Matthew Otoijagha
It was a celebration of excellence for companies that emerged tops in various categories on the Nigerian Stock Exchange (NSE) at the weekend in Lagos.
The event, the maiden CAMCAN Nigeria Capital Market Performance Awards 2018 to reward resilience based on performance of companies listed on the NSE for the year ended December 31, 2017, with members of the Dangote Group showing class across various sectors.
The United Bank for Africa Plc. was recognized for living true to its name by taking and hoisting the Nigerian flag in 20 countries across the African continent, thereby diversifying its earnings and profit base, among others. The bank was represented by Ugo Nwagodoh, Group Chief Finance Officer and Abiola Razak and the Head, Investors’ Relation.
Besides honouring all past Presidents of CAMCAN, including Gbenga Agbana, whose wife received his posthumous award; the organizers also honoured past Directors-General of the Securities & Exchange Commission (SEC), Dr. Suleyman Ndanusa and Musa Al-Faki; as well as Apostle Hayford Ikponmwosa Alile, former DG of the NSE; as well as his successor, Prof (Mrs.) Ndi Okereke-Onyiuke.
Receiving the awards, Ndanusa, who was represented by and Mrs. Okekeke-Onyiuke appreciated CAMCAN for the recognition and for remembering to honour those who served the Nigerian capital market meritoriously, contributing to making it what it has become today.
Also acknowledged at the event were the NSE and FMDQ OTC Securities Exchange for their contribution to the development of the Nigerian Capital Market.
In the individual awards category, CAMCAN acknowledged the contributions of Mr. Tony Elumelu, chairman of Heirs Holdings Limited, a major investor in UBA Plc; Transnational Corporation of Nigeria (Transcorp); United Capital Plc. and African Prudential, all listed on the NSE. His price was received at the occasion by Mr. Valentine Ozigbo, MD/CEO of Transcorp Hotels Plc; and Mrs. Owen Omogiafo, Executive Director at Transcorp Plc.
The star of the night was Dangote Cement Plc. the biggest company (by market capitalization), as it showed class, emerging the NSE’s most profitable with net profit of N204.25bn.
For the overall profitable company prize, Dangote Cement beat Zenith Bank Plc. which had emerged best in its sector with its N177.61bn, and Guaranty Trust Bank which was second in its sector after reported N170.67bn profit.
Dangote Cement also showed that it was not just about being biggest or most profitable, it emerged most efficient stock in its sector with 25.35% Net Profit Margin (measured by how much of each Naira of revenue is converted to net profit by dividing net profit by turnover and multiplying it by 100).
It however came behind Seplat Petroleum Development Company, which clinched the prize with NPM of 58.66%, after winning in the oil and gas sector. Diamond Bank won the award for the stock with best Price/Book Value both in its sector and the entire market; while Total Nigeria was best in Return on Investment for market-wide; while MRS Oil won in the Earnings Yield category.
In the consumer goods sector, Dangote Sugar Refinery, another member of the Dangote Group emerged most profitable with N39.78bn; followed by Nestle Nigeria’s N33.72bn. Nestle Nigeria however won the prize for best RoI in its consumer goods sector, as well as the entire market for the period.
In the insurance sector, the prizes were a straight battle between Custodian & Allied and NEM, which clinched two awards each, leaving AIICO which just one. Custodian was most profitable with N7.31bn, followed by NEM; which emerged most efficient at 20.7%; as well as the best RoI of 28.5%; leaving Custodian with best Earnings Yield; while AIICO followed, and then emerged with best P/BV.
In the banking sector, Ecobank Transnational Incorporated was rated first with total assets of N6.86tr; ahead of Zenith Bank’s N5.59tr; and FBN Holdings, N5.24tr; while GTBank emerged most efficient stock with 40.66% NPM; followed by Zenith Bank’s 23.83%; and Stanbic IBTC, 22.77%.
GTBank again came tops in RoI; trailed by Stanbic IBTC. The prize for best Earnings Yield went to Fidelity Bank, which posted 25.23%; trailed by ETI with 20.24%; and FCMB, 19.97%. Diamond Bank recorded the best P/BV of 0.21; ahead of FCMB’s 0.25 and Fidelity, 0.37; while Wema Bank emerged best with NPL ratio of 3.89%; ahead of Zenith Bank’s 4.7%; ahead of Access Bank’s 4.96%.
In the oil and gas sector also, MRS Oil emerged best in Earnings Yield and P/B Value; with Sir Sunny Nwosu, a director and shareholder activist receiving both awards on behalf of the company.
In a keynote speech on behalf of Ms. Mary Uduk, Director-General of the SEC, Henry Roland Adekunle, Acting Commissioner, Corporate Services, at the commission, noted the relationship between excellent performance company performance and imbibing good corporate governance.