Oando Plc lifts Nigerian stock market with strong 2018 financial results
The market capitalisation of listed equities on the Nigerian Stock Exchange rose by N93bn on Tuesday this week as 33 stocks led by Oando Plc, Unity Bank Plc, and Skye Bank Plc recorded price appreciation.
The NSE All-Share Index gained 0.63 per cent to close at 40,788.68 basis points from 40,533.37 basis points the previous day.
The market capitalisation stood at N14.734tn at the close of trading on Tuesday, up from N14.641tn on Monday.
Unity Bank, which led the gainers’ table, appreciated by 9.48% to close at N1.27 per share, while Oando rose by 9.27%to N8.25 per share.
Skye Bank saw its share price appreciating by 9.09% to close at N0.98 from N0.88 on Monday. The bank had recorded price growth in recent days as it rose by 4.61% on April 11 to close at N0.68 per share. It closed at N0.80 per last week.
GlaxoSmithKline Consumer Nigeria Plc increased by 8.45% to N34 per share; Julius Berger Nigeria Plc gained 8.13% to close at N25.95 per share; while Regency Alliance Insurance Plc rose by 7.14% to N0.30 per share.
Other gainers on Tuesday included Diamond Bank Plc, FCMB Group Plc, Beta Glass Plc and Fidelity Bank Plc.
A total of 1.602 billion shares worth N10.91bn were traded in 4,729 deals on Tuesday, compared to 192.494 million shares worth N3.127bn traded in 3,917 deals the previous day.
Oando said its decision to fully cooperate with the Securities and Exchange Commission to ensure a smooth and speedy conclusion of the investigation into the company as well as its efforts to reconcile with the aggrieved petitioners were gradually paying off.
It noted in a statement that its shares had recorded a 38% increase in 4 days of trading on the stock market after the technical suspension was lifted.
“The company’s shares have also commenced trading on the Johannesburg Stock Exchange, meaning that shareholders on both sides of the world can finally benefit from the positive operations of the company,” Oando said.
The statement quoted one of Oando shareholders with the New Dimension Shareholders Association, Mr Patrick Ajudua, as saying, “My hope and that of the members of my association is that SEC will conclude the forensic audit as soon as possible so that the company can focus on its business operations.”
Commenting on the recent results Wale Tinubu, Group Chief Executive, Oando Plc said:
“Today’s positive result is further evidence of the progress made by Oando in 2018 driven by our continued focus on execution and operational efficiency, supported by buoyant commodity prices. The outlook for the remainder of the year is positive, and we remain committed to delivering on our value-based strategy towards improving our liquidity by reducing our gearing, improving our profitability by increasing production, and achieving growth via strategic alliances.”
Oando Plc as a whole continues to implement programs to improve operational efficiency and maintain capital discipline to assure profitability regardless of the market context.