Some MSE-listed firms see good tidings in H1
Some Malawi Stock Exchange (MSE)-listed firms are poised for a good start in the first half (H1) of this year, with eight out of 10 firms projecting profits jumps.
In compliance with the listing requirements of the 16-counter MSE, a listed company is required to publish a trading statement as soon as it emerges that there is reasonable degree of certainty that the financial statements will differ by at least 20 percent from the previous corresponding period.
Published trading statements for the period ending June 2024 from Sunbird Tourism plc, NBS Bank plc, TNM plc, Nico Holdings plc, Icon Properties plc, Press Corporation plc, Standard Bank plc and FDH Bank plc all indicate that the firms project higher profits in the first half.
Sunbird Tourism plc is expected to register a profit after-tax of between K4.6 billion and K4.9 billion, representing an increase of between 190 percent and 210 percent.
NBS Bank plc expects a profit jump of between 149 percent and 166 percent to the ranges of K30.4 billion and K32.5 billion.
Standard Bank plc, on the other hand, also expects a profit jump of between 45 percent and 60 percent to between K39 billion and K43.1 billion.
FDH Bank plc also expects good tidings, with its profit after tax expected to be between 69.8 percent and 89.8 percent to between K25.5 billion and K28.5 billion.
In the telecommunications sector, TNM plc expects its profit after-tax to be between K1.841 billion and K1.999 billion, a jump of between 136 percent and 156 percent.
On the other hand, Nico Holding plc expects a profit jump of between 43 percent and 54 percent to the ranges of K44 billion and K47.5 billion while Icon Properties plc expects its profit after tax to be between K9 billion and K10 billion.
Press Corporation plc is also expecting a profit jump but Illovo Sugar (Malawi) plc is expected to register a decline in profits.
Meanwhile, Blantyre Hotels plc is expected to post loss after-tax decline of between 15 percent and 22 percent to be within the range of K383 million and K420 million.
In an interview yesterday, investment banker and strategist Misheck Esau said with banks investing in a highly priced government securities market, super profits are expected.
“This is a good time for bank shareholders,” he said.
Market analyst Bond Mtembezeka said that the market started on a slow note this year, but “all signs were pointing to the fact that it will still be a good year, therefore, the performance is not a surprise at all”.
Minority Shareholders Association of Listed Companies general secretary Frank Harawa said this is a good half for listed companies.
