News in brief:
– Dangote Sugar Refinery and NASCON Allied Industries stock prices continue decline since mid-April 2024.
– Flour Mills Nigeria’s stock rose by 0.81%, continuing its recovery after a previous 20.65% increase, though still below early April 2024 levels.
The stock price of Dangote Sugar Refinery Plc. has continued its weekly decline, dropping by 4.25% over the duration of last week. It has steadly fallen since the second week of April 2024, according to data provided by the Nigerian Stock Exchange (NGX) platform.
NASCON Allied Industries Plc, another company owned by the Dangote Group, has been showing similar stock price decline over the same period. The company, which produces salt, vegetable oil, tomato paste, and seasoning products saw its price decline 8.25% this past week after recording a price drop of 17% the week before.
You’ll recall that both companies are working on a merger aimed at making them a more powerful cosumer goods producer and better able to consolidate resources to take on competitors. However, the latest news on the merger is that it was suspended by the country’s Securities and Exchange Commission (SEC), you can read more on that here.
Nascon had reported a profit after tax of ₦13.72 billion in 2023, an increase of more than 151% from the preceding year. Meanwhile, Dangote Sugar Refinery Plc reported a 20.06% revenue increase to ₦122.73bn in the first quarter of 2024, compared to the same duration in 2023.
Honewell Allied Industries and Nestle Nigeria both posted positive results at the end of last week as their stock prices appreciated by 3.43% and 3.01%, respectively. Cadbury Nigeria, BUA Foods, Northern Nigeria Flour Mills, and Union Dicon Salt all showed no changes to their stock prices over the duration under consideration.
For BUA Foods, its stock prices have remained the same for the past five weeks. The food producer had posted an impressive ₦111.5 billion profit after tax in the first quarter of 2024, an increment from 2023’s performance.
The stock price of Flour Mills Nigeria continued its recovery after seeing an increase of 0.81% on the back of 20.65% a week earlier. However, the price is still lesser than what it was at the beginning of April 2024, as it suffered consecutive declines before its recent rally.
