PPC, the South African cement producer, has reported a strong financial performance for the 2025 fiscal year, crediting its strategic turnaround plan for significant improvements in margins and cash flow. Despite a slight dip in overall revenue, the company saw a 28% rise in EBITDA to R1.59 billion, while headline earnings per share more than doubled to 40 cents. The success was driven by cost-cutting measures, including a 5.8% reduction in cost of sales and an 8.2% drop in administrative expenses. CEO Matias Cardarelli highlighted that these gains were achieved even without major growth in the markets where PPC operates, showcasing the effectiveness of internal restructuring.
The company’s “Awaken the Giant” strategy focused on operational efficiencies, such as logistics optimisation and a better product mix, which helped offset inflationary pressures. PPC also declared a dividend of 17.6 cents per share, with a significant portion coming from its Zimbabwean operations. While revenue in Zimbabwe fell by 6.7%, the South African and Botswana segment saw a modest 0.6% increase. Cardarelli emphasised that the group’s disciplined approach has strengthened its competitiveness, positioning it well for future infrastructure projects.
Looking ahead, PPC remains optimistic about gradual economic improvements and plans to unlock further value through continued cost management. The company has already exceeded its initial turnaround targets and expects additional gains in the 2026 and 2027 financial years. A major milestone is anticipated in 2028 with the completion of its new R3 billion plant in the Western Cape, which is set to drive the next phase of growth. For now, PPC’s focus remains on maintaining momentum and capitalising on emerging opportunities in the construction sector.