Site icon MONEYINAFRICA

How investors reacted to half-year results of premium board listed firms

How investors reacted to half-year results of premium board listed firms

Nigerian Stock Exchange (NSE) premium board listed companies fondly referred to as Nigeria’s elite issuers are industry leaders in their respective sectors. Following the release of their respective half-year financials business a.m . analyses their share price movement. Below are the performances of the respective companies:

Dangote Cement Plc . was the quickest off the mark to release its half-year results for the period ended 30th June 2018. The cement producer recorded revenue of N482 billion, profit after tax (PAT) of N113 billion (3% increase) and earnings per share (EPS) value of N6.80.

Prior to the release of the result, the share price of Dangote Cement was N230 but increased by 5 basis points to close the market at N235 per share on 24th August 2018. Although the share price has been largely volatile, the significant improvement in the share price of the stock largely points to sustained investors confidence in the company.

Lafarge Africa Plc. followed the lead of Dangote Cement, declaring revenue of N162 billion for the period under review, but recorded an after tax loss of N3 billion and a N45 per share loss.

Unlike its lead competitor, Lafarge had its share price at N32.50 before the disclosure of its half-year result, and have since witnessed a steady decline in the share price, which closed at N26.25 as at 24th August 2018. Understandably, the share price drop could be attributed to the unimpressive performance of the company.

Between the release of their half-year result and 24th August 2018, Seplat Petroleum Development Company Plc. saw its share price increased by 4 percent from N625 per share to N650. The company, recorded revenue of $342.7 million, an increase of 160 percent compared to the same period in 2017, as operating profit for the first six months was $158.4 million compared to $7.2 million from H1 2017, and an EPS of N25.59 per share.

For Zenith Bank Plc. which declared gross earnings of N322 billion in H1 2018 representing an 18 percent drop in comparison with 2017, profit after tax of N81 billion, and an EPS of N1.21 per share, investors embarked on a sell off despite the N9.4 billion interim dividend declared by the company.

Within the time of releasing its result and last Friday, the bank has seen its share price drop from N23.85, the closing price on 3rd August 2018, to N21.95 as at 24th August 2018, showing flagging interest from […]

Stay in the Know!

Sign up for the latest news and information on African Companies and Economy.

By signing up, you agree to receive MoneyInAfrica offers, promotions and other commercial messages. You may unsubscribe at any time.
Exit mobile version