BOTH of the major indices were on the green during the first week of May, which ended on 07th May 2021.
The Tanzania Share Index (TSI) and the All Share Index (DSEI) both gained 21.05 points and 33.11 points respectively. This is due to a rise in the market capitalization, where the domestic market cap rose by 0.6 to a total of TZS 9,304.41bln ($4.03bln) while the total market cap rose by 1.76 to a total of TZS 15,894.87bln ($6.88bln).
The biggest gainers that influenced the movement during the week were Twiga Cement (TPCC) which moved up by a staggering 12 and DSE which gained 5.45. Twiga has moved up after weeks of a long stalemate where bids and offers were above the official closing price. The counter opened the week at a price of 2,500/- and closed the week at 2,800/-.
DSE gained on its price despite reporting bitter quarterly results compared to a similar quarter last year and the immediate previous quarter. DSE reported a 15.9 decline in profits compared to quarter one of 2020 as a result of lowered transaction fees and CSD fees by 64 and 34. This is a result of a significant downfall in market activities between the two quarters.
The total revenue of the Exchange was down 11.3 despite a 14 and 24 rise in listing fees and investment income respectively. Collectively, listing fees and investment income accounted for 81 of the Exchange’s total revenue during the quarter.
About 85 of the listing fees originates from the outstanding listed Treasury bonds while about 78 of the Exchange’s total assets are in term deposits and Treasury bonds and are the sources of the investment income. The rise of Twiga and DSE were enough to by far offset the downslide on the Tanga Cement counter which dropped by 2.5 to a price of 390/-.
Tanga cement is already 22 since the beginning of the year as the cement manufacturer maintains a loss making status. From the cross listed board, KCB Bank was the biggest gainer after climbing by 5.81 while East African Breweries (EABL) and Jubilee Holdings (JHL) followed suit by 2.21 and 2.52 respectively.
National Media Group (NMG) chose a different path after losing 4.29 from its price. The total equity turnover took a beating and was 89.3 less compared to the previous week. The total equity turnover for the week amounted to TZS 337.96mln ($0.15mln) while the volume of […]