Steppe Cement Share Discussion Threads

[ntv] 13/9/2019 07:46

Thanks King
I thought I must have got it wrong
The accounts not brilliantly set out for simpletons like me

[king suarez] 12/9/2019 13:36

@NTV,

Think you may have miss-read/interepreted slightly?

My reading:

30 June 19
Debt 10.7 (total debt, not net debt)
Cash 10.8
Net cash +0.1

31 August 19
Debt 9
Cash 3.9
Net debt (5.1)

Change in net cash/debt position -5.2m + dividend paid 8.3m = $3.1m cash generated in July/August combined - we don't know the change in receivables/payables as we don't have those balances as at end August yet.

Looks like cash flow is increasing from end June onwards, as we would expect due to increase in production/sales in H2 summer months (see last year H1 2018 v FY 2018 results).

[jimmywilson612] 12/9/2019 13:27

hxxps://jimmywilson612.wixsite.com/ukstockwatch/post/steppe-cement-stcm

Here is my 2 cents on STCM - I think investors need to see how far we've come over the past few years.

As an example:

2016 Interim results - Debt (minus cash) stood at $28M
2019 Interim results - Debt (minus cash) stood at $5.1M

This offers more flexibility for the directors to invest to grow, buy a competitor, share buyback or dividends.

[pigeonfeeder] 12/9/2019 13:15

@ Saucepan it's not saying there will be a bigger hit to come - the biggest hit was taken in H2 2018.

The USD/KZT is only important in that about half the debt is denominated in USD. As a UK resident the GBP/KZT rate is at least as important. If the GBP was to strengthen substantially against the KZT then net earnings will be worth less in GBP terms.

[ntv] 12/9/2019 13:02

Not sure if I have got this right so that I am hoping someone with knowledge can correct me if I am wrong
@30th June net total debt $10.7m but they had cash of $10.8m so real debt was $21.5m?
@31st August nett total debt $5.1m after paying the dividend of $8.3m so Iam assuming that even after paying the dividend they appear to have reduced debt $5.6m
so I make it a cash inflow of $13.9m but am forgetting basics to do with stock movements or slowing of paying of creditors?
TIA

[kennzo2020] 12/9/2019 11:04

Just a horrible spread, but that's to be expected.

[fozzie] 12/9/2019 09:40

I would imagine a few traders jumped out with no news of an interim dividend causing a drop, this is a very volatile share as you know. If you believe the story, which i do, then nice to have the opportunity to increase.

[kennzo2020] 12/9/2019 09:34

I've been watching this stock with interest for a while and its triggered both my interest and alert numbers..... Could be the time to move in.

[saucepan] 12/9/2019 09:27

Thanks, again!

[mattjos] 12/9/2019 09:25

saucepan …. against the Euro & the GBP, KZD is not seeing same. It's merely going sideways in same range. It only seems to be weakening against the USD.
Since i believe the USD is headed for a fall, I'm happy to hold.
company is performing very well. Nothing it can do about exchange rates

[azalea] 12/9/2019 09:17

The outstanding loan of USD5.1m for the purchase of the rail wagons, being paid off monthly, will be completed in 2 years. This will result in the 300 wagons with a lifespan of 35 years, being a significant net earning asset.

[celeritas] 12/9/2019 09:14

Results look ok, dividend was a big miss. Should really have balanced payments with a smaller full year.

[saucepan] 12/9/2019 09:01

Thanks, Mattjos. Have you been able to unpick whether the Tenge weakness is directly proportional to the strength of the dollar, or has it actually devalued against other currencies as well?

[mattjos] 12/9/2019 08:56

All depends on one's view on US$ going forward. I think it is overvalued.Very odd reaction to what looks like quite respectable set of figures.Let's see how we go once Draghi has had his say today and common sense returns

[saucepan] 12/9/2019 08:53

I have STCM on my watch list, so only looking in here (thanks, Mattjos, for the heads up on the Zulu thread).

"The Kazakh Tenge depreciated by 16% compared to the first half of 2018. However, the devaluation took part mostly in the second half of 2018 and therefore the Company only booked foreign exchange losses of USD 0.04 million in 1H 2019."

Isn't that saying there will be a bigger hit to come in the next reporting period, which won't have helped forward looking sentiment?

[doc_oj] 12/9/2019 08:41

am i missing something here? why is it so down?

[homebrewruss] 12/9/2019 08:17

Almost everything is selling off on news at the moment. Investors moving to cash it seems.

[sportbilly1976] 12/9/2019 08:09

I suspect it is the lack of an interim dividend which has dragged the price back...Progress looks ok, downtime higher than planned

[jeanesy] 12/9/2019 08:04

looks fine , but looks like the market was expecting more !

[mr roper] 12/9/2019 07:59

Should be net cash by Jan (or earlier).Solid progress

[novicetrade68] 12/9/2019 07:42

Looks fine to me too, a solid recorded profit after tax, but also debt down ; on 30.6.19 from $10.7m to $9m, so looks like a further reduction of $1.7m in two months.

[spooky] 12/9/2019 07:36

All looks pretty good to me.

[leopoldalcox] 12/9/2019 07:23

Thoughts on the interim results?

[jailbird] 11/9/2019 14:01

Yes indeed Otherwise we will follow the same pattern as last time