March Year-End Reporting Season Kicks-off With Int’l Brewery’s Mixed Earnings

The expected earnings release date for companies quoted on the Nigerian Stock Exchange (NSE) has been estimated by Investdata based on their historical report dates. As the market has entered the mid-month of the deadline for submitting audited financials for companies with March 31, 2017 year-end, it is expected that more earnings reports will hit the market going forward in this month of June, July and August.
Considering the increasing numbers of companies paying interim dividend, this expectation is likely to add more momentum to the market for Q2 earnings season as investors look forward to cash or scrip dividends from full-year and half-year accounts of companies. This however depends on the strength of the earnings reported.
The earliest filer of March year-end account, International Brewery, released its 2017 full-year earnings report to the market on Friday and the numbers posted were mixed with sales revenue for the period growing by40.58% to N32.77bn, while profit fell by 61.01% to N1.03bn.
As we know, most of the companies that have March year-end are manufacturing companies; members of the investing public should not expect surprises as such but mild performance and disappointment. This is because the peak production period of these companies’ financial year was also the height of Nigeria’s recession and weak business environment which is expected to reflect on their performance. Worthy of note is the FX propelled components of these company’s costs, as well as losses in the last quarter of their financial year when CBN forex policy and intervention brought relative relief to industry.
Research shows that an increasing number of companies with their shares listed on the Nigerian Stock Exchange (NSE) are complying with their post-listing requirements to boost investing community confidence and at the same time help them to plan their investment or trading by forecasting the future to appropriately price the stocks in future.
Below are tables with the expected release date, last year’s dividend, EPS and the current (Q3) EPS to guide you accordingly.

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