DrAkpamudehe:


So what is the difference between #2.30 and #2.70 ? In accounting and public finance, little financial errors are permissible.

He was just making unnecessary fuss in a casual discuss. Where we even always say from time to time do your DI as most of the write up's here are pointers written in one go and not double or triple checked to weed out errors . Pointers for the discerning investor.

Perhaps fat cat investors are taking position in bonds to balance their portfolios. Yesterday's bond auction was at 20% for the 10 year bond. And this ten year bond gathered N462b of the total N627b auctioned. As investors locked in for the longest duration auctioned.

222Martins:


So you mean if i buy UBA today, i will get paid N2.70 dividend by 24th of May? Just dey play!!! I don't know if you guys just like to deliberately misinform people. The dividend to be paid to anyone that enters UBA today is N2.30, that is 10% on an entry price of N23; as against the N2.70 you all are trumpeting.

it's N2.30 not N2.70

DrAkpamudehe:


That is 11.25% profit at the current price if U buy now to get paid by the 14th of may

All those that buy till the 10th of May will get paid N2.30 on the 24th of May.

Adinije:
Everywhere Red

Even Oando this time around is no more rallying in anticipation - that the court case may be favorable to ordinary shareholders tomorrow. Gloomy market today

DrAkpamudehe:

UBA @ 24#. Enter now, you may never get it this cheap again this quarter

Don't understand this market. The current price carries a dividend of N2.30 that will be paid in a months time.

2zona:


God abeg oo, world war III has been trending since yesterday oo, Iran, Israel and co. Hope they will spare our fragile market_?

Amen

Mpeace:
You go dey believe politicians, Dey play.

But sha I pray the economy recovers. I pray.

I just join in prophesying and praying. Many of us want to see the market rising for the rest of the year and coming years sef.
It will be excellent to see the banks and NGX listed companies continue to grow and the $1T economy achieved.

BabsO2:

I think the capital raise is indeed to support the $1T economy.
Long term investors need to watch the GDP growth of the economy. The kind of growth that occurs will suggest the likely growth in bank incomes. Most likely the quarterly reports of the banks will be released before GDP data. If both align in a growth direction it means the recapitalization of the banks is delivering results. The rate of growth at individual bank level as well as group level will suggest the quality of the growth the banks & government is achieving. Poor growth signals trouble in the horizon.

Economy will roar back in coming months - Tinubu

Kwibaba:


I also do not agree that it is common sense that those are the only 2 objectives of the recapitalization. What happened to the plan of 1 trillion economy of the govt? How do they achieve that by staching money away?

I think the capital raise is indeed to support the $1T economy.
Long term investors need to watch the GDP growth of the economy. The kind of growth that occurs will suggest the likely growth in bank incomes. Most likely the quarterly reports of the banks will be released before GDP data. If both align in a growth direction it means the recapitalization of the banks is delivering results. The rate of growth at individual bank level as well as group level will suggest the quality of the growth the banks & government is achieving. Poor growth signals trouble in the horizon.

chipa:

The banks are not superman but know that a lot of financial dynamic has occurred in the economy since after the the 31th Dec 2023 and the banks are going to utilize those opportunities to maintain the status. I will like to list some as
(1) The interest rate on loan has increased to upto 600 to 1000 points and still counting.
(2) The rate on Treasury bill has increased to upto 600 points.
(3) The increased in retained earnings has been deployed for service.
(4) The 1st quarter revaluation will be done at N1300 as of 31/03/2024. Which appears to be as the same rate of increase in half Year audited results of 2023 or slightly lower.
I will advise you to wait and see the earnings that will be coming from the banks in 1st quarter financial report.

The revaluations are not done at current market rates like that. But at very conservative rates less than N800.
One can use ETI reports which are published both in NGN and USD to estimate what rates are being used by the banks to compute their translations.

chillykelly86:


You may need to shed light on this. If possible, direct us to the page on the Annual report.

However, I think tier 1 capital is simply tier 1 capital. The question to ask is: do the other banks you said are not doing so have USD tier 1 capital? What USD tier 1 capital will result in is a fluctuation in equity( closely following fluctuations in exchange rates, to the extent/ratio of the USD tier 1 capital to total equity), not miscalculation. It's equity that will never be paid back, isn't it?

Look at page 57 the line item for Additional Tier 1 Capital
Look at page 204 note c(ii)

The AFS has no misstatement.

But the computation of BVPS of N70 is a misstatement. As that is not net assets a common NGX shareholder is entitled to.

chillykelly86:


The bolded is confusing. Between 2022 and 2023, due to the devaluation of naira, any dollar holdings will result in improved valuations in accounts stated in naira. You may need to revisit those sentences so we can get your opinion clearly.

Look at the Consolidated statement of Financial Position and the note 38 of the AFS. You should be able to spot it. Seems I cannot paste an attached picture at the moment.

One need to understand the make up of Total Equity for banks
1. Common Shareholders
2. Additional Tier 1 Capital,

In FUGAZ additional tier 1 is zero for all of them except for Access.

unite4real:


i do not think the electricity subsidy removal will increase the income of the DISCOS. they had been over invoicing the govt on the subsidy. Now that customers on band A have to shoulder the responsibilities, they will be more prudent in energy utilizations

It will surely rub on the discos as i doubt govt paying any so called subsidy to them promptly. Now they collect their money sharp sharp. Now before any fault or outage occurs na them they run to quickly fix it unlike before - that tells me they are motivated to deliver and surely benefitting better than before.

chillykelly86:


FBNH's audited results is not yet out. But UBA has been added.

Image credits to @rufyb on X.

The book value of ACCESS is overstated as the tier 1 capital taken in USD was stated in 2022 and 2023 AFS under equity in NGN without factoring in devaluation. Because of this understatement and its use of USD tier 1 capital added to equity, which other banks are currently not doing, some of the metrics calculated for the bank can be wrong when computing investment ratios for common shareholders. The Tier 1 Cap has been very useful for its fast expansion program.

robobo:


"I think he needed the drama to tidy the results up" == in hindisght (20/20), this is looking more like the intention.

( i am seeing/dreaming something like the AP / Otedola saga from sub 10 to over 300)

That will be a lovely thing if it happens
But make him stay up like SEPLAT and not fall back like AP
Make him embrace quarterly dividends like global oil companies that SEPLAT has emulated.

thebargainhunte:


If he wanted, he would have done it long time ago the way Ardova did. I think he needed the drama to tidy the results up. You might not be far from the truth, he wanted to turn a new leave now. Oando remains a stock to watch, but one has to know dinning with Oando is like dinning with the ....

Looking more and more like he needed the drama to tidy things up and come out bragging of the turnaround he has led. Could see the bragging already started in the November 2023 AGM The air around him in that AGM suggests he would love the good limelight and not a boring delisted operation. Though he can still achieve limelight by SM even if he delists - dinning with the ......

thebargainhunte:


I doubt oando will be delisted

I bet it will not be delisted.
Rather it will start paying dividends by next year latest. Will not be surprised if we even get a dividend this year.

OANDO

sky2891:

Since the AFS has been approved by the Board and sent to FRC, are we sure some people have not seen it?

Locotrader:

When the bids gets to 50m or above, know something good is about to happen but for now..........

Already on full bid with max daily gain. No offers on the floor for sale at the moment. That's how optimisim springs up once court date is nearing. Time for this case to be struck out joor.

ositadima1:


Let me guess, you are well-invested in UBA. When did 26 billion become a small amount? LOL

You even reduce the gap further. Thanks
N260b difference
That's 22% of Zeniths number. Not small

unite4real:


These are sentimental analysis. What about their incomes and when you factor their costs out from their incomes. We are talking about profit here. Would you choose to have less employee and post less profit than to have higher employees and post superior profits. What you should consider is what you see at the bottom line
What is the earning reports of both banks. Their EPS should be important to you as a shareholder

Look at the original question. The answer was address it.

I think you are imaging/answering additional questions, which is fine.
Ask your questions

There are various investment ratios and considerations an FA investor will calculate and ponder on.

KarlTom:
You just echoed my thoughts.

I've spent a couple of hours perusing the AFS of both Coys and the more I look, the less I seem to understand.

Some differing metrics:
Net interest income GTHC 436.6bn Zenith 736.1bn
PAT GTHC 539.6bn Zenith 676.9bn

Can anyone she'd come light on this?

Thank you

Zenith has more expenses than GT. Zenith reported 8,165 employees, while GT reported 5,487 employees.
Perhaps due to more branch network.

leparj:


I see First Bank here.
Is their result also out.

First Bank Full year Audited is not out. But the Full year unaudited was released in January.

Ibrahim505:
Retained earnings of Tier 1 banks in 🇳🇬 based on latest filings
Zenith N1.8 trillion
UBA N918.8 billion
Access N715 billion
First Bank N609 billion
GT N580 billion
© Olamide Adesina

You are overstating Zenith retained earnings. Zenith is not double of UBA, but above by a small amount.
The correct Numbers are
Zenith N 1.18 Trillion
UBA N 0.92 Trillion
Access N 0.72 Trillion
First Bank N 0.68 Trillion *** Unaudited Full Year numbers
GT N 0.58 Trillion

thebargainhunte:
FUGAZ dividend yields:

UBA-9.1%
Zenith-8.4%
Access-8%
GTB-5.9%
FBHN-
Uncle Tony really tried for dividend hunters. I think it is a great milestone for them to overtake the like of Zenith and GTB in terms of dividend yield.

Uncle Tony is indeed doing very well. He should please ensure the dividends stay up and never fall. Come September he should pay not less than 50kobo interim. Only Zenith currently exceeds UBA book value per share. That is so good.
For those who averaged down well on UBA they will start earning 100% what they invested in UBA as dividend every year.

OANDO

The 2022 Audited Financial Statements of Oando PLC have now been finalized and approved by the Board on Monday, 8th of April 2024 and will be sent to the Financial Reporting Council of Nigeria immediately for regulatory approval, prior to their release to the market. The interim results for 2023 will also be released to the market soon after the 2022 Accounts are published.

Having approved the 2022 Audited Financial Statements, the audit of the 2023 AFS has now commenced, and the Company is committed to ensuring that the 2023 AFS is published on or before July 31, 2024.

https://doclib.ngxgroup.com/Financial_NewsDocs/40881_OANDO_PLC-OANDO_PLC__CORPORATE_ACTIONS_APRIL_2024.pdf

BabsO2:


Air conditioning drains power off disproportionately. The bigger the space the bigger the energy wasted consumed. One 1.5 HP a/c consumes about 1 to 1.3 KwH of energy every hour it runs depending on the quality (efficiency) of the a/c compressor. A standard 3 bed flat with refrigerator only consumes about 3KwH a day. What one 1.5 HP a/c will consume in 3 hrs.

Nigeria needs rapid growth in electricity generation especially as global warming increases ambient temperatures, which in turn leads to increased demand for AC use.

This hike should be good news for Geregu, TransPower & Transcorp as they procure and put on line more gas turbines for power generation.

Combining the use of fan and A/C can increase comfort without the need of more cooling (<26^o C) that wastes consumes a lot of energy. Gencos should encourage consumers to do this to reduce their electricity bills and in the process allow the limited energy generated by GenCos to serve more consumers.

KarlTom:
BREAKING

NERC Approves N225/KwH Tariff Hike For Electricity Consumers

Only 15% of consumers affected

Accordingly, power distribution companies (DisCos) will be allowed to raise electricity prices to N225 ($0.15) per kilowatt-hour from N68 for urban consumers this month effectively from April 1, 2024.

Oseni also revealed that these customers, who represent 15 per cent of the population, also consume 40 per cent of the nation’s electricity.

Details Later…

Source:
leadership.ng

Air conditioning drains power off disproportionately. The bigger the space the bigger the energy wasted consumed. One 1.5 HP a/c consumes about 1 to 1.3 KwH of energy every hour it runs depending on the quality (efficiency) of the a/c compressor. A standard 3 bed flat with refrigerator only consumes about 3KwH a day. What one 1.5 HP a/c will consume in 3 hrs.

Nigeria needs rapid growth in electricity generation especially as global warming increases ambient temperatures, which in turn leads to increased demand for AC use.

This hike should be good news for Geregu, TransPower & Transcorp as they procure and put on line more gas turbines for power generation.

ogoo4real:


What is going to be the resultant effect of this 10k in the market today
Massive dumping going on in Transcorp as a result of 10kobo dividend.

I guess a pull back here and there. Overall a flat market in the short term as a lot of profit takers have already struck.
And a gentle rise in the medium term if the Q1 and Q2 numbers suggest growth is on course.

yMcy56:

TRANSCORP at a glance...

https://doclib.ngxgroup.com/Financial_NewsDocs/40805_TRANSNATIONAL_CORPORATION_PLC-_QUARTER_5_-_FINANCIAL_STATEMENT_FOR_2023_FINANCIAL_STATEMENTS_APRIL_2024.pdf

** Needs to know if this group revenue is exclusive of TRANSPOWER's! If it's so, then, future is very bright for Transcorp from my opinion*

** Current shareholding structure attached**
Share mop up by Corporate investors noticed in 2023 FYE..... around 30bn! 🧐

Waooo. The picture showed madam (Mrs Elulmelu) mopped up Transcorp shares heavily last year from profit takers . Can recall one or two NGX notifications announcing her mopping up at +/- N3
The mop up (5%) is very heavy !!!!!!!

emmanuelewumi:
Transcorp to pay dividend of 10k per share from EPS of 40k

Looks like a 25% payout ratio is forming in a dividend growth manner. They may pay less in exceptional years like 2021 where EPS was 34 kobo but dividend paid was 2 kobo. And may still pay dividends in bad years like 2020 when a loss was recorded but 1 kobo dividend was still paid. If they can continue with this dividend growth model of 25% payout ratio of sustainable profits without ever cutting back on dividends that will be excellent.

sky2891:

It seems you have given up on Oando

No be dey play him dey play all along Wetin change