Oando hits 52-week high as plan to file overdue earnings reports sparks rally

Oando Plc was one of the stocks that bucked the negative trend on the Nigerian Stock Exchange (NGX) last week with a 13.3% positive price move. Demand for the company’s shares surged last week after the company announced plans to release its overdue financial statements,

Trading data from the local stock exchange showed that the positive price movement lifted the company’s market value to N211.334 billion, spread over 12.431 billion shares traded.

Some stock market analysts also attributed the rise in demand for Ticker: OANDO to its recent market performance and earnings expectations this year amidst stability in the global commodity market.

The oil and gas sector is expected to have a positive impact on investor metrics, including return on equity, earnings per share and expectations that the board of directors will plan to pay high dividends.

The company’s trading data shows that the oil and gas company’s share price rose from N15 at the beginning of last week to N17 on Friday, according to local stock exchange data.

At the current market price, Oando Plc is trading at a discount of about 0.3% to its 52-week high. In the last 12 months, the share price peaked at N17.05 on the local bourse.

The jointly listed company on the Johannesburg Stock Exchange (JSE) and the Nigerian Stock Exchange is expected to post healthy profits after participating in a $3.3 billion oil-backed loan syndication closed by Africa Import-Export Bank with the Nigerian National Petroleum Corporation Limited.

Analysts are basing their positive outlook on the rally in the oil market, which has pushed Brent crude above $87 a barrel. Oando Plc is a commodity stock whose fortunes are tied to the international price of oil.

On May 31, 2024, the company published its results for the 12 months to December 31, 2023, recording a 71 percent increase in turnover and a net profit of 74.4 billion naira.

The details showed the company’s debt had fallen by 23% to $488.9 million. The board recently announced that the suspension of trading in the shares on the JSE had been lifted.

Financial Reporting Publication Plan

In a statement, Oando PLC informed the Nigerian Stock Exchange that it will not be able to meet the expected July 31, 2024 deadline for the publication of its previously announced 2023 audited financial report.

The statement signed by Ayotola Jagun, company secretary, stated that following the publication of the audited financial statements for FY2022 in April 2024 and the unaudited financial statements for Q1-Q4 2023 in May 2024, the audit of the financial statements for FY2023 was commenced immediately in May 2024.

“We have committed to finalize the said audit by August 31, 2024. Thereafter, the audited financial statement for 2023 will be presented to the Council for approval and forwarded to the Financial Reporting Council of Nigeria for regulatory approval before its public release,” Jagun said.

Pursuant to the extension requested and granted by NGX, the Company expects to publish its audited financial statements for 2023 and management reports for Q1 and Q2 2024 by Monday, September 30, 2024, thereby updating all of its outstanding financial reporting obligations. #Oando hits 52-week high as plan to file overdue earnings reports sparks rally

Top Performer Veritas Kapital Hits 52-Week High