Macroeconomic Update- Inflation

A Continuous Rise in Headline Inflation The April 2020 Consumer Price Index (CPI) report released by the NBS shows that Nigeria’s inflation rate increased by 8bps to 12.34% from 12.26% recorded in March. This is the eighth consecutive month of increase since August 2019 (11.02%) and the highest level since April 2018 (12.48%). The increase […]

Q1 2020 Earnings Update- NB

Q1 2020 Earnings Update- NB Growth in Input Cost without Growth in Profit Nigerian Breweries Plc (NB) Q1’20 Results- NB recorded a Profit After TAX (PAT) of N5.51 billion, representing significant decline of 31.38% when compared with N8.03 billion recorded in Q1’19. This was majorly due to 14% increase in marketing and distribution expenses as […]

Is Another Adjustment to the Naira on the Way?

Is Another Adjustment to the Naira on the Way? Recall our 10th March, 2020 report on “Crude Oil and the Naira” where we explained the economic realities of present and how it is related to the situation in 2016. About two weeks after publishing the post, the CBN devalued the currency by 15% even though […]

Q1 2020 Earnings Update- Zenith Bank Plc

Q1 2020 Earnings Update- Zenith Bank Plc Growth Accelerated to 5.5% QoQ as Bank Affirms Market Leadership Zenith Bank Plc (ZENITHBANK) Q1’20 Results– ZENITHBANK recorded a Profit After TAX (PAT) of N50.53 billion, representing marginal growth of 0.60% when compared with N50.23 billion recorded in Q1’19. This was increase in Treasury bill trading income as […]

Q1 Earnings Update- Seplat Petroleum Development Company Plc

Q1 Earnings Update- Seplat Petroleum Development Company Plc Provision for Impairment Weakens Bottom Line Seplat Petroleum Development Company Plc (SEPLAT) Unaudited Q1’20 Results- SEPLAT recorded a loss before tax adjustments of US$95.7 million, representing 593.3% decline when compared with PBT of US$19.4 million recorded in Q1’19. Q1’20 Financial Review • Revenue, Production and Commodity Prices […]

economy, Nigerian economy, market report, market update

WEEKLY MARKET UPDATE

  Commodities There was mixed sentiment in the commodities market last week with the oil commodities gaining the most as WTI bounced back from its negative price on April 20. Brent grew significantly by 21.17% to close the week at $26.44/barrel while WTI grew by 16.23% to close at $19.69/barrel. Gold and Silver declined marginally […]

Oil Price Crash will be Reflected in FAAC Starting from June 2020

Oil Price Crash will be Reflected in FAAC Starting from June 2020 The global pandemic as well as the price war between Saudi Arabia and Russia has led to the oil price crashing to as much as $18/barrel in recent weeks. Also, one will note that with the oil crash starting in March, the price […]

Does Oil Price Reduction Translate to Subsidy Removal?

Does Oil Price Reduction Translate to Subsidy Removal?

Does Oil Price Reduction Translate to Subsidy Removal? On Wednesday 18th March 2020, the Nigerian government through the PPPRA announced petroleum (PMS) price reduction to N125 from N145. This translates to c.14% price reduction owing to the decline in the price of crude oil (-59.56% YTD as at March 18 2020) no thanks to drop […]

Crude Oil and the Naira

Crude Oil and the Naira As a result of the coronavirus biting harder in countries, thereby leading to low demand in crude oil relative to the supply, global oil demand growth is expected to be 0.48 mb/d from 1.1 mb/d in December 2019. This necessitated OPEC’s meeting to cut daily oil production by 1 mb/d […]