Beta Glass Plc’s reported revenue for Q2 2020 dipped year on year (YoY) by 41.6% from N7.32 billion to N4.27 billion. Compared with the previous quarter (Q1 2020), the company’s revenue dipped by 39.6%.
A cursory analysis of the company’s results indicates the company posted a loss after tax for the first time, according to the results on NSE from 2012, in eight (8) years, as companies continue to battle the impact of the COVID-19 pandemic disruption on businesses.
Revenues from the sales of glassware and bottles dipped in the period under review, from N7.32 billion recorded in the corresponding period of 2019 to N4.27 billion in Q2 2020. Also, Revenue from local sales plunged by 38.15% (YoY) from N6.71 billion to N4.15 billion while revenue from other countries dipped by 80.6% from N604.01 million to N117.05 million.
The Earnings Per Share (EPS) of the company declined by 107.02% in Q2 2020 from N2.85 in Q1 2020 to a negative value of N0.20. Compared with the same period last year, EPS declined by 109.2% from N2.18. The decline in distributable profit by 107.09% from N1.09 billion recorded in the second quarter of 2019 relative to a loss of N101.18 million Q2 2020 contributed to the decline of the EPS.
Beta Glass Plc’s shares were listed on the floor of the NSE on July 2nd, 1986. The shares currently trade at N55.40 per unit. The highest price for a unit of share in 52 weeks was N70 and the lowest N53.80. A total of 22,102 units was sold in the last seven days trades. Shares outstanding is 499,972,000 units and its market capitalisation is N27.69 billion.
Greif Nigeria Plc operates in the same sub-sector as Beta Glass Plc, Packaging/Containers. Greif Nigeria Plc’s share price is N9.1. Its last seven days trades dates back to January 27th, 2020, with total volume sold to date 703 units. Shares outstanding is 42,640,000 units and its market capitalisation is N388.02 million.
Beta Glass PLC is one of the oldest glass manufacturing and distribution companies in Nigeria, listed on the Nigerian Stock Exchange (NSE) in 1986 and incorporated in 1987. Beta Glass Plc is a subsidiary of Frigoglass Industries Nigeria Limited (the parent company), which holds 61.9% of the ordinary shares of the Company. The ultimate controlling party is Frigoglass S.A.I.C, Athens.
Explore the Nairametrics Research Website for Economic and Financial Data
Beta Glass Plc provides superior packaging solutions to a variety of customers operating in the soft drinks, beer, spirit, cosmetics and pharmaceutical market segments through a wide range of glass containers. COVID-19 pandemic disruption on the operations of Beta Glass Plc as well as its customers affected results negatively. In this instance, the company’s top customers are brewers and soft drink makers that have been hit hardest by the Covid-19 lockdown. Lower demand from customers ensured drop in sales. Inventories increased by 26.73% from N6.54 billion as at December 2019 to N8.31 billion in the year under review and by 21.85% compared to the previous quarter.
Most of the brewery companies recorded drop in revenue in Q2 2020. A case in point is Nigerian Breweries Plc, the pioneer brewing company in Nigeria, that recorded a 17.49% drop in revenue from N83.20 billion in Q1 2020 to N68.65 billion. It also fell by 21.01% compared to 86.91 billion recorded in the corresponding quarter of 2019.
While the company hopes to bounce back in the near future, the sector faces an uncertain future with the planned phasing out of the production of certain high concentration alcohol. The Director-General of the National Agency for Food Drugs Administration and Control (NAFDAC) indicated that plans are underway to phase out the production of alcohol in sachets, small volume glass and Poly-Ethylene Terephthalate (PET) bottles. This may likely impact the sector positively or negatively.
SET Plc recorded N14.4m post-tax loss in Q3 2020
Secure Electronic Technology Plc (SET Plc) recorded a post-tax loss of N14.4 million in Q3 2020.
Secure Electronic Technology Plc (SET Plc) recorded a post-tax loss of N14.4M in Q3 2020, triggered by a high dealer’s commission.
A cursory analysis of the Q3 2020 results of Secure Electronic Technology Plc (SET Plc) indicates that the Q3 2020 post-tax loss reduced by 33.7% from N21.7M in the same quarter last year.
- Revenue increased by 1.0%
- Prizes/winnings increased by 0.52%
- Dealers commission increased by 3.42%
- Net income decreased by 14.71%
- Administrative expenses decreased by 21.21%
- Operating loss decreased by 34.62%
- Financial charges increased by 68.23%
What you should know
- A cursory analysis of the latest results of the company reveals that revenues generated from lottery sales and gaming products increased by 1% in Q3 2020 relative to Q3 2019, despite COVID-19 pandemic disruptions that have affected revenues of most businesses worldwide.
- YoY, revenue decreased by 2.15% from N3.18B in 2019 (9-months) relative to N3.11B in 2020 (9-months) – indicating that COVID-19 might have impacted the activities of the company, when considered on a yearly basis.
- While the company was able to increase revenues by 1%, reduce its operating loss by 34.62%, and reduce its administrative expenses by 21.21%; high dealers commission and administrative expenses as well as finance charges which increased by 68.23% contributed to the post-tax loss recorded.
- Dealers commission and administrative expenses constitute a drag on the company’s profitability. Dealer’s commission was 36.12% of revenues in the period under consideration while prizes/winnings were 60.35%. Administrative expenses was 137.16% of net income in the quarter under consideration.
- The post-tax loss is an indication that there was no distributable profit. Thus, the Earnings Per Share (EPS) of the company would be a deficit; so that Q3 2020 EPS was –0.26 kobo.
The shares currently trade at N0.20 per unit. The highest price for a unit of share in 52 weeks was N0.20 and the lowest N0.20, indicating that the share price of the company has been stable. A total of 20,212 units was sold in the last seven days trades. Shares outstanding is 5.63 billion units and its market capitalization as at close of business Friday 16th October 2020 was N1.13 billion.
Interlinked Technologies Plc operates in the same sub-sector as SET Plc – Speciality. Its share price is N2.91. The highest price for a unit of share in 52 weeks was N2.91 and the lowest N2.91 – indicating that the share price of the company has been stable. A total of 141,020 units was sold in the last seven days trades. Shares outstanding is 236.7 million units and its market capitalization as at close of business Friday 16th October 2020 was N688.80 million.
Secure Electronic Technology Plc (SET Plc), formerly known as National Sports Lottery was incorporated in 2000 with an exclusive 30-year license granted by the FG to operate the National Lottery in Nigeria.
SET Plc started out as a gaming/lottery company. While online gaming remains a major part of its operations. Aside from lottery and gaming, the company now explores other business areas within the ambit of technology and data management.
Today, the company is involved in the vending of airtime, provision of card payment solutions, trivia promo syndication, provision of central database and information processing services, as well as treasury/asset management services.
Presco Plc projects N24.53 billion turnover in Q4 2020
Presco’s forecast is coming amid the negative economic impacts of the coronavirus pandemic.
Presco Plc has projected an 82.03% rise in Profit after Tax to N6.99 billion in Q4 2020, up from N3.84 billion in Q4 2019. Also, its projected turnover of N24.53 billion indicates a 24.39% increase when compared to the N19.72 billion made in Q4 2019.
The Earnings Forecast sent to the Nigerian Stock Exchange (NSE) today, estimated the Gross Profit to be N14.18 billion and the Profit before Tax to be N9.13 billion.
This forecast is coming amid the negative economic impacts of the coronavirus pandemic. It is generally expected that the firm should have downgraded their earnings and profitability forecasts, but renewed optimism based on the reopening of the economy and growing demands for consumer goods have been factors that influenced the projections.
Presco Plc had earlier held its Annual General Meeting, with the unaudited accounts for the tQ3 2020 ended September 30, 2020, were deliberated upon among other resolutions.
What you should know
Presco Plc is a fully-integrated agro-industrial establishment with oil palm plantations, palm oil mill, palm kernel crushing plant, and vegetable oil refining plant. They produce specialty oil and fats.
Regency Alliance Insurance Plc forecast N730.72 million profit for Q4 2020
Regency Alliance Insurance Plc released its earnings forecast for Q4 2020, with a projected profit after tax of N730.72 million.
Regency Alliance Insurance Plc, a major player in Nigeria’s insurance industry has released its earnings forecast for Q4 2020 to the Nigerian Stock Exchange (NSE), with a profit after tax of N730.72 million.
While awaiting its Q3 2020 financials, the projected profit after tax figures is up by 32.75%, from N550.46 million recorded in Q2 2020 to a projected figure of N730.72 million for the last quarter of the year.
Other key projected financial metrics which recorded an increase are:
- Profit before tax recorded a 28.3% increase from N670.11 million recorded in Q2 2020 to a projected sum of N859.67 million.
- Taxation grew by 7.8% from N119.65million recorded in Q2 2020 to a projected sum of N128.95 million
Other key figures in the forecast for Q4 2020 include; the projected sums of N4.28 billion for Gross premium earned, N2.82 billion for Net premium, N855.9 million for Net claims incurred, N928.65 million for Underwriting/Management Expenses, and N487.3 million for Net cash generated from operating activities.
Regency Alliance Insurance Plc had earlier announced 28th October 2020, as the date for its board meeting, to consider its Q3 2020 financials for the period ended 30th September 2020. In lieu of this, its closed period will be from October 13, 2020.
On this basis, the projected key financial metrics were compared with the last reported financials in Q2 2020.
What this means
The increase in projected Q4 2020 might be connected to the drive to meet up with recapitalization requirements for insurance firms in Nigeria. Recall that Nairametrics had earlier reported on how the aforementioned firm had planned to raise more capital through various strategic means including issuing a N10 billion additional ordinary shares at N0.50K each.
Theoretically, the projected increase in profit is realizable when a number of factors such as optimization of underwriting skills, lower claims ratio, higher gross premium, and efficient optimization of technology, amongst others are satisfied.
What you should know
Regency Alliance Insurance Plc is an insurance company in Nigeria with its headquarters in Lagos. It is licensed to cover all classes of non-life insurance. The company also has business interests in property investments in the form of real estate development and leasing, finance leasing, retail and microfinance banking, and vehicle tracking and fleet management services.