PPC points to projects progress as profits plummet

South African cement producer PPC on Wednesday reported a 13% decrease in its earnings before interest, taxes, depreciation and amortisation (Ebitda), to R2.1-billion, paired with a 93% plummet in its headline earnings a share, to 7c apiece for the year ended March 31. The JSE-listed company attributed the decreases, against a 5% increase in group revenue to R9.6-billion, to last year’s “unexpected” downgrade of its credit rating by Standard & Poor’s, which resulted in a liquidity crisis for PPC and abnormal finance costs being incurred in relation to a liquidity and guarantee facility put in place to ensure that PPC could meet its financial bond repayment obligations.