By Brandon Moss, Editor — AgriFocus Africa Magazine
Southern Africa’s construction boom is picking up steam, laying a strong foundation for growth-minded companies like PPC to scale up and seize new opportunities across the region.
In South Africa, market analysts revealed that cement consumption rose to 13.78 million metric tonnes in 2024. The market is projected to keep growing by 2.5% annually through 2034, signaling a healthy long-term demand for building materials.
Zimbabwe is also riding a wave of construction momentum, spurred by government infrastructure investments, the blossoming commercial and retail sectors, and an increasing need for housing. This surge has been a boon for essential suppliers like cement and brick producers.
PPC’s CEO, Matias Cardarelli, shared his cautious optimism about South Africa’s prospects following the formation of a new Government of National Unity (GNU). “Construction is a key economic driver. We’re encouraged by signs that the administration is committed to unlocking infrastructure growth,” he noted.
In Zimbabwe, PPC is responding to persistent power outages by building a solar power facility to ensure more reliable energy for its operations. Cardarelli reaffirmed confidence in the country’s trajectory: “The construction market continues to expand steadily, and we anticipate this trend will endure.”
Despite this positive momentum, Zimbabwe’s ongoing public-sector liquidity crunch is forcing construction firms to prioritize projects carefully. Masimba Holdings, a major player formerly known as Murray & Roberts Zimbabwe, reported a solid pipeline in the roads sector, though it cautioned that cash flow constraints have slowed project execution.
Still, PPC’s financial performance in Zimbabwe has been promising. The company saw a 6% improvement in EBITDA margins and is advancing its solar initiative under an offtake model to shield operations from energy disruptions.
Across the broader group, PPC reported strong numbers for the financial year ending March 2025. Headline earnings per share more than doubled—from 19 cents to 40 cents—while EBITDA soared 28% to R1.593 billion. Operational free cash flow hit R1 billion, enabling the company to boost its dividend to 17.6 cents per share.
Cardarelli credited the gains to strategic cost discipline and internal efficiencies. “We’ve tapped into underutilized potential and outperformed our own projections,” he said
With infrastructure development accelerating across southern Africa, PPC looks set to cement its role as a key player in the region’s economic uplift.