By Taofik Salako Deputy Group Business Editor
The Nigerian Stock Exchange (NSE) has lifted suspension on trading in the shares of RT Briscoe Nigeria Plc after the company submitted its outstanding financial statements to the market.
Audited report and accounts of RT Briscoe for the year ended December 31, 2019 showed that turnover rose from N5.18 billion in 2018 to N6.94 billion in 2019. Gross profit dropped from N1.46 billion to N1.66 billion. It recorded a pre-tax loss of N1.24 billion in 2019 as against N2.17 billion in 2018. After taxes, net loss stood at N1.28 billion in 2019 compared with N2.19 billion in 2018.
The NSE, had on September 1, this year suspended trading on RT Briscoe and five other companies over their inability to comply with extant corporate governance rules and best practices that mandate them to submit their financial statements within a specified period.
The suspended companies included FTN Cocoa Processors Plc, Medview Airline Plc, Niger Insurance Plc, R.T. Briscoe (Nigeria) Plc, Union Dicon Salt Plc and Capital Oil Plc.
In a circular, the NSE stated that it has lifted suspension on RT Briscoe Nigeria after the automobile company submitted its outstanding financial statements.
Listing and regulatory rules at the capital market require all quoted companies to submit their annual audited report and financial statement not later than 90 days after the end of the financial year. More than 85 per cent of quoted companies including all banks, insurers, major manufacturers, oil and gas companies and conglomerates use the Gregorian calendar year ending December 31 as their business year. Thus, the deadline for the submission was Monday, March 30, 2020.
However, with the disruptions caused by the COVID-19 pandemic, both the NSE and Securities and Exchange Commission (SEC) extended the deadline for submission of annual report and accounts by 60 days, till May 29, 2020.
The NSE stated that the companies were suspended after the expiration of the “grace” period and many notifications demanding the submission of the financial statements.
“In accordance with the rules set forth above, the suspension of trading in the shares of the above listed companies will only be lifted upon the submission of the relevant accounts and provided the Exchange is satisfied that the accounts comply with all applicable rules of the Exchange,” NSE stated.
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