Steppe Cement Ltd (AIM: STCM) reported a profit after tax of $9.0 million for the six months ended June 30, 2026, compared with a loss of $0.5 million in the same period last year. The board resolved to pay an interim dividend of 2p per ordinary share, payable in October 2026.
Cement sales volume rose 15% to 978,950 tonnes in the first half of 2026, from 850,424 tonnes in the prior-year period. Consolidated turnover increased to KZT29,588 million, or about $61.1 million, from KZT20,717 million, or about $40.9 million.
The average delivered cement price was KZT30,224 per tonne, or about $62.1 per tonne, compared with KZT24,361 per tonne, or about $47.6 per tonne, in the first half of 2025. The Kazakh tenge appreciated by about 7% against the U.S. dollar from June 2025 to June 2026, moving from roughly KZT520 to KZT486 per dollar.
Gross margin improved to 34% from 21%. Selling expenses rose 7% to $5.8 million and administrative expenses increased 14% to $4.1 million. Profit from operations was $11.8 million, compared with $0.01 million in the prior-year period.
The company spent $2.1 million on property, plant and equipment additions, up from $0.7 million in the first half of 2025. It continued a project to expand production capacity to 2.5 million tonnes, making $2 million of advance payments during the period.
Net cash generated from operating activities increased to $9.6 million from $2.2 million. As of June 30, 2026, total borrowings were $2.1 million, cash equivalents were $18.8 million and the net cash position was about $16.7 million.
