• Monday, April 22, 2024
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Stock market buoys on earnings releases


  At the Customs Street yesterday, the Nigerian stock market sustained its positive movement following the release of more audited financials particularly companies in Financial Services subsector.

In addition to Zenith Bank plc and Guaranty Trust Bank plc which Tuesday released their audited full year financials, more banks yesterday approached the Nigerian Stock Exchange (NSE) with improved audited financials. They are Access Bank plc and Sterling Bank plc. As investors continued to raise their bet in bank stocks, the market’s benchmark performance indicators –the NSE All Share Index (ASI) and market capitalisation closed high. The NSE ASI which opened at 34,351.87 points rose by 0.57 percent or 196.85points to close at 34,548.72 points. The valued of equities held by investors appreciated by N63 billion evidenced in the equities market capitalisation which rose to N11.057billion against N10.994billion in the preceding trading day.

Activity in the shares of Zenith Bank plc, Sterling Bank plc, Wema Bank plc, Fidelity Bank plc and Access Bank plc boosted the volume of equities exchanged Wednesday on the floor of the Nigerian Stock Exchange. In 7,898 deals, equity traders exchanged 516,337,430 shares valued at N6.448billion against 291,264,541 shares worth N4.188billion exchanged in 5,317 deals the preceding day.

Access Bank for instance recorded 54 percent rise in gross earnings to N208.309billion against N135.635billion in 2011. The bank’s profit before tax rose to N44.880billion against N24.107billion in 2011, indicating an increase of 86 percent.

The bank’s basis earnings per share rose by 97 percent to 169kobo from 86kobo the preceding year. Its proposed dividend payable to shareholders amounts to N13.730million, representing final dividend per share of 60kobo.

Sterling Bank plc grew its gross earnings to N68.856billion against N47.740billion in 2011. Its profit before tax rose to N7.499billion from N5.640billion in 2011. The bank proposes a dividend payment of 20 kobo per share for its shareholders.

Okomu Oil Palm plc was the biggest gainer yesterday on the Nigerian bourse after its share price rallied from N79.75 to N87.72, adding N7.97. It was followed by Nigerian Breweries plc which rose from N166 to N169, after adding N3. Also, 7UP gained N1, after rising from N49 to N50; Guinness Nigeria plc share price rose from N265.02 to N266, adding N0.98; while Beta Glass rallied from N9.49 to N10.43, gaining N0.94.

NewGold Exchange Traded Fund (ETF) lost most in value after its price declined from N2, 460 to N2, 418, losing N42. Presco also lost N2.50, from N25 to N22.50; MRS dropped from N24.88 to N22.40, losing N2.48; Guaranty Trust Bank plc declined from N27.45 to N25.68, losing N1.77; while PZ Cussons dipped from N36.71 to N36, after declining by N0.71.