MTN Nigeria Retreats Ahead of Earnings Release
MTN Nigeria Plc has plunged significantly following the telecommunication FX-driven earnings damage in the financial year 2023. The telecom giant’s losses were extended to the first quarter of 2024.
The company has announced that its directors and other related period will not be able to trade its shares starting from June 28, 2024, according to a regulatory filing. The close period will remain in effects until 24 hours after second quarter earnings release.
Some analysts believe that the cause of such huge losses still exist as the naira lost 40% in the first half of the year due to negative fluctuation.
The management ability to upturn the tide depends on the nature of FX related contracts signed with towers assets and other foreign currency denominated liabilities on its balance sheet.
After its successive earnings break, investors have gone short radically and consistently as the former heavyweight champion on the Nigerian Exchange become a fallen angel.
Based on data from the Nigerian equities market, MTN Nigeria share price nosedived to N200 on Thursday as investors booked another round of profit in the local exchange, losing N14 on each share outstanding totaled 20,995,560,103.
Historical trading data showed that the telecom company shared had peaked at N319.80 in 2024 during early boom experienced in the equities market. Now, MTN Nigeria market valuation had dropped to N4.2 trillion from N6.714 trillion at the peak price. FG Increases Mining Rates, Decries Non-remittance
