HENATES

After a rather strong 1.27% or 31.13 points drop in the Ghana Composite Index to 2419.49 on Thursday March 28, Friday March 29 closed with a stronger recovery. The GCI on Friday, rallied by 1.45% or 35.02 points to 2454.51, the 2nd highest level for the week . The first 2 days of the week had closed to the GCI appreciating to a week high of 2460.90 on Tuesday compared to 244.50 on previous Friday. It however eased to 2450.62 on Wednesday before diving rather fast on Thursday to the week's low. The Friday rally was as 4 price gains and one drop were recorded mainly by companies not listed in other markets. The lone decline was by Ghana Oil down GHc 0.02 per share to GHc 2.51 per share from previous day's GHc 1.53 per share. But that was after in the course of exchanging 1400 of its shares, last deal price was GHc 2.5 per share. The rally thus recorded after the deals may not last though because bid and offer prices mismatched  at GHc 2.16 and 2.5 per share respectively at the cl...

Friday, March 29 2019 was an exceptional one for the week in the sense that 4 day continued decline was punctuated by the rise in All share index 1.81 points to 157.66. The ASI had consistently gone down each day till then easing by 0.93 points on Monday; 1.70 points on Tuesday; 1.07 points on Wednesday before hitting all week low of 155.85 on Thursday, down 0.45 points. However, the Friday rally only reduced the decline rate of the ASI when compared to previous week. The ASI dropped by 1.46% from last week's closing 160.0 Price gains overwhelmed drops by 21 to 13 with Standard Chartered Bank pacibg gains by Ksh 7.75 per share. It closed at Ksh 215.25 per share after hitting high of Ksh 225 and low of Ksh 205 against Ksh 207.50 per share previously. 1 & M Holdings followed with Ksh 4.50 per share rise to close at Ksh 113.50 after touching day high of Ksh 115 per share and low of Ksh 110 compared to Ksh 109 per share on Thursday. Other major price gains were Ksh 1.30 per share r...

Last 2 days of the trading week ended Friday March 29, 2019 turned out to be days to remember notably because they turned the table for the week. The first three days of the week had witnessed decreasing traded volume and shrinking market capitalisation but all of that changed in the 2 days. On Thursday, with record 1.703bn shares and 99.531m shares in Wema Bank and Chams Plc respectively, traded volume and value hit new highs of 1.918bn shares valued at N2.803bn. In the process, the All share index rose by modest 0.01% to 30,833.50. Come Friday, the market recorded strong price rallies that drove the ASI 0.67% up to 31,041.42 although, naturally unable to repeat volume feat of Thursday, only 266.861m shares worth N3.153m in 3455 deals were recorded. There were only 18 price drops and 16 gains but top gains were not only recorded by pace setting equities but also, their price change margin was on the high side. Top priced Nestle Nigeria led all gains with N82.1 or 5.48% leap to close a...

The Head of Corporate Communication at Innoson Motors, Cornel Osigwe, on Friday March 28, tweeted in his handle that his company' has taken over Guaranty Trust Bank over judgement debt of N2.4bn plus 22% interest due. According to him a Writ of Fifa was obtained from the High Court in Awka to take over in order to recover the judgement debt pending since 2014 at interest rate of 22% all now amounting to N8.8bn due. He said over the years, GTB had appealed against the judgement given at an Ibadan High Court. It first approached the Court of Appeal which affirmed the lower court judgement then appealed further to the Supreme Court. According to him, the highest court on the land decided in Innosons favour on February 27, this year thud making both the amount in dispute and interest due automatically payable. Subsequently, the company approached Awka High Court to obtain a Writ of Fifa on GTB in order to recover the money now due. And so, armed with the Writ the company, in his words ...

When a child who in a previous examination scored 80%, comes home with a new report in which he now scores 67.2%, the parents have a right to sit him down and ask how come. So it must be between Nigeria's United Capital Plc and its discerning shareholders since the release of the company's 2018 audited figures. In 2018, all said and done, says the annual report, United Capital ended with 67.2 % profit margin compared to 80.2% in 2017. How come? What comes across from the figures was that the company received 2 blows to the jugular in 2018: Sharp drops in Investment income and fair value gain. Investment income dropped by 10.8% to N4422.8m from N4965.2m while fair value on financial assets plunged by 79.7% to N6.173m from 2017's N30.387m. In view of both drops, the group's gross earnings grew by only 33.9% to N9259.4m despite strong growths in net trading income, and net operating income leap to N757.5m from N143.5m  Other income streams ended with single digit increase....

Wednesday, March 27, 2019 would have been 5th day of constant rally by the Ghana Stock Exchange but it was punctuated. The Ghana composite index, which best reflects the state of the marker despite exclusion of equities quoted in other exchanges from its valuation basket, went down to 2450.62 from Tuesday's 2460.90. This was as 7 price changes were recorded 4 down and 3 up in contrast to same 7 price changes on Tuesday made up of 4 price drops and only 3 gains.  This time around price gains were paced by CalBank while 10,800 of its shares were traded.  The last deal was at GHc 0.93 per share before closing at GHc 0.96 per share down GHc 0.12 per share on Tuesday's GHc1.08 per share. Offer however ended at GHc 0.98 per share  The 3 other price drops were of the GHc 0.01 per share range. Ghana Oil dropped to GHc 2.53 pee share while 200 shares were traded compared to GHc 2.54 previously. Ecobank Transnational Incorporated, likely to be one of the equities excluded from the GCI ba...

The bond market at the Nairobi Securities Exchange bounced back to reckoning on Wednesday March 27 with traded value doubling even as the equity segment shrank all round  There were 101 deals in bonds worth Ksh 5.15 bn compared to 94 deals on Tuesday worth only Ksh 2.68bn. As usual there were no deals in corporate bonds and under sell or buy back hence the rush was more for fixed income bonds with above Ksh 50m nominal value. It was indeed a rash of deals in this category with 22 bonds recorded trade and 3 of them pacing with Ksh 500m worth each  Below Ksh50m nominal value stocks were active too as 18 recorded deals with top being one for Ksh 28m. The equity segment continued to slide although at a slower pace compared to Tuesday's top decline. The All share index here closed down 1.07points to 156.30 compared to Tuesday when it shed 1.70 points. There were still bold and sharp price changes though down and up with Limuru Tea shedding Ksh 30 per share as it found and closed at Ksh ...

For the 3rd day running, on Wednesday March 27, 2019, trickles continue to be available for trading at the Nigerian Stock Exchange with the week now almost sure of being tagged the week of trickles. For example, 131.430m shares were traded on Wednesday in 2786 deals worth N1.403bn compared to 143.708m shares in 3457 deals valued at N1.682bn on  Tuesday. Whereas even the Tuesday traded volume was down on 168.721m shares in 3048 deals worth N3.721bn on Monday when GTB topped both traded volume and value with 46.974m shares and N1.762bn respectively. Hence, within the 3 days trickles were not only the order of the day compared to above 200m shares each day last week and on the average; the tap kept drying up each passing day so far this week. This time around, Zenith Bank took the centre stage leading all 3 trading indicators while closing up N0.3 or1.38% per share. It recorded 284 deals through which 27.925m shares were exchanged for N606.598m. Close on its trail volume wise was Sterling...

On Tuesday March 26, 2019 the Ghana Stock Exchange closed 4th day up as the Composite index rose by 13.45 points or 0.55% to 2360.90. On Friday, March 22, the GCI had risen to 2440.56 after an earlier increase on Thursday to 2435.94 from Wednesday's 2434.25. Then on Monday it closed at 2447.45 up 5.89 points. Thus, the Tuesday rally was the highest within the range as of the 9 price changes recorded, 5 were gains and 4 drops especially of the marginal kind. Total Ghana and Ecobank Transnational Incorporated went down just barely. Total shed GHc 0.002 per share as its 2300 shares were traded at GHc 5.09 per share. ETI too ended down GHc 0.001 per share after 2500 of its shares at GHc 0.15 per share. This was hardly a drop and the closing price was rather firm at GHc 0.16 per share. A major decline was GHc 0.01 per share by Mechanical Lloyd Company plc in which 2200 shares were exchanged at GHc 0.09 per share compared to GHc 0.1 per share previously. Offer price though reverted to th...

The Nairobi Securities Exchange changed by a faster 1.70 points to 157.33 on Tuesday March 26 2019 compared to 0.93 points decline on Monday abs 0.97 points to 160.0 on Friday. This had nothing to do with number of price changes which was 39 each day on Friday and Monday but came to only 34 on Tuesday. It had more to do with double tumble recorded in one day as Standard Chartered Bank and British American Tobacco closed down sharply.  Of the 22 price drops recorded, SCB paced with Ksh 14.25 per share tumble as 2100 of its shares were traded. From Monday's Ksh 220 per share, it hit day low of Ksh 202 before rallying to close at Ksh 205.75: per share. In the case of BAT only 200 shares were traded and from Monday's Ksh 550per share, it dipped to day high of Ksh 539 before losing more to settle at Ksh 538 per share. Other major price drops were Bamburi Cement's Ksh 1.50 per share decline and Ksh 1.15 per share shed  Sasini PLC. Actually, there was bearish outlook around banks ...

It looks like it is time for trickles at the Nigerian Stock Exchange after last week's relatively high daily traded volume. On Tuesday March 26, only 143.708m shares worth lowly N1.682m were traded in admittedly higher 3457 deals. This represents a further drop on Monday's equally lowly traded volume. On Monday, only 168.721m shares were exchanged in 3048 deals worth N3.751bn. This was lower than the 231.234m traded on Friday and indeed, compared unfavorably with above 200m shares per trading day all through last week and for a long while now. FBN Holdings led traded volume with 29.655m shares exchanged in 283 deals worth N243.267m while closing up N0.05 per share.  Access Bank remained active amidst continued investors interest as well as it followed with 266 deals for 16.340m shares valued at N106.050m while gaining N0.05 per share as well. But Zenith Bank was back at the top of number of deals with 311 deals involving just 6.332m shares worth N137.694m as it gained N0.2 per ...

For the first time in almost 4 years, the Central Bank of Nigeria, on Tuesday March 26, cut bench mark interest rate from 14% to 13.5%. This was at the end of its 266th Monetary Policy Committee meeting which started on Monday and concluded on Tuesday. The cut may not offer great relief to Nigeria's industrial sector especially but it is significant because it is the first cut since September 2015. Hitherto, the MPC had shied away from reducing the admittedly high bench mark for fear that it could stop being the magnet for needed foreign inflow even if of the short term kind. It was also weary of slow drop in the Nation's double digit inflation rate. Hence, instead of cutting the rates, the CBN resorted to different levels of intervention funds to as much as possible give preferred sectors the chance to access cheaper loans. The change of heart became necessary at last because foreign portfolio in flows in recent months have been more encouraging, Nigeria's inflation contin...

The year 2018 would have been a rather bad financial year for United Bank for Africa Plc otherwise known as UBA but for three legs on which it stood through the year. The first and major was a lucky break. In 2017, apparently UBA provided so much as required by the CBN for non performing loans especially and other doubtful assets. Come 2018, some of these performed and UBA found itself reversing into its profit and Loss statement N36.991bn over provision from loans and another N3.162bn from some assets provision. Both come to about 40% of the N106.766bn UBA reported as profit before tax at the end of December 2018. Imagine if this did not happen. The second leg was increased income from non core banking services. Gains from equity investment grew by 104.4% to N0.419bn and  Other operating income of UBA grew by 39.8% to N5.451bn in 2018. The 3rd leg was good hands on control over its overheard. Hence, Employee cost increased by only 3.17% to N71.158bn and Other operating expenses increa...

NIGERIA: UNITED BANK FOR AFRICA PLC Final dividend:     N0.65 per share. Total dividend:    N0.85      " Qualification:       2/04/2019 Reg closure:        3/4---9/4/2019 Payment:              23 /4/2019 AGM venue:     Eko Hotels & Suites V/I AGM date:            23/4/2019 NEWREST ASL PLC Dividend:         N0.20 per share Qualification:     26/04/2019 Reg closure:  29/3---3/5/2019 Payment:          16/05/2019 AGM venue:  Golden Tulip Hotel Festac AGM date:         16/05/2019 CADBURY NIGERIA PLC Dividend:       N0.25 per share Qualification:     17/05/2019 Reg closure:   20/05---24/05/2019 Payment:           19/06/2019 AGM venue:  Civic Centre, Lagos AGM date:         18/06/2019 JULIUS BERGER PLC Dividend:       N2 per share Qualification:   31/05/2019 Reg closure:   3/06--7/06/2019 Payment:        21/06/2019 AGM venue: Shehu  Yar'adua Centre, Abuja. AGM date:      20/06/2019 NASCON ALLIED INDUSTRIES PLC Dividend:       N1 per share Qualification:     30/05/2019 Reg closure...

Traded volume recovered well at the Nairobi Securities Exchange on Monday March 25, 2019 but principally on the back of number of shares in Safaricom. Most sectors were dry as 30.553m shares were traded in 1090 deals worth Ksh 865.359m as against 18.687m shares in 839 deals valued at Ksh 523.657m. Of this, Safaricom was responsible for 22.976m shares exchanged for Ksh 643m or 74.29% of total value at between Ksh 27.50 and 28.20 per share. Only the banking sector came up with any other noteworthy trade. It accounted for Ksh 205m or 23.77% of the total traded value. The sector was paced by Equity Group with Ksh 70.9m realised from 1.653m shares traded at between Ksh 42.50 and 43.50 per share followed by KCB Group in which 1.451m shares were exchanged for Ksh 64m and Cooperative Bank, down 1.29%, as 2.24m shares were exchanged for Ksh 34m. The market shrunk though as the All share index dropped by 0.93 points to 159.07 as 39 price changes occurred; 28 downwards. Indeed, going by the numbe...

At the Nigerian Stock Exchange, Dangote Cement and Nestlé Nigeria are in a class of their own in a way: One is the highest priced equity ( Nestlé) and the other has highest market capitalisation. Because the All share index of the market monitors or reflects how price discovery affects market capitalisation each day, when ever DangCem and Nestle close in the same direction, the ASI rarely has any option but to head that way. However, they rarely head in the same direction, down or up but on Monday March 25, 2019 they did and of course, the ASI went down 0.31% to 31,042.32 while the market had little appetite for price change. There were only 31 price changes compared to an average not less 40 on an active day but both DangCem and Nestlé were among the price losers  11 Plc led the price drops with N3 or 1.76% per share decline to N167 per share from Friday's N170 while witnessing 33 deals for 0.02m shares worth N10.410m. Then Nestlé followed with apparently its lowest price shift fo...

Sequel to the announcement of proposed Ksh 14 per final dividend on Friday March 22, 2019; Stands Chartered Bank's share price jumped by 8.63% or Ksh 17.25 per share. It closed the day at Ksh 217.25 per share after touching day high of Ksh 220 and low of  Ksh 202 per share. This was while recording deals for the exchange of 26,900 shares. However, in spite of the price leap, SCB is still very much far from its year high of Ksh 243 per share and low of Ksh 165. It ended up leading 17 other price gains  including Ksh 2.25 per share rise by Nation Media and Ksh 1 per share top up by Kenya Airways. Despite this though, the All share index dropped to 160.0 which represented 1.93 points or 1.22% increase on a week ago. The Friday ASI decline was the 2nd within the week following Ksh 1.22 points drop on Tuesday.  The rest of the week recorded fairly strong growth led by Monday's 2.08 points rally followed by 1.32 points more on Wednesday. There were 25 price drops on Frida...

All through the week ended Friday, March 22, 2019, it was non- stop daily offload of Access Bank shares at the Nigerian Stock Exchange following the confirmation of its merger with Diamond Bank. Apparently, some shareholders did not want to be part of the merger and they offloaded their holdings daily as a result, out of every 3 shares traded at the market within the week, 1 was that of Access Bank. In all, through the week it paced daily traded volume ending with some 416.843m of its shares exchanged out of 1,197.546m shares traded in the market within the same week. Fortunately, as they offloaded, so other investors were ready to buy as well. So much so that each day, for the first time ever, Access Bank recorded highest number of deals without fail. It ended the week with a total of 3065 deals that is, 16.8% of total 18,286 deals struck in the market within the 5 trading days. On Thursday investors interest was at peak with 744 deals sealed for top 93.47m of its shares offloaded fol...

Even for professionals tight rope walking is not an easy thing and so, watch out as Ghana Oil Company continues with some tight rope walking to the end of the current financial year. According to interim results released recently, Ghana Oil is doing balancing act and succeeding so far after years of diverting much to new assets acquisition and its attendant gestation period. In the first half under review alone, it invested GHc 169.6m in fixed assets acquisition compared to GHc 148.7m at the same time in previous financial year. This led to 26.5% rise in financial charges paid to GHc 10.3m from GHc 8.14m and drastically reduced interest received from GHc 11.8m to just GHc1.83m. Now, the thing is financial charges during the second half could grow at a faster rate if the leap in short term loan from GHc 1.76m to GHc 12.9m is anything to go by. Unfortunately, that may financial charges growing as fast as other expenses,thus adding to the pressure that  resulted in only marginal increase ...

Kenya's Unga Group may be heading for financial year end when it may be hard pressed to hold in check shareholders anger or frustration over relatively poor results. According to interim figures for the half year to December 2018 published recently, there is not to celebrate and indeed, if the trend continues in the last half, Unga may close with very thin bottom line. By the first half, the Group's profit margin had dropped to 4.84% from 6.61% recorded at the same time in previous financial year. All because at almost evert turn, things turned for the worse. The Group's total income dropped by 18.2% to Ksh 9075.1m under pressure from 18.4% decline in core revenue to Ksh 9034.2m from Ksh 11,077.7m. The slightly lower % total income drop was due to the only real good news the half year offered: Leap in Other income from Ksh 16.6m to Ksh 41.1m. From then on, it tough going all the way. Firstly, operating expenses declined by only 1.69% to Ksh 8610.4m from Ksh 10,361.1m  leadi...

After rising on a trail of a jigsaw puzzle on Tuesday March 20 2019, the Ghana Composite Index  at the Ghana Stock Exchange closed down 1.06%  amidst more possible 3 price drops and single gain. This was unlike Tuesday March 19, when 5 price drops and 1 gain led to puzzling 9.59 points rise in the GCI to 2460.73. This time, the GCI declined by resounding 25.98 points to 2434.75 although MTN Ghana was among the price losers and not the gainer it was on Tuesday. Of the 4 price drops, 3 hit new year low including MTN Ghana that slipped back to year low after hinting at a bottom to bounce from on Tuesday. Lead decline was by Standard Chartered Bank which went down GHc 0.99 per share as its 380 shares were traded while closing at last deal price of GHc 20.0 per share SCB had ended Tuesday at GHc 20.99 per share and with offer price recovering to GHc 21 per share, mismatch was inevitable. Ecobank Ghana also declined but by GHc 0.04 per share to close at last deal's GHc 7.7 per share comp...

Prices discovery at the Nairobi Securities Exchange remained bold and sharp on Wednesday March 20, 2019 but unlike for Tuesday, the All share index closed up, not down. The ASI rose by 1.33 points  to 160.29 as 15 price gains and 24 drops were recorded many relatively sharp and bold. British American Tobacco set the pace for price drops with Ksh 13 per share decline while still ex- divdend. It was folloqee by Kakuzi Ltd  with Ksh 10 per share decline to Ksh 300 per share compared to Ksh 310 on Tuesday; Bamburi Cement down Ksh 9 per share and I & M Holdings which shed 4.75 per share.  Other major price drops were Sasini ltd's Ksh 1.55 per share decline; NIC Group's Ksh 1.05 per share; and Nation Media slide by Ksh 1.pee share. On the other hand, the price gains were led by Kapchorua Tea which closed the day at Ksh 74.50 per share, up Ksh 6.50 on Tuesday's Ksh 68 per share. It was trailed by Stanbic Holdings with Ksh 5 per share gain; Ksh 3.50 per share increase by East A...

With the merger with Diamond Bank signed, sealed and delivered, Access Bank virtually took over the spotlight at the Nigerian Stock Exchange on Wednesday March 20, 2019 pacing all trade indicators. It set the pace in traded volume, traded value, number of deals and even in price gains leaving price only price drops to be led by top priced Nestle Nigeria. Rising through the day from N5.95 per share on Tuesday March 19, it touched day low of N6 per share then closed finally at N6.5 per share, up leading N0.55 or 9.24% per share. It also recorded the day's top offload and peak traded value as its 83.197m shares were traded in leading 504 deals worth N529.943m. As it turned out, Access had been warming up for this dance floor since Monday. It led the market on both traded volume and number of deals on both days and missed top slot in value and price gain. In the 3 days since the week 223.869m of its shares had been offloaded in bits that paced each day but it was on Wednesday, it added...

The Ghana Composite index closed up 9.59 points to 2460.73 on Tuesday at the Ghana Stock Exchange thus checking 5 days downwards but it came with a jigsaw. The jigsaw had to do with the fact that this was despite 4 price drops and only 1 gain which implies a market more inclined to be bearish and bullish as at then. The GCI had been sliding since Tuesday last week and was perhaps saved from going down further because the Ghana index though tries to reflect all market capitalisation trend, is computed while excluding equities quoted in other stock exchanges. In other words, that the GCI increased on Tuesday may now necessarily be due to top market capitalisation by the lone gainer but could also be due to exclusion of some with price drops. The lone price gainer was MTN Ghana listed only last year. It finally found a bottom to rebound from at GHc 0.71 per share after dropping consistently to all time low of GHc 0.7 per share from all time high of GHc 0.8 per share after being listed at ...

Price changes at the Nairobi Securities Exchange were relatively sharp and bold on Tuesday March 19 2019 resulting in 1.22 points decline in the All share index to 158.93. There were 21 price drops and 16 gains and apparently the ASI decline was driven more by the greater number of equities that closed downwards. If not, price discovery was bold and sharp upwards and downwards. The price losers were paced by British American Tobacco now ex- div with N12 per share decline to close at Ksh 546 per share after hitting a bottom of Ksh 535 and a high of Ksh 558 per share at which it had ended Monday as well. On its trail were Stanbic Holdings, down Ksh 3.50 per share, East African Breweries, also ex-div, down Ksh 3.25 per share;  and Kenya Reinsurance down Ksh 1.30 per share as Safaricom applied icing with Ksh 0.50 per share decline. Top 5 gains too was crowded and sharp led by Bamburi Cement up Ksh 11 per share as it found and closed at Ksh 139 per share compared to Ksh 128 previously. It w...

At the Nigerian Stock Exchange, Access Bank plc appears to have found the formula to access top investor interest and retain it.    On Tuesday, March 19, 2019, it once again paced traded volume and number of deals struck with 712 deals recorded for 84.673m shares worth N500.042m while closing up N0.1 per share. The shares were traded at between N6 and N5.9 per share. The previous day, Monday, it had also set the pace for both market indicators as it closed up N0.05 per share accompanied with 606 deals for 56.019m shared valued at N328.39m. Both centre stage interest for Access Bank were more or less follow up to recent formal OK given by shareholders at a court ordered meeting for the company to go ahead with mergers plans with Diamond Bank. In previous recent days shares traded and number of deals struck were more of the average kind like March 15's 263 deals for 17.573m shares worth N100.23m and March 14's 141 deals for 5.037m shares. In both volume and number of deals, on Tu...

Traded volume recovered significantly on Monday March 18 2019 at the Ghana Stock Exchange but it was  still relatively below average. In all, 51,301 shares were traded, almost twice the 38,964 shares exchanged on Friday March 15 but far below 100,000 shares which is more the average. This kind of hints that the scarcity that enveloped the market through the better part of last week was still very much around. Top trade was recorded by MTN Ghana which also closed firm at its year low of GHc 0.7 per share despite offer attempt to raise the price to GHc 0.71 per share by Friday close Some 23,800 shares of MTN Ghana were traded at GHc 0.7 per share for a total value of GHc 16,660, the 2nd highest traded value for the day. Interestingly, after the last deal, offer price rose to GHc 0.8 per share but bid stayed firm at the deal price. Enterprise Ghana recorded top traded value of GHc 45,440 as its 2nd highest volume of 20,600 shares were traded with last deal price coming to GHc ...

For caution, at the Nigerian Stock Exchange so far this year, only last Friday,March 15 2019,  could compare but even then the difference was still clear. On Monday March 18 2019, the All share index closed 0.06% down compared to 0.22% easing on Friday and both days shared in common relatively few price changes and low margins of changes as well. On Friday there were some 28 price changes, 19 down, 9 up and on Monday, the number was 31: 20 down, 11 up but Friday did  record one equity with N1 per share change, Monday had none. Part of the reason, of course was that most of the changes on both days occurred in low price equities which under present pricing parameters can only move up and down rather marginally. Top of price gainers for the first time most likely was Dangote Flour up N0.75 or 7.35% per share. It closed at N10.95 per share after a high of N11 and low of N10.2 per share with which it had closed Friday. Dangote Flour grew ahead of all while 155 deals were sealed for 6.602m ...

The late week rally in the All share index at the Nairobi Securities Exchange last week continued on Monday March 18, 2019 despite more price drops than gains  At the market, most of the discovered prices were down on Friday level but the ASI rose by 2.08 points to 160.15 thus indicating the day closed positive. But there were in fact 22 price drops compared to 13 gains and apparently the ASI ended up more because Safaricom, the market's biggest by market capitalisation closed Ksh 0.75 per share up as well and because top priced British American Tobacco tumbled again. BAT paced the price losers with Ksh 22 per share tumble to close at Ksh 558 per share after touching day high of Ksh 561 and low of Ksh 550 compared to Ksh 580 per share on Friday. Its pace downwards was followed by Kapchorua Tea in the agric sector down Ksh 7.50 per share and Nation Media in the commercial and services sector with Ksh 2.50 per share decline. Other major drops were Ksh1.50 per share by Stanbic Holding...

From the audited figures for 2018 released last week, Nigeria's Stanbic IBTC plc scored a hattrick within the year: It recorded 44.1% growth in profit before tax to N88.2 bn from just 4.67% rise in gross earnings to N222.4bn. How come?. Not far fetched. The same figures say that the bank took a basic stand on its loan portfolio within the year that led to a 88.5% drop in impairment provision to N2.94bn from 2017's N25.6bn. In view of the fact that its loans to customers increased by 16.3 to N432.7bn, such a drastic reduction in impairment provision indicate a drastic review of the portfolio, or far more performing loans. Either way, reverse the sharp decline in impairment provision, and Stanbic's strong profit before tax growth could vanish into thin air. The main reason was that the 4.67% growth in gross earnings recorded was driven mainly by 29.1% increase in trading income to N31.3bn and 52.6% jump Other income to N1.45bn amidst 6.46% drop in net interest income to 78.2b...

Of course, there is no reason to think of a can of worms in Ghana's CalBank but stretch that a little bit and you will certainly have a can of pressures in 2018 financial year. According to the audited figures released not too long ago, the only real good news the bank had in 2018 was around its core business of  financing. From this it earned 15.7% growth in interest income to GHc 773.3m in 2018 from 2017's GHc 668.1m. In addition, interest expense grew by only 10.9% to GHc 351.8m leading to a higher 20.1% increase in net interest income to GHc 421.6m. And that was about its really concrete piece of good news within the year. Even at that, because loans and advances rose by 30.7% to GHc 2422m, it could be inferred that, compared to relative interest earnings in 2017 from far lower loans and advances, the 2018 level was relatively not enough good news. But, good news it was and there was no doubt CalBank could have done with more of such in 2018 but from then on, pressures kept...

After closing up only once out of a 5 day trading week, the Ghana Stock Exchange in the week to Friday March 15 2019 closed down 22.21 points or 0.89%. The Ghana Composite Index had gained about 2 points to close at 2478.74 on Monday to herald the week but that turned out to be all week high. The next day the daily decline started and by Friday it ended at 2454.34, down 22.21 points or 0.89% on previous Friday's closing 2476.55. While the first 2 drops were principally driven by one sided price changes, on Thursday it occurred as 2 price gains and 3 drops were recorded then it was in spite of 2 gains and only one drop. The lone decline on Friday was by MTN Ghana which continued to seek a bottom. Day high 13,000 shares of MTN Ghana were traded while it closed at last deal price of GHc 0.7 per share. This was GHc 0.1 per share lower than the GHc 0.71 per share firmed on Thursday while 2000 units changed hands just like leading 22,500 of its shares on Wednesday, March 13. The struggle...

Friday March 15, 2019 was clearly a day of minor price changes at the Nigerian Stock exchange with changes too little to be recognised closing at 15 cpmpared to only 9 price gains and 19 drops. Even the noted price changes were Minot too as only 11 Plc (Mobil of yore) recording up to N1 per share change, all others were below. The lone ranger, 11 Plc found and closed at N166 per share from Thursday's N165 while recording only 5 deals for 0.014m shares valued at N2.45m. The  gain came to 0.61%. Amongst top 5 gains, it was followed by Union Bank up N0.15 or 2.16% per share in 24 deals involving 0.310m worth N2.142m. Stanbic IBTC and Oando then trailed with N0.1 per share gain each. For Stanbic this was as 56 deals were struck for 2.690m shares valued at N129.339m while Oando recorded 43 deals for 0.997m units worth N5.805m. African Prudential plc, on the other hand, led price drop with N0.25 or 6.17% per share. It closed the day at day high of N3.8 after a low of N3.76 per share comp...

Late week rally on Thursday, March 14 and Friday March 15, 2019 upturned mood at the Nairobi Securities Exchange in the week ended Friday March 15. It was particularly strong on Friday as the All share index rose by 2.63 points to close at 158.07 compared to Thursday when it grew by only 0.99 points. However, the two upward shift over turned 3 days of consistent decline earlier in the week. On Monday, to start the week, the ASI dropped by 0.79 points then by very marginal 0.17 points the next day before shedding another 0.69 points on Wednesday. In the end, the ASI ended the week up 2.96 points on previous week's closing 156.11. The Friday rally was driven by 27 price gains that overwhelmed 14 drops mostly also with higher Kenyan Shillings margins. The gains were paced by Nation Media in the commercial and services sector with Ksh 3.50 per share top up to close at Ksh 61.75 per share after hitting day high of Ksh 63.25 and low of Ksh 59 as against Ksh 58.25 per share previously. It...