Steppe Cement Share Discussion Threads

[jailbird] 14/6/2018 08:48

13m traded yesterday...but one pair transactions could be funds switching

25.00 4,333,428 O 25.00 28.00 Sell 0 8,666,856
25.00 4,333,428 O 25.00 28.00 Sell 0 13,000,284
25.00 4,158,428 O 25.00 28.00 Sell 0 4,333,428
25.00 175,000 O O 25.00 28.00 Sell 0 175,000

[wilo101] 14/6/2018 06:24

8,492,000 went through, assume is some fund buying

[azalea] 14/6/2018 06:04

Morningstar shows no trades on the 13/6. Were the 4.5m(2.054%) shares bought in a single trade?

[wilo101] 13/6/2018 15:05

4.5m shares

[celeritas] 13/6/2018 13:53

I reckon so, someone stake building.

[miti 1000] 13/6/2018 09:01

Yes, that was a nice delayed buy which caused the spike presumably.

[jailbird] 13/6/2018 08:51

Massive volume today

[azalea] 12/6/2018 18:52

I believe the share price is at the start of a good run upwards and this time next year could hit 45p with a div. Given the chairman's forecast,I am not ruling out a bid.

[mattjos] 12/6/2018 10:56

someone bidding for a good 175k chunk in the auction today

[wilo101] 08/6/2018 22:57

It went to £4.20p then back down to £0.12p per share so now beginning the long climb back up

[azalea] 08/6/2018 10:26

For me the real kicker in the chairman's report, is his statement "No major industrial investment being envisaged, a very strong financial and industrial position should be enjoyed in the coming years, enabling the company to protect market share under increased competition as well as to take advantage of any increase in demand and to propose paying dividends to reward share holders.

[jailbird] 08/6/2018 07:29

Ambitious target WiloIn 12 months .. possible with dividends now being authorized going forward as long as forecasts are met

[wilo101] 07/6/2018 22:42

Its heading to GBP1 per share, minimum

[mattjos] 07/6/2018 11:31

small top up for me today. looks to be breaking out now and deserves to be in the 30's now, afaiac

[jailbird] 07/6/2018 10:56

Woken up !

[azalea] 07/6/2018 10:17

29.1% stake holder Amzi Wan Hamzah was adding millions @ 30-40p a share during past 3 years. At current price and prospects, he could break even next year. Replacement value several times Asset value. Holding tight

[jailbird] 06/6/2018 19:55

Really Like to read what the other Analyst's think as well Their website have a few apparently covering them http://www.steppecement.com/analyst/

[celeritas] 06/6/2018 18:51

Thanks wilo

[jailbird] 06/6/2018 18:02

Thanks for that Wilo What is VTB's 12 month target price ?

[wilo101] 06/6/2018 15:40

VTB Capital have published a research update, today, headline reads:

Positive trends in prices and volumes. Based on the latest data from
Kazstat, ex-works cement prices in Kazakhstan increased 6% in May, both
YoY and MoM. We believe that this reflects positive demand trends (as the
high season is gaining momentum) along with export opportunities, which
allowed producers to start shifting their costs onto consumers. Our new
forecast assumes that Kazakhstan’s cement market will expand 6% YoY to
9.5mnt in 2018, while Steppe Cement’s output will increase 3% YoY to
1.75mnt (vs. 1.69mnt forecast previously). We also project Steppe Cement’s
average ex-works price for the year to be 13% YoY higher at USD 38/t (vs.
USD 37/t forecast previously). These changes largely underlie the upward
revisions of our 2018 forecasts. In particular, we lifted our 2018 revenue and
EBITDA projections 6% and 8%, respectively.
More cautious mid-term outlook. Meanwhile, we believe that the Kazakh
cement market will remain well supplied in the medium term, with the
capacity addition of 1mnt in Southern Kazakhstan (Shieli), which we now
factor in from 2019, potentially pressuring pricing in the biggest regional
cement market. In particular, we estimate that capacity utilisation in
Kazakhstan will decrease from 78% in 2017 to 74% in 2019-20, before
starting to grow again. This might preclude any strong price increases, in our
view. For this reason, our EBITDA forecasts for 2019-22F remain largely
unchanged. Nevertheless, we believe that Steppe Cement will be able to
generate sufficient cash flows in the medium term, which will lead to lower
leverage and attractive dividends, in our view.
Attractive dividends. Steppe Cement has recommended GBp 1/share for
the 2017 dividend, which implies a 5% yield. We project that the dividend will
double next year in absolute terms. In our view, a part of this amount could
potentially be distributed in the autumn as an interim dividend. We also
believe that Steppe Cement will increase dividend payments in absolute
terms, as it will continue to generate solid cash flows amid lower leverage.
Net debt stood at USD 17mn at YE17 (1.6x EBITDA) and we expect it to go
down to USD 6mn at YE18 (0.3x).
Valuation and risks. We derive our 12-month Target Price from a DCF
model (WACC 15.2%, TGR 2%). The key downside risks are related to FX
fluctuations, cement prices and competition, as well as the overall economic
environment and cement market trends.

[celeritas] 04/6/2018 10:59

Yes its the most bullish I've heard from them in years. Some very strong statements.

[jailbird] 03/6/2018 15:15

After some challenges in 2017, the future is looking very rosy now.

[jailbird] 03/6/2018 15:13

CEO statement

In 2017, Steppe Cement posted a net profit of USD 1.2 million. Steppe Cement’s EBITDA increased to USD
11.6 million from USD 9.7 million in 2016 mostly due to higher prices and volumes.
The overall domestic cement market was stable at 9 million tonnes and our sales volume increased by 4%,
while the price in KZT increased by 14%. The continued weakness of the KZT against the surrounding currencies has allowed the company to increase exports significantly.
In 2017 we produced exclusively from the dry lines and our cost of production per tonne in KZT increased by 15%, partly explained by higher coal prices, maintenance and the allocation of some of the annual maintenance cost of late 2016 to the early months of 2017.
Steppe Cement operated Line 5 at 95% of its current capacity (1.1 million tonnes) and Line 6 at 74% of capacity (0.8 million tonnes) as we continue the improvements to increase its reliability for 2018.
Shareholders’ funds increased marginally to USD59.5 million from USD58 million. Due to the historical devaluation of the local currency over the years since the key investments were made, the replacement cost of the company’s assets is many times higher than their current book value.

[jailbird] 03/6/2018 15:11

New report online now

hxxp://www.steppecement.com/pdf/STCM-Annual-Report-2017-with-AGM-Notice.pdf

Like this bit

Steppe Cement was able to meet all its financial commitments and finished the year with USD 16m of net debt. The USD 12m EBITDA, negatively
affected by the technical problems and by the tense competitive pressure already mentioned, should comfortably be beaten in 2018 and recoup in the following years the levels achieved at the beginning of the decade, a significant achievement
which would offset the negative effects of the sharp devaluation of the Tenge. This is made possible as a result of the investment and commercial strategies
chosen and of the continuously increased efficiency and effectiveness of the Management and the Employees. No major industrial investment being envisaged, a very strong financial and industrial position should be enjoyed in the coming years, enabling the Company to protect its market share under increased competition as well as to take advantage of any increase in demand, and to propose
paying dividends again to reward its shareholders.