PPC Ltd, the South African cement producer, saw its share price on the Johannesburg Stock Exchange (JSE) extend its uptrend to an eight-year high following the announcement of a 72% dividend hike and record EBITDA growth. The company reported a 72% increase in its dividend per share for the financial year ended March 31, 2026, alongside a record EBITDA of R1.8 billion, up from R1.2 billion in the prior year. This performance was driven by a successful turnaround strategy focused on cost optimization and operational efficiency.
The company's revenue grew by 12% to R8.5 billion, supported by higher sales volumes in South Africa and Zimbabwe, as well as improved pricing. Net profit after tax rose to R650 million, compared to R420 million in the previous year. PPC's management attributed the results to disciplined execution of its turnaround plan, which included reducing debt and improving cash flow generation.
Analysts noted that the dividend hike and record EBITDA signal strong confidence in PPC's future prospects. The stock closed at R8.50 on June 8, 2026, its highest level since 2018. The company also highlighted a reduction in net debt to R1.2 billion, from R1.8 billion a year earlier, and an improved net debt-to-EBITDA ratio of 0.7x.
Looking ahead, PPC expects continued demand growth in the construction sector, particularly in South Africa and Zimbabwe, driven by infrastructure projects and housing development. The company plans to maintain its focus on cost control and operational excellence to sustain profitability.
