up small shareholders for a cheap take out.

[lloydypool] 28/11/2023 12:58

Really wouldn’t surprise me if this none communication on dividends is a pre cursor to them taking it private.

JDS is happy enough to pick up more at 23p so long term this is likely to be fine and the current price is down with the the rest of the market, small change in sentiment and there is going to be a big rerate imho.

[gb904150] 28/11/2023 12:15

RNS that Javier del Ser has just added another 100,000 shares.

Good to see further commitment. Now has 19m shares / 8.68%.

I just took a small top up too.

[andydaf] 23/11/2023 19:19

Central asia has held up well this year all things considered.As it is seems to me they are now positive to the tune of 4 million with more money to flow in from a busy september and october.The ceo is not panicking and neither am i.GLA

[laurence llewelyn binliner] 23/11/2023 09:36

12.07.2023 - The current objective is to pay a dividend of 2 to 3 pence per share before November 2023..

Too late for this time frame now, I think it will be a miss this year, they need to fill up the reserves and reduce debt, but happy to be proved wrong.. :o)

[king suarez] 23/11/2023 09:31

I don't see why that should be the case. It was RNS'd to the market several months ago that the board were considering a dividend for November - if we get an RNS soon announcing one then this share purchase is hardly 'insider dealing'?

[dodger777] 23/11/2023 09:29

So does this mean we can’t expect any update rns or dividend info in the foreseeable future since he’s bought just yesterday ?

[plasybryn] 23/11/2023 07:52

Nice RNS - reassuring.

[aleman] 22/11/2023 22:09

They ran high stock levels in Dec and June after the market turned bad with exceptionally cold weather and rail disruption. The market has turned strong again. If they run stock back down again to previous levels, it could pretty much free up $6m to $7m and wipe out debt but they'll probably run with the $3m cheap finance deal for wagons. That would free up about $4m cash, taking the total to $10m or net cash of $7m. Oh .... that might be what happened. It's probably not that simple in practice but a better Q3 and record October demand certainly looks like an opportunity to turn excess stock back into cash and fund a dividend.

Q3 is normally a quarter where they convert stock to cash. (Nearly 600k tonnes sold in Q3 v 700k in Q1 and Q2 combined.) They sold an extra 60k tonnes this Q3 compared to 2021 and 2022 - likely to be extra stock conversion on top of normal Q3 stock conversion. Just the 60k extra is $3.0m. They potentially freed up $6m cash or more even without making any profit in Q3. Nationally, Q3 is the strongest for sales so likely to be the most profitable quarter - so maybe add a bit of profit on for that?

Yes. I'm still expecting a dividend.

[laurence llewelyn binliner] 22/11/2023 18:14

30.06.2020 - Borrowings of USD3.2M | cash balance USD9.6M | net cash 6.4M
30.06.2021 - Borrowings of USD6.1M | cash balance USD13.5M | net cash 7.4M
30.06.2022 - Borrowings of USD5.4M | cash balance USD14.7M | net cash 9.3M
30.06.2023 - Borrowings of USD6.7M | cash balance USD6.0M | net debt 0.7M
10.10.2023 - Cash and cash equivalents of USD10M | debt of ..?

Still expecting a dividend..? do they have any cash to distribute, with 219M shares in issue I doubt they could afford a penny payout this year..? (USD2.75M)

[renewed1] 22/11/2023 16:25

Poor excuse...theyve had all year to sort such a problem out.

[eggbaconandbubble] 22/11/2023 16:14

I going to phone Perez in the morning and see what I can glean.

[aleman] 22/11/2023 15:58

Ebab - reread the statement. It might possibly be delayed in the restructuring for tax purposes. Maybe they thought it would be done by November but it isn't. I doubt it's because of trading, given how much the national market has strengthened, which they could not possibly have known when this statement was issued, and given the $4m rise in STCM's cash balance since.

In response to evolving tax legislation in the jurisdictions of our intermediary holding companies, we have diligently continued the restructuring of the Company's holdings to mitigate the potential risk of withholding tax on the dividend stream. Our efficiency enhancement strategy focuses on both streamlining the structure and minimizing associated costs. In line with this strategic realignment, Steppe Cement has incorporated a wholly-owned subsidiary in the Astana International Financial Center (AIFC) as a future holding company of the Kazakh operating entities. The Kazakh operating subsidiaries will remain 100% owned by Steppe Cement through its subsidiary companies. The current objective is to pay a dividend of 2 to 3 pence per share before November 2023.

Changing tax framework and structure has accounted for previous dividend delays. Perhaps it is also the current cause. That's how I interpret it.

[zangdook] 22/11/2023 15:34

If there's nothing bad in the company's performance it may be ongoing tax complications.

RNSs give this number:

Javier del Ser Pérez, Chief Executive Officer Tel: +(603) 2166 0361

[eggbaconandbubble] 22/11/2023 15:29

Aleman - so no drop off in cement production over the last three years. STCM cannot be doing too badly so how come the total silence and going back on their word about the divi.?

One assumes this is either because of bad news or more likely to my mind - good news that is being held up or back for some reason.

Can these guys be contacted by phone?

[eggbaconandbubble] 22/11/2023 14:26

Steppe Cement is a 'riddle wrapped in a mystery inside an enigma'!!!

[aleman] 22/11/2023 11:51

5 years of Kazakhstan national cement output by month showing the new October record. (ADVFN did not like the link - just past and remove the space.)

h ttps://tinyurl.com/mr2zzax9