PPC’s share price jumps ahead of half-year results

The share price of cement maker Pretoria Portland Cements (PPC) surged by more than 6% on Tuesday afternoon, after the company released a trading update, which showed that the company's headline earnings per share will increase by between 72% and 89% for the six months to end-September.

The group is due to release its half-year results next week.

The company’s headline earnings per share may be between 52 cents and 57 cents per share, increasing  from 30 cents in 2020.  

The update is good news for shareholders who have watched the cement manufacturer grapple with a R5.8 billion mountain of debt. But it is now on the mend after cutting the debt down to R2.6 billion following some disposals and a restructuring deal with lenders.

The deal means that the lenders don’t have legal recourse to the group’s South Africa operations, following its troubles in the Democratic Republic of the Congo.