The Nation Newspaper

Tag: Q3

  • Quoted firms have tomorrow as deadline to submit Q3 earnings reports

    Quoted companies that have not submitted their operational reports and financial statements for the third quarter must submit their reports to the Nigerian Stock Exchange (NSE) before the close  of work tomorrow in order to avoid poor corporate governance tag and sanctions that may range from N100,000 to about N100 million.

    Regulatory filing calendar of the NSE at the weekend indicated that most quoted companies are mandatorily required to submit their interim earnings reports for the nine-month period ended September 30, 2017 on or before the close of work on Tuesday, October 31, 2017.

    Post-listing rules at the NSE require quoted companies to submit their audited earnings reports, not later than 90 calendar days, or three months, after the expiration of the period. The rules also require quoted companies to submit interim report not later than 30 calendar days after the end of the relevant period.

    Most quoted companies, including banks, major manufacturers, oil and gas, breweries and cement firms use the 12-month Gregorian calendar year as their business year.  Not less than 83 per cent of quoted companies use the 12-month Gregorian calendar year as their business year.

    NSE tags and applies fines on companies that fail to meet earnings reports’ deadline. The Exchange had on January 1, 2017 launched a new sanction regime for delay in submission of companies’ results. Under the new sanction regime, companies may pay fines that range from N100, 000 to more than N100 million as penalties for delay in the submission of their corporate earnings reports.

    Companies that also delayed their financial statements and accounts face threats of suspension and delisting in addition to the monetary fines.

    Under the rules, quoted companies are required to file their unaudited quarterly accounts with the NSE not later than 30 calendar days after the relevant quarter, and publish it within five business days after the date of filing, in at least two national daily newspapers, and post it on the company’s website, with the web address disclosed in the newspaper publication. Also, an electronic copy of the publication shall be filed with the Exchange on the same day as the newspaper publication. Where the company chooses to audit its quarterly accounts, it shall be required to file such accounts not later than 60 calendar days after the relevant quarter.

  • Zenith Bank grows profit by 31% to N153b in Q3

    Zenith Bank grows profit by 31% to N153b in Q3

    Zenith Bank Plc recorded significant growths in the top-line and bottom-line in the third quarter, raising prospects of better returns for the 2017 business year.

    Key extracts of the interim report and accounts of the bank for the nine-month period ended September  30, 2017 showed gross earnings of N531.3 billion, showing a growth of 39.7 per cent above the N380.4 billion posted in the corresponding period of 2016. Net interest income rose marginally by 6.2 per cent from N189.8 billion to N201.5 billion, while non-interest income surged by 123 per cent to N169.5 billion, from N94.7 billion.

    Zenith Bank grew its profit before tax by 30.8 per cent from N116.6 billion to N152.5 billion while profit after tax (PAT) grew faster by 36 per cent to N129.2 billion, compared with N95.4 billion in 2016.

    Also, deposits grew from N2.6 trillion at the end of December 2016 to N3.1 trillion as at September. But loans and advances fell marginally by 2.6 per cent to N2.2 trillion, from N2.4 trillion. Total assets stood at N5.1 trillion, up from N4.6 trillion in December 2016.

    Chairman, Zenith Bank Plc, Mr. Jim Ovia recently assured that the bank would continue to work to improve shareholders’ value in spite of the challenging operating environment.

    He noted that the bank’s performance was due to its ability to fully exploit the available opportunities, pointing out that in line with its commitment to delivering superior returns to shareholders, the bank ensured that a good chunk of the profit would be distributed to the shareholders.

    “As a bank, we are monitoring developments both in the local and global economy and applying pragmatism and dynamism as appropriate. Our strategy and approach to the pursuit of financial inclusion and sustainability gives us a lot of competitive advantage to explore even new frontiers in the market,” Ovia said.

  • Visa to announce Q3 financial results

    Visa to announce Q3 financial results

    Visa Incorporated will report its fiscal third quarter 2016 financial results on Thursday, July 21. According to Yahoo report, the results, along with accompanying financial information, will be released after market close and posted on the Visa Investor Relations website.

    Visa’s executive management team will then host a live audio webcast to discuss financial results and business highlights.

    All interested parties are invited to listen to the live webcast, while a replay of the webcast will be available on Visa’s Investor Relations website for 30 days.

    Visa is currently in its customary “quiet period” during which time company executives will not be interacting with the investment community. This quiet period will extend until fiscal third quarter 2016 earnings are released.

    Visa Incorporated is a global payments technology company that connects consumers, businesses, financial institutions, and governments in more than 200 countries and territories to fast, secure and reliable electronic payments.

    The firm operates one of the world’s most advanced processing networks — VisaNet — that is capable of handling more than 65,000 transaction messages a second, with fraud protection for consumers and assured payment for merchants. Visa is not a bank and does not issue cards, extend credit or set rates and fees for consumers. Visa’s innovations, however, enable its financial institution customers to offer consumers more choices: pay now with debit, pay ahead with prepaid or pay later with credit products.

  • Consolidated Hallmark Q3 profit up 120%

    Consolidated Hallmark Insurance (CHI) Plc, has recorded a 120 per cent growth in its Profit After Tax for the third quarter ended last September 30, when compared with the corresponding period in the preceeding financial year.

    The unaudited results, which have been presented to shareholders by the Nigerian Stock Exchange, showed that  Profit After Tax rose from N176.78 million during the nine months ended September 2014, to N389.74 million, this year.

    The firm also recorded an improvement in its gross premium income during the period under review, having increased revenue in this area from N3.87 billion to N4.93 billion, despite the increasing competition in the industry and difficult operating terrain.

    Further details of the result revealed a 64 per cent growth in underwriting profit, as it posted N1. 25 billion when compared with N768. 3 for the third quarter ended 30th September, 2014.

    CHI Managing Director, Eddie Efekoha,  attributed the modest results to high premium the firm has continued to place on customer service and the attention given to prompt claims settlement.

    The amount expended on claims by the company during the period rose to N902.2 million from N826.14 million spent during the corresponding period in 2014.

    Efekoha said the firm is desirous of maintaining excellent customer service reputation, as it  currently leverages on technology to ensure seamless transactions through the deployment of e-payment channels, whilst also engaging more with numerous customers through the social media platforms.

  • Allianz earnings dip in Q3

    Allianz’s earnings fell by more than expected in the third quarter as market turbulence hit asset management and insurance results, raising the pressure on Europe’s biggest insurer ahead of this month’s strategy review.

    The Chief Executive Oliver Baete will unveil conclusions on November 24 of a review after taking charge in May as Allianz seeks to boost its underwriting strength in face of persistently low interest rates and tightening regulation.

    Allianz’s Pimco asset management business has been hit by cash outflows and its issues came into the spotlight last year with the acrimonious departure of “Bond King” Bill Gross.

    Quarterly net profit fell 15 per cent, a sharper decline than analysts had expected dented by fallout from financial market ructions in China and interest rate uncertainty in the United States.

    Investment declines and claims for events including deadly explosions at the port of Tianjin in China also played havoc with results at rivals such as Zurich, Generali and Munich Re in the quarter.

    Tianjin cost Allianz around 60 million Euros ($65 million).

    The company said it expected a result towards the upper end of its full-year target for operating profit of between 10.0 and 10.8 billion Euros, reflecting increased uncertainty about financial market volatility relative to its previous forecast to be at the top end.

    The Financial Officer, Dieter Wemmer sought to temper expectations for the strategy presentation, which he said would centre on boosting growth through a sharper focus on clients and digitisation as well as improving international teamwork.

    “Whether it’s a sea change will certainly be judged differently seen from the inside and outside; internally, it is a big step towards the changes needed in the organisation,” Wemmer told reporters.

    • Culled from Reuters

  • Transcorp records N7.2b pre-tax profit in Q3

    Transnational Corporation of Nigeria Plc (Transcorp) witnessed a top-down decline in performance in the third quarter as the group struggled with decline in its hospitality and tourism business.

    Key extracts of the nine-month report for the period, which ended September 30, 2015, showed that group turnover dropped marginally to N30.43 billion in 2015 as against N31.40 billion recorded in comparable period of 2014. Gross profit also dropped from N21.12 billion to N18.18 billion. Operating profit declined to N11.04 billion as against N12.36 billion.

    Profit before tax slipped from N9.71 billion to N7.19 billion while profit after tax dropped from N8.26 billion in third quarter 2014 to N5.88 billion in third quarter 2015. Group total assets, however, rose by seven per cent to N182.98 billion by September 2015 as against N170.76 billion recorded at the beginning of this year.

    Chief executive officer, Transnational Corporation of Nigeria (Transcorp) Plc, Mr. Emmanuel Nnorom, said the performance of the conglomerate in the past nine months reflected the stability that has been injected into the group’s corporate strategy since 2011, particularly in light of the challenging business environment.

    According to him, the power business has remained a key part of the group’s business contributing 65 per cent of revenue and the diversification of the business lines has provided stability.

    “We expect significant improvement in the power sector in the coming weeks, as this accounts for a significant part of our turnover,” Nnorom said.

    Group chief financial officer, Transnational Corporation of Nigeria (Transcorp) Plc, Ibikunle Oriola said the group’s agribusiness contribution has increased by 1220.5 per cent, with revenue growth of 1179 per cent driven by orders received for sale of orange juice concentrate.

    “We have maintained steady top line numbers in our power and hospitality business, as our Agribusiness continues on a strong growth trajectory,” Oriola said.

    He noted that revenue declined slightly by nine per cent in the hotel business as average daily rate grew to offset the impact of slightly declining occupancy rates caused by lower visitors’ traffic in Abuja adding that the group expects a stronger finish in the fourth quarter of 2015 due to a number of announced events and expected uptick in government activity.

    Transcorp, which is owned by more than 300,000 shareholders, holds a diversified portfolio comprising strategic investments in the power, hospitality, agribusiness and oil and gas sectors. The conglomerate’s notable businesses include Transcorp Hilton Hotel, Abuja; Transcorp Hotels Calabar; Ughelli Power Plc, Teragro Commodities Limited, operator of Teragro Benfruit plant and Transcorp Energy Limited.

    Transcorp recorded a turnover of N41.3 billion for the year ended December 31, 2014, indicating an increase of 120 per cent over N18.8 billion recorded in 2013. Group gross profit also rose by 92 per cent to N27.6 billion as against  N14.4 billion in 2013.Group operating profit rose by 33 per cent to N13.6 billion. However, profit before tax declined by 14 per cent to N7.7 billion in 2014 from N9.0 billion in 2013. But total assets for the group grew by 14 per cent from N149.6 billion in 2013 to N170.8 billion in 2014. It declared a dividend per share of 6.0 kobo.

    The Nigerian Stock Exchange (NSE) named Transcorp as the most compliant quoted company in 2014. According to the NSE, the most complaint listed firm award is given to the company that demonstrates the highest degree of compliance with the rules and regulations regarding disclosure obligations of listed companies to the Exchange in a particular year. Such a company is also expected to have demonstrated its recognition for the importance of corporate governance.

  • Vitafoam Nigeria’s profit drops by 44.5% in Q3

    Vitafoam Nigeria Plc continued to struggle with slow top-line and tough operating and financing expenses as third quarter earnings showed significant compression in the bottom-line of the foam-manufacturing company.

    Key extracts of the interim report and accounts of Vitafoam Nigeria for the nine-month period ended June 30, 2015 showed that group profit before tax dropped by 44.5 per cent to N521.95 million in 2015 as against N754.17 million recorded in the corresponding period of 2014. Net profit after taxes also declined from N457.8 million to N335.33 million.

    Group turnover had increased marginally from N13.34 billion to N13.84 billion. Gross profit also improved marginally to N4.43 billion in 2015 as against N4.39 billion in 2014. However, operating expenses impinged on the earnings, dropping operating profit from N1.25 billion to N1.08 billion.

    The current performance contrasted sharply with 67 per cent increase in post-tax profit in 2014 after a change in accounts software delayed the group’s full-year accounts and the incumbent managing director and group finance director retired afterward. The company distributed N246 million in cash and additional 164 million shares as cash dividends for the year ended September 30, 2014. Shareholders received a dividend per share of 30 kobo and bonus share of one share for every five ordinary shares held by shareholders.

    Key extracts of the audited report and accounts for the year ended September 30, 2014 showed that profit after tax rose by 67 per cent to N659 million in 2014 as against N395 million recorded in the previous year. Earnings per share subsequently rose by 69 per cent from 48 kobo in 2013 to 81 kobo per in 2014.

    Management report had indicated that the performance was due to increased innovation and improved internal efficiencies. As part of the strategy to strengthen its African operations, Vitafoam had installed modern equipment in its plant in Sierra Leone, which serves all the neighbouring countries including Guinea and Gambia.  Only recently, its subsidiary, Vitapur Nigeria Limited acquired modern equipment called SAIT Advanced Polyurathane to boost production of quality pallets and reinforce capacity utilization.

     

  • ‘Japan’s Q3 recession deeper’

    Japan’s economy shrank more than initially estimated in the third quarter of this year, according to revised gross domestic product (GDP) figures.

    The economy contracted by 1.9 per cent in annual terms from July to September, well above a preliminary reading of 1.6 per cent.

    It also shrank 0.5 per cent on a quarterly basis, compared with an initial estimate of 0.4 per cent, data showed.

    A big fall in business spending plunged the economy into a deeper recession.

    The revised figures, which come just days before Japan’s national elections, showed that business spending dipped by 0.4 per cent from the previous quarter, instead of the 0.2 per cent estimated in the preliminary reading.

    The world’s third largest economy unexpectedly fell into a technical recession after shrinking for the second consecutive quarter in July to September.

    It had contracted 7.3 per cent in the second quarter, which was the biggest fall since the March 2011 earthquake and tsunami.

    An increase in the country’s sales tax, which was first raised in April from five per cent to eight per cent, had hit growth in the second quarter and still appeared to be having an impact on the economy.

    The dire data had led Prime Minister Shinzo Abe to call a widely-anticipated snap election last month, to seek a mandate to delay an increase in the tax to 10 per cent, scheduled for next year.

    The tax increase was legislated by the previous government in 2012 to curb Japan’s huge public debt, which is the highest among developed nations.

    Adding to the downbeat data, a Reuters poll on Monday showed that confidence among Japanese manufacturers fell in December and is expected to deteriorate further.

    The Reuters Tankan sentiment index for manufacturers fell to 10 in December from 13 in November, with automakers taking a hit.

    Manufacturers expect a further decline to 7 in March.

  • Oando grows Q3 net profit by 76% to N11b

    Oando Plc optimized its bottom-line performance in the third quarter as significant improvements in top and midline costs moderated decline in turnover and returned higher earnings to shareholders.

    Key extracts of the interim report and accounts of Oando for the nine-month period ended September 30, 2014 showed that while turnover dropped by 12.5 per cent, the group drew on improved input and marketing costs to grow gross profit and operating profit by 70.4 per cent and 97.3 per cent respectively. Net profit after tax rose by 75.7 per cent.

    Group turnover stood at N338.11 billion in third quarter 2014 compared with N386.25 billion in corresponding period of 2013. Gross profit meanwhile rose from N70.4 billion in 2013 to N79.60 billion in 2014. Operating profit also nearly doubled at N36.25 billion in 2014 as against N18.37 billion in 2013. Profit before tax rose marginally from N9.76 billion in third quarter 2013 to N10.18 billion in third quarter 2014.

    With tax gain of N523.4 million, group net profit rose to N10.70 billion in 2014 as against N6.09 billion in comparable period of 2013. Earnings per share meanwhile improved from 93 kobo to N1.26.

    Oando has, this year, recorded several milestones, including the successful acquisition of ConocoPhillips, the largest acquisition by an indigenous player in Africa; in the upstream, OML 125 production increased by 17 per cent to 651,000 bbls, while OML 56 production increased by 30 per cent to 171,000bbls compared to prior comparative period; in the midstream, Oando Gas and Power is extending its natural gas distribution network by 8.0km from Ijora to the Marina business district in Lagos state, positioning the company to benefit from the growing demand for gas and power infrastructure in the country while in the downstream, the completion of the Apapa Single Point Mooring (ASPM) Jetty, a first in Africa; with expected demurrage cost savings and additional income streams.

    On the impact of Oando’s $1.5 billion acquisition of ConocoPhillips Nigeria which has transformed the company into Nigeria’s largest indigenous oil and gas producer, it is expected that there would be further improvements in the company’s performance as the acquisition is set to increase daily oil production exponentially by 600% equivalent to 45,000 boe/d, annual revenue of over US$600 million, and annual free cash flows of $150 million.

    On the outlook for the company, group chief executive officer, Oando Plc, Mr. Wale Tinubu has said the company’s strategic refocus on the higher margin promises to create profitable growth for the company and immense value add for its stakeholders in the near term.

    “With an eye to the future, we took on our largest and most daring feat with the acquisition of ConocoPhillips Nigeria, adding capacity to support our future growth plans. We have succeeded in repositioning ourselves within the sector, and through future acquisitions and innovative efficacy we will seek to up our market share in sub-Sahara’s upstream sector within the next five years to 100,000 boe/d in net production.  We remain committed to strengthening our balance sheet and expect 2014 to be another strong year for the Company,” Tinubu said.

    He noted that the company has already seen positive indications from its active strategic initiatives; upstream investments, midstream expansion and downstream optimisation.

    Oando recently distributed a total of N2.4 billion as cash dividends to shareholders, consisting of a final dividend of 30 kobo per share for the 2013 business year financial year and an interim dividend of 70 Kobo per share for the six-month period ended June 30, 2014, bringing total dividend per share to N1.

    Chairman, Oando Plc, Oba Michael Gbadebo, said the company has already started to reap the rewards of recent strategic initiatives in the previous year.

    “We have successfully cemented our leading status as Nigeria’s premier indigenous exploration and production player, whilst also growing the midstream business and refocusing the pioneer downstream business,” Gbadebo said.

    According to him, the company will remain on the growth path and continue to work diligently to stay ahead of its peers while creating value for its shareholders..

  • Chams grows turnover by 83% in Q3

    Chams Plc has continued to improve its operations and profitability as latest earnings report showed appreciable improvements in the information and communication technology company’s fundamentals.

    Key extracts of Chams Plc for the third quarter ended September 30, 2014 showed that group turnover rose by 83 per cent while the company further deepened its bottom-line with 227.6 per cent growth in gross profit. Against the loss in the previous year, the group sustained its positive net earnings position.

    Group turnover stood at N1.94 billion by September 2014 as against N1.06 billion recorded in comparable period of 2013. Gross profit tripled from N3348.5 million in third quarter 2013 to N1.14 billion in third quarter 2014.

    Against the pre and post-tax loss of N614.63 million in third quarter 2013, the group recorded pre and post-tax profit of N86.84 million.

    The third quarter report sustained the positive outlook that has shown strong recovery for the transactional technology group. In the first half ended June 30, 2014, Chams had shown a major leap in its growth momentum  as turnover rose to N1.415 billion in first half of 2014 as against N509.44 million in corresponding period of 2013. Gross profit had also increased from N371.69 million to N598.34 million. Against operating loss of N243.28 million in first half of 2013, operating profit stood at N100.69 million in first half of 2014. Profits before and after tax stood at N34.76 million in first half of 2014 compared with loss of N276.21 million in comparable period of 2013.

    The interim reports appeared to underline increasing profitability of the company’s operations. Audited report and accounts of Chams for the year ended December 31, 2013 had shown that turnover rose by 21.3 per cent from N2.84 billion in 2012 to N3.44 billion in 2013. Profit after tax rose by 115.3 per cent to N188.5 million as against N87.5 million in the previous year. The company’s net bottom-line was boosted by tax gain of N81.54 million. Total assets grew by 22.9 per cent to N10.7 billion compared to N8.7 billion. Shareholders’ funds improved from N4.5 billion to N4.7 billion.

    In his recent review, group managing director, Chams Plc, Demola Aladekomo, said the performance of the company confirmed that the various initiatives that had been put in place have started bearing fruit.

    “To consolidate on our performance in the last financial year and maintain our profitability is quite commendable and we are confident that things can only become better for us. More gratifying is the fact that we have sustained our topline growth trajectory, an indication that we have continued to increase our market share and remain competitive. We have entered into some partnership agreements that will have positive impact on our performance in the coming years,” Aladekomo said.

    According to him, the priorities of the company in 2014 include completion of the ongoing restructuring across the group and dedication of its energy towards delivering value to all stakeholders;  upgrading of its card personalisation bureau to EMV-certified standard and fostering strategic alliance with its partners based in South Africa and Israel.

    He added that the company would also strive to launch new card products and solutions into the market; sustain growth in its market share; achieve a profit growth of 300 per cent while continuing to engage the investment community and keep them abreast of developments in the company.

    In the 2014, Chams will also drive the implementation of the Bank Verification Number project initiated by the Central Bank of Nigeria (CBN) and the Bankers’ Committee. It is implementing the one-year project in partnership with Dermalog Identification Systems, a leading global company in the field of bio-payment. Chams and its technical partner, Dermalog, will work for five years on the Bank Biometric Matching Solution Project, which is expected to create 1000 new jobs for young professionals.

    Apart from its benefits to the national economy, which is bridging the formal and informal economy, the Bankers Biometric Matching Solution project and the increasing uptake of identity management products and services by private and public enterprises are expected to usher Chams into a new era of strength, financial stability, improved cash flow and profitability beyond the 2014 financial year.