Finance

NSE Market Capitalisation Drops by N82bn

Published

7 years ago

April 14, 2017

Nigerian Exchange Limited - Investors King

NSE Market Capitalisation Drops by N82bn

Although the Nigerian Stock Exchange closed the week on a positive note, the market capitalisation of listed equities dropped by N82bn after falling for two straight days as investors increased profit-taking.

It was a four-day trading week as the Federal Government declared Friday (today) and Monday, April 17 as a public holiday in commemoration of the Easter celebrations.

The NSE market capitalisation stood at N8.827tn on Thursday, down from N8.909tn at the end of last week.

The NSE All-Share Index, which fell to 25,478.06 basis points on Tuesday from the 25,746.52 bps it closed at last week, increased to 25,510.01 bps on Thursday.

Similarly, all other indices finished lower during the week with the exception of the NSE ASeM Index that closed flat.

Following the recent gains recorded by some large cap stocks, capital market analysts had said profit-taking activities could constitute a drag on the performance of the stock market this week.

A total turnover of 1.191 billion shares worth N6.037bn in 11,820 deals were traded this week by investors on the floor of the Exchange in contrast to a total of 786.176 million shares valued at N5.828bn that exchanged hands last week in 14,343 deals.

The financial services industry (measured by volume) led the activity chart with 1.014 billion shares valued at N3.070bn traded in 6,700 deals, thus contributing 85.07 per cent and 50.86 per cent to the total equity turnover volume and value, respectively.

The consumer goods industry followed with 51.888 million shares worth N1.581bn in 2,025 deals, while the third place was occupied by conglomerates industry with a turnover of 47.517 million shares worth N66.904m in 542 deals.

Trading in the top three equities namely, Fidelity Bank Plc, FCMB Group Plc and Standard Trust Assurance Plc (measured by volume), accounted for 679.949 million shares worth N639.862m in 1,622 deals, contributing 57.06 per cent and 10.60 per cent to the total equity turnover volume and value, respectively.

Thirteen equities appreciated in price during the week, lower than 36 equities of the previous week.

Thirty-seven equities depreciated in price, higher than 22 equities in the previous week, while 127 equities remained unchanged higher than 119 equities recorded in the preceding week.

This week, UNIC Insurance Plc was delisted from the Daily Official List of the Exchange and the shares of its holding company, UNIC Diversified Holdings Plc, listed in its place.

“This is to bring into effect a scheme of arrangement whereby the shareholders of UNIC receive equal number of shares in UDH as they previously held in UNIC, and UDH becomes a holding company of UNIC,” the NSE said.

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Samed Olukoya

Is the CEO and Founder of Investors King Limited. He is a seasoned foreign exchange research analyst and a published author on Yahoo Finance, Business Insider, Nasdaq, Entrepreneur.com, Investorplace, and other prominent platforms. With over two decades of experience in global financial markets, Olukoya is well-recognized in the industry.

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Finance

VFD Group Plc Eyes N1.05 Billion Net Profit as Q4 Earnings Forecast Hits N16.12 Billion

Published

18 hours ago

September 11, 2024

Samed Olukoya

VFD Group Plc, an industry-agnostic proprietary investment company with a portfolio of over 40 businesses across various sectors and geographies, has projected to earn N1.05 billion in the fourth quarter of 2024.

This was revealed in a financial projection statement signed by the Director of Finance, John Okonkwo, and Group Managing Director, Nonso Okpala.

According to the statement, gross earnings is projected to hit N16.12 billion in the period ending December 31, 2024.

Investment and similar income is expected to contribute N15.1 billion while investment expenses are projected at N10.42 billion.

This is expected to result in a net investment income of N4.68 billion.

Also, other income sources are expected to bring in N1.02 billion to take the total operating income to N5.7 billion.

However, the company is projected to spend N3.98 billion as operating expenses.

This includes personnel expenses of N1.09 billion, depreciation and amortization costs of N534.82 million and other operating expenses amounting to N2.35 billion.

Net impairment charge of N216.74 million was expected while net operating income is expected to stand at N5.49 billion.

VFD Group estimates its profit before tax will reach N1.51 billion, with an income tax expense of N452.67 million, leaving a profit of N1.05 billion for the period.

The company’s cash flow projections also paint an optimistic picture. Net cash generated from operating activities is expected to be N3.16 billion, while cash used in investing activities is forecasted at N6.4 billion.

On the financing side, the group projects cash generation of N8.81 billion, leading to a net increase in cash and cash equivalents of N5.57 billion.

By the end of Q4, cash reserves are expected to rise to N9.86 billion from N4.28 billion at the beginning of the quarter.

Although these numbers are projections, the forecast indicates VFD Group’s ability to manage its finances effectively in the face of economic uncertainties.

Banking Sector

Zenith Bank Extends Public Offer and Rights Issue by Two Weeks

Published

2 days ago

September 10, 2024

Investors King

Zenith Bank Plc on Monday announced that it has obtained regulatory approval to extend its public offer and rights issue by two weeks.

In a statement released via the Nigerian Exchange Limited (NGX), the leading financial institution said its offers for both existing shareholders and new investors have been extended to September 23, 2024, from the initial closing date of September 9.

The bank attributed the extension to the nationwide protest that began on August 1, the same day the offers were opened.

Zenith Bank stated that the extension will provide shareholders with more opportunities to take advantage of the rights issue and allow the general public ample time to subscribe to the public offers.

Banking Sector

Unity Bank Projects N27b In Q4 Earnings, Targets N4b Profit

Published

2 days ago

September 10, 2024

Investors King

Unity Bank Plc has projected gross earnings of N27 billion and a Profit After Tax of N4 billion in Q4, 2024, in its latest earnings forecast released to the Nigerian Exchange Group.

Although the projected gross earnings represent a marginal increase from the N26 billion projected for Q3 2024, the lender continues to maintain a profitable outlook, with pre-tax profit expected at N4.2 billion.

An analysis of the earnings forecast shows that the lender also expects interest income to rise from N23 billion to N24.5 billion, with net revenue expected to rise marginally by 1.0% to N7.2 billion within the quarter compared to N6.5 billion in Q3, 2024.

Net operating income is projected at N12 billion, while cash flow from financing activities is projected to rise to N481.4 billion from N353.6 billion, a 1.3% projected increase on a quarter-on-quarter basis. This projected growth in cash flow from financing activities continues to reflect the lender’s growing liquidity position which is essential for sustained business operations.

The lender said it expects to cover the milestones with a consistent optimistic outlook in its projection, barring any significant changes in the operating environment, under which the assumptions were made.

The lender noted that it will continue to deliver top-notch customer-centric products and services, especially in the digital lending space following the roll-out of enhanced platforms and channels for superlative customer experiences.

Analysts are of the view that the Q4 forecast reflects a steady growth trajectory on the back of key performance indicators and strategic repositioning to hedge the challenging market conditions.