NGX Sanctions PZ, Presco, Others For Late Filing Of Results

The NGX Regulation Limited has sanctioned Presco Plc, eTranzact International Plc, NCR (Nigeria) Plc, African Alliance Insurance Plc, ABC Transport Plc and PZ Cussons Nigeria Plc for defaulting in filing of audited and interim accounts for years 2023 and 2024.

Every listed company is required to provide the Nigerian Exchange Limited (NGX) with timely information to enable it to efficiently perform its function of maintaining an orderly market.

This is as the domestic equities market yesterday began the week on a negative note as selloffs on Airtel Africa Plc and 17 others dragged the overall capitalisation lower by N500 billion.

For defaulting in filing of audited accounts (Audited Financial Statement for year ended December 2023) ABC Transport Plc paid N3.2 million of shareholders money as penalty.

The company filed its full year 2023 result on May 1, 2024. Also, Presco Plc which failed to file its 2023 AFS for the year ended December 31, 2023 paid N3.2 million penalty.

NGX RegCo said it applied sanctions to these companies and others following the Rules for Filing of Accounts and Treatment of Default Filing, Rulebook of NGX (Issuers’ Rules).

During the results season, early filers are companies that file their interim financial statements at least two  weeks before the due date, and audited financial statements at least four weeks before the due date.

Companies listed on NGX are required to file their quarterly accounts within 30 days after the end of the quarter in accordance with the Rules for Filing of Accounts and Treatment of Default Filing, Rulebook of NGX (Issuers’ Rules).

Presco filed the report on May 1, 2024. eTranzact International Plc did not file its 2023 AFS for the year ended December 31, 2023 until April 8, 2024. It paid N700,000 as penalty, NGX Regulation said in its May 3 X-Compliance Report.

NCR (Nigeria) Plc filed its 2023 AFS for the year ended December 31, 2023 on April 3, 2024. The company paid a penalty of N200,000.

Companies listed on NGX are required to file their financial statements in a timely fashion in accordance with the Rules for Filing of Accounts and Treatment of Default Filing, Rulebook of NGX (Issuers’ Rules).

African Alliance Insurance Plc which also submitted its 2022 AFS December on November 22, 2023 paid a penalty of N48.6 million. PZ Cussons Nigeria Plc which submitted late its 2024 second quarter (Q2) unaudited financial statement paid a penalty of N4 million.

The All-Share Index (ASI) shed 883.57 points, representing a loss of 0.89 per cent to close at 98,703.68 points. Also, market capitalisation declined by N500 billion to close at N55.823 trillion.

The decline was driven by price depreciation in large and medium capitalised stocks amongst which are; Airtel Africa, Nigerian Aviation Handling Company (NAHCO), Stanbic IBTC Holdings, Berger Paints and Nigeria and Industrial & Medical Gases Nigeria (IMG).

This week, United Capital Plc said “we expect the bearish sentiments amongst investors to persist in the local equities market given the recent developments in the fixed-income market.

“The impact of the high yields in the fixed-income market will continue to drive sell-offs as investors switch their asset classes to less risky assets. However, we expect bargain hunting activities to lurk in the shadows, owing to the tremendous opportunities presented by the recent bearish trend (particularly around the banks).”

Investor sentiment, as measured by market breadth, closed positive as 38 stocks advanced, while 18 declined. Cornerstone Insurance and Guinea Insurance emerged the highest price gainer of 10 per cent each to close at N1.98 and 33 kobo respectively, per share. NASCON Allied Industries and Oando followed with a gain of 9.94 per cent each to close at N47.00 and N9.95 respectively, while Wema Bank advanced by 9.42 per cent to close at N7.55, per share.

On the other side, Airtel Africa led others on the losers’ chart with 10 per cent to close at N1,980.00, per share. Berger Paints followed with a decline of 9.85 per cent to close at N12.40, while IMG shed 9.82 per cent to close at N12.40, per share.

International Energy Insurance went down by 9.35 per cent to close at N1.26, while International Breweries depreciated by 9.00 per cent to close at N4.35, per share.

The total volume of trade decreased 5.6 per cent to 421.728 billion units, valued at N8.954 billion, and exchanged in 10,624 deals. Transactions in the shares of Access Holdings led the activity with 98.237 million shares worth N1.761 billion. United Bank for Africa (UBA) followed with an account of 40.396 million shares valued at N1.071 billion, while Guaranty Trust Holding Company (GTCO) traded 35.906 million shares valued at N1.494 billion.

Universal Insurance traded 30.398 million shares worth N11.399 million, while Zenith Bank traded 26.904 million shares worth N982.146 million.