Nigerian Stock Exchange opens week on positive note
June 17th, 2009 Ogbuotobo Chuks || chuks@stockmarketnigeria.com
After experiencing about a week of profit taking on the floor of the exchange, upward price movement seems to be gaining momentum once again. This is evident as the All share index of the exchange close above the 29,000 mark at the end of trading on June 15, 2009. This was the first trading day for the week.
With prices of most stocks still trading at below real value, the upward move in stock prices experienced on Monday is likely to be sustained throughout the week. More so, the market was flooded with impressive company results as well as mouth watering profit forecasts in the just concluded week, which might have also aroused investors appetite. Below are some company scorecards as well as forecasts that have recently been released on the floor of the exchange.
Benue Cement Company Plc
The cement manufacturing company recently released its full year result for the period ended December 31, 2008. In the figures released, turnover for the period stood at N16.45 billion as against N5.47 billion in 2007, representing an increase of about 200 percent. Profit after tax increased from N1.25 billion in 2007 to N4.14 billion in 2008. The company has recommended a bonus of 1 for 4, with register closing on July 6, 2009. The company also gave out bonus of 1 for 8 in its last financial year.
The company also released its first quarter result for the period ended March 31, 2009 in which turnover increased from N1.04 billion in 2008 to N9.31 billion. Profit after tax for the quarter stood at N5.34 billion compared to N0.19 billion for the same period in 2008.
Sterling Bank Plc
The bank released its half year result for the period ended March 31, 2009 which saw gross earnings rise from N15.72 billion in 2008 to N20.49 billion. After tax profit also moved higher, from N1.87 billion in the comparable period of 2008 to N2.43 billion.
Oando Plc
Indigenous oil company, Oando plc made public its full year result for the period ended December 31, 2008. Based on the figures released, management is recommending a dividend payout of N3.00 per share which is really not what investors expected. The company in its last financial year paid a dividend of N6.00 and a bonus of 1 for 5.
Company Forecasts
Nestle Nigeria Plc submitted a forecast of N16.50 billion in turnover and after tax profit of N2.20 billion for its third quater ending September 30, 2009.
Benue Cement Company Plc has submitted a third and fourth quarter forecast for the period ending September 30, 2009 and December 31, 2009 respectively. In the third quarter forecast, turnover was pegged at N16.54 billion with after tax profit of N6.84 billion. In the fourth quarter, turnover was pegged at N16.69 billion with after tax profit of N6.72 billion.
NEM Insurance Plc
The insurance company has submitted a forecast of N4.6 billlion gross premium and after tax profit of N0.95 billion for its third quarter ending September 30, 2009.
Prestige Assurance Plc
The company has also forecast a gross premium of N2.57 billion as well as profit after tax of N0.59 billion for its third quarter ending September 30, 2009.
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