The shares of Ikeja Hotels Plc and Transnational Corporation (Transcorp) Plc are in the top 10 performing stock in the first week of Septeber 2015. According to Punch Newspaper, Transcorp went up by 15.64 per cent or N0.33 to close at N2.44 from N2.11.
Furthermore, Ikeja Hotels Plc, which was meshed in a boardroom crisis that nearly resulted in ouster of the chairman, Mr. Goddy Ibru, last year, topped others with 26.57 per cent or N0.72 gains to close at N3.43 from N2.71 at the beginning of the week. Goddy Ibru was accused of misappropriating N10billion of shareholders’ fund, which resulted in his forced removal in a controversial Extra-ordinary General Meeting in Lagos. Ibru, however, stuck to his gun as the chairman of the company and is presently challenging his removal in a law court.
The company has been struggling with declining financial position, and its first quarter financial statement indicates that it is far from coming out from the doldrums. The unaudited first quarter result for the period ended March 31, 2014 showed a 53.7 per cent decline in profit after tax to N107.981 million as against N233.283 million posted in the corresponding period in 2013. The profit before tax also fell by 26.7 per cent, dropping to N251.443 million from N343.063 million in the previous quarter. The revenue declined marginally by four per cent to N1.523 billion compared to N1.598 billion recorded in quarter one in 2013. However, the company achieved some improvement in its cost of sales as the figure fell from N641.376 million in 2013 to N611.955 million in the review period.
Source: Vanguard Newspaper
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