By Chinyere Joel-Nwokeoma
The Nigerian Stock Exchange (NSE) on Thursday announced gross earnings of N8.30 billion and operating surplus after tax of N3.79 billion for the financial year ended Dec. 31, 2017.
The NSE made this known at the presentation of its results for the year ended Dec. 31, 2017 at its 57th Annual General Meeting (AGM) in Lagos.
The operating surplus after tax or profit after tax represents a growth of 13,712 per cent over 2016’s modest operating surplus after tax of N27.45 million, indicating the highest operating surpluses recorded in the last five years.
The results showed a total income of N8.30 billion for the Group and N3.82 billion surplus before tax for the year under review.
This represents an 86.09 per cent increase in gross earnings when compared with the N4.46 billion achieved in 2016. Surplus before tax grew by 5,629 per cent in the same period.
It will be recalled that the NSE All Share Index grew by 42.3 per cent to emerge as the third best performing stock market in the world.
The Exchange Group comprises four subsidiaries namely, Naira Properties Limited, Coral Properties Plc, NSE Consult Limited and NSE Nominees Limited.
The Exchange also has interests in NG Clearing Limited and Central Securities Clearing System (CSCS) Plc as joint venture and associate company respectively.
Mr Abimbola Ogunbanjo, President of the NSE National Council, said the year 2017 witnessed global growth, driven by improvements in global oil prices, sustained growth in investment and trade and stronger consumer confidence.
Ogunbanjo said, buoyed by improvements in the macro environment, the NSE’s management had successfully executed a number of ambitious operational and strategic initiatives.
He said demutualisation of the exchange remained a key strategic priority as a critical precursor to a more dynamic, open and efficient capital market.
“We have deployed a new four-year corporate strategy that will reposition us as a more investor friendly and customer centric exchange hub in Africa.
“With this new strategy, we are poised to deliver superior performance for our multi-faceted stakeholders especially issuers and investors who continue to access our market to raise and save capital respectively,” he said.
Mr Oscar Onyema, Chief Executive Officer of NSE, said the positive performance, affirmed the resilience of the capital market and its potential as a catalyst of economic growth in Nigeria and Africa.
According to Onyema, focus on executing NSE’s robust strategy of cost efficiency, products and revenue diversification, as well as innovative and improved operational delivery, underpins this strong performance.
He said the NSE was on track to become a more agile and flexible demutualised securities exchange, and remained hopeful that the demutualisation bill would be signed into law in 2018.
“We will continue to invest heavily in developing our services portfolio and providing innovative producs and services that are less correlated with market cycles and more importantly, global oil price,” he said. (NAN)