On the top 10 performing stocks last week were the shares of R.T Briscoe Plc, Neimeth International Pharmaceuticals Plc, NPF Microfinance Bank Plc, P.Z Cussons Plc, Portland Paints and Products Plc, and A.G Leventis Plc.

File photo: The floor of Stock exchange

Others were Flour Mills of Nigeria Plc, Oando Plc, Wapic Insurance Plc and Associated Bus Company, ABC Plc.

R.T Briscoe, dealers in heavy machinery, and Toyota range of vehicles, led the pack with 20.24 percent or N1.01 price increase, closing at N1.01 from N0.84 at the beginning of the week. Following unimpressive financial performance of the company that resulted in losses for the group in 2013 financial year, the company took steps to raise N10 billion from the capital market last year in order to enhance its performance.

The company had indicated through its Managing Director, Mr. Oluseyi Onajide, that despite improved management of working capital and judicious use of resources, R.T Briscoe had continued to be heavily unde-rcapitalised and operated mostly on borrowed funds and hence the need for additional capital injection. The company during 2013 financial year accumulated total borrowings of N10.2 billion, which was up 14 per cent from N8.9 billion in 2012, while its finance costs increased from N1.3 billion to N1.5 billion, leading to interest expenses of 64 per cent of value added by the company in 2013.

Also, the available financial statement of the company for the first and second quarter showed increased losses despite the fund raising. The financial statements showed that first quarter earnings dropped, while the half-year result was in loss position. Analysis of the second quarter result for the period ended June 30, 2014, showed N77.436 million loss as against N27.379 million profit in 2013. Negative earnings per share stood at 7 kobo as against 2 kobo in 2013. The 2014 half-year revenue declined to N10.065 billion, which is below N10.591 billion recorded in 2013.

Neimeth Pharmaceutical followed as the second most attractive stock for the week, rising by 18.95 percent or N0.18 to close at N1.13 from N0.95. The company recently commenced construction of a N5 billion Pharma Complex in Anambra State. The company’s full year financial result for 2014 was below expectation as it recorded loss before tax (LBT) of N198 million, loss after tax (LAT) of N228.5 million and eight percent decline in shareholders’ fund.

According to the company, production difficulties arising from replacement of obsolete/ non-GMP(Good Manufacturing Practice) compliant machines jointly contributed to the bad financial position in 2014. The company is, however, optimistic that it will return to profitability following investments it made in 2014. For instance, during the year under review, it upgraded its manufacturing plant to meet World Health Organisation specification, a development that could increase its visibility and position it for international contracts. The company said it is poised to launch a new product every quarter for the next 10 quarters

NPF Microfinance Bank came third with 18.80 percent or N0.22 appreciation, closing at N1.39 from N1.17 at the begining of the week. Investors’ interest in the Police bank seems to be increasing following an impressive 2014 full year financial performance just released to the investing public. The result showed that earnings per share, EPS, rose by 28 percent to 23 kobo per share.

This was also followed with a 15 kobo dividend yield which has set the pace for the current rally being experienced on the shares. It recorded 28 percent growth in profit after tax to N478 milllion, while a gross dividend of N342million, translating to 15 kobo per 50 kobo ordinary shares is being proposed by the Board for investors’ approval at the next AGM.

Portland Paints advanced by 15.67 percent or N0.51 to close at N3.84 from N3.33; A.G Leventis appreciated by 9.15 percent or N0.13 to close at N1.55 from N1.42; Flour Mills went up by 8.79 percent or N2.99 to close at N36.99 from N34.00; Oando was the next with 7.93 percent or N1.44 price increase, closing at N19.60 from the initial N18.16 it opened at; Wapic Insurance rose by 7.84 percent or N0.04 to close at N0.55 from N0.51, while ABC advanced by 7.41 percent or N0.04 to close at n0.58 from N0.54 per share.