Nigerian Sports Lottery (NSL)

[newton]

So guys wat do u think abt d listing of National Sports Lottery. To be frank I think the lottery companies in the country are dead but just maybe i'am wrong or a lil 2 pessimistic.

[Jerry Duruiheoma]

Hello again,

(The Nigerian Stock Exchange would List by Introduction NATIONAL SPORTS LOTTERY PLC 5,200,000,000 Ordinary Shares of 50 kobo at N2.90 per share )


Do any body know if this IPO is still on and how do I obtain information about there propectus.

[newton]

Originally Posted by newton

So guys wat do u think abt d listing of National Sports Lottery. To be frank I think the lottery companies in the country are dead but just maybe i'am wrong or a lil 2 pessimistic.

Guess my pessimism on this one has bn vindicated...

NSL reports a loss of N475m for FY07...

Proshare News

[hispy99]

Originally Posted by newton

Guess my pessimism on this one has bn vindicated...

NSL reports a loss of N475m for FY07...

Proshare News

No mind dem and the CEO projected a PAT of N3.22B for FYE 2008 (see link below). How dem go make N3.22B after declaring loss of N0.5B, make we see.

Never trust a gambler

Proshare News

[moneymoney]

I think we should thread cautiously here. the fact that a company makes a loss one year does not mean its going to continue in perpertuality. It could be that the loss was as a result of one-off capital expenditure.

Though I've not see their FS for YE2007 but the MD maybe right if he can justify the loss and you can see the projections. Remember WAPCo and Ikeja Hotels too had huge losses (i think) before their current standing.

On a less serious note, since when did the NSE become connected with loss or gain. Did you not hear of the company (can't remeber) that had been wound up some years ago still appreciating on the floor. Or of Juli pharmacy with 3 known outlets still appreciating (they must be selling crack).?!?!?

[hispy99]

Originally Posted by moneymoney

I think we should thread cautiously here. the fact that a company makes a loss one year does not mean its going to continue in perpertuality. It could be that the loss was as a result of one-off capital expenditure.

Though I've not see their FS for YE2007 but the MD maybe right if he can justify the loss and you can see the projections. Remember WAPCo and Ikeja Hotels too had huge losses (i think) before their current standing.

On a less serious note, since when did the NSE become connected with loss or gain. Did you not hear of the company (can't remeber) that had been wound up some years ago still appreciating on the floor. Or of Juli pharmacy with 3 known outlets still appreciating (they must be selling crack).?!?!?

Capital Expenditures do not show up in your income statement (except for depreciation), they show up in your balance sheet. For a company to make N3.22B one year after making a loss of N0.475B will require something special, especially given that the revenue was only N107M! WAPCO did not have a "revenue issue", I believe the loss they declared had a lot to do with high interest expense/operating expense. Even if we imagine a 70% net profit margin (who dash dem that kind margin?), they need a revenue of N4.6B to achieve that PAT. Do you see them hitting N4.6B from N107M? NSL's Q1 ended in March, so hopefully, they'll release some numbers soon.

But like you said, let's see what will happen.

[newton]

Originally Posted by hispy99

Capital Expenditures do not show up in your income statement (except for depreciation), they show up in your balance sheet. For a company to make N3.22B one year after making a loss of N0.475B will require something special, especially given that the revenue was only N107M! WAPCO did not have a "revenue issue", I believe the loss they declared had a lot to do with high interest expense/operating expense. Even if we imagine a 70% net profit margin (who dash dem that kind margin?), they need a revenue of N4.6B to achieve that PAT. Do you see them hitting N4.6B from N107M? NSL's Q1 ended in March, so hopefully, they'll release some numbers soon.

But like you said, let's see what will happen.

Nice one hipsy99,

Infact, they probably dint get hit much on depreciation as the additions were during the period (FY07). The full effect of dep charge wd tell in FY 08, except they decide to put d useful life of those POS terminals at 10yrs as against d convention 4yrs for electronic equip.

[Apache]

Originally Posted by hispy99

Capital Expenditures do not show up in your income statement (except for depreciation), they show up in your balance sheet. For a company to make N3.22B one year after making a loss of N0.475B will require something special, especially given that the revenue was only N107M! WAPCO did not have a "revenue issue", I believe the loss they declared had a lot to do with high interest expense/operating expense. Even if we imagine a 70% net profit margin (who dash dem that kind margin?), they need a revenue of N4.6B to achieve that PAT. Do you see them hitting N4.6B from N107M? NSL's Q1 ended in March, so hopefully, they'll release some numbers soon.

But like you said, let's see what will happen.

Could have sworn i saw a similar post somewhere

[hispy99]

Originally Posted by Apache

Could have sworn i saw a similar post somewhere

chei, see plagiarism

[Panadol]

Can someone explain "List by Introduction" to me. Does it you can buy/sell on the floor after listing.

[newton]

Originally Posted by Panadol

Can someone explain "List by Introduction" to me. Does it you can buy/sell on the floor after listing.

When a company plans 2 list its shares on the stock exchange they either do an IPO and list subsequently or do a pp and then list those shares by introduction. There's nothin really special abt it.

[Apache]

Originally Posted by hispy99

chei, see plagiarism

More like "Double/ Mistaken Identity" skakabu...

[hispy99]

Is anyone watching this stock? After declaring loss of N0.47B, it has risen by 5% for 2 consecutive days now. Meanwhile, UBA, Diamond with better fundamentals are stuck in gear 1. I tire for NSE o

[pumping]

Originally Posted by hispy99

Is anyone watching this stock? After declaring loss of N0.47B, it has risen by 5% for 2 consecutive days now. Meanwhile, UBA, Diamond with better fundamentals are stock in gear 1. I tire for NSE o

This is the mystery of this NSE. Who can claim to fully understand it? Long term the company has good potentials since they are not just into lottery but also going to be providing services to enable a cashless economy.

However, I don't see how the company can make the PAT that was mentioned by the MD sometime last year.

[hispy99]

Originally Posted by pumping

This is the mystery of this NSE. Who can claim to fully understand it? Long term the company has good potentials since they are not just into lottery but also going to be providing services to enable a cashless economy.

However, I don't see how the company can make the PAT that was mentioned by the MD sometime last year.

Pumping,

Do you know what this "cashless" service to be provided by NSL entails? I heard about it too, but I have no idea what's it's all about

[hispy99]

NSLTECH
(1st Quarter) Turnover (N'000) PBT (N'000) Tax (N'000) PAT (N'000)
31-Mar-08 1,160,000 841,770 NIL 841,770
31-Mar-07 158,000 (468,700) (6,560) (475,260)
% Change 634.2


Looks like I might eat my words on this one

[newton]

Originally Posted by hispy99

NSLTECH
(1st Quarter) Turnover (N'000) PBT (N'000) Tax (N'000) PAT (N'000)
31-Mar-08 1,160,000 841,770 NIL 841,770
31-Mar-07 158,000 (468,700) (6,560) (475,260)
% Change 634.2


Looks like I might eat my words on this one

Result looks quite impressive... but hmmm its unaudited & i seem 2 hav an ethical issue wt this firm anyway.

[hispy99]

Originally Posted by newton

Result looks quite impressive... but hmmm its unaudited & i seem 2 hav an ethical issue wt this firm anyway.

I know they want to do a PO...I hope this is not a case of cooking the books, so that they can jack up the price for the impending PO

[deleawo]

No doubt I suspect this new unaudited result. Why is it coming so fast just after a disappointing full year result.

[riskreturn]

NSLTECH'S 12 billion Naira PO starts next Monday (Please see the link below). But what would the 15.50 Naira offer price (a discount of 14.8% on the technical suspension price of 18.19 Naira) look like in investors' eyes, given the prevailing mood in the secondary market? What would the projections in the offer Prospectus look like?

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