VFD Group Gains 18.4% as Investors Eye N4.478bn Profit Target
Buying interest in diversified conglomerate VFD Group Plc pushed the market value of its 12.668 billion outstanding shares higher to N171.024 billion, according to data from the Nigerian Exchange.
At this valuation, VFD Group is trading 10% below its recent 52-week high on the Exchange following a significant transaction volume and value.
VFD Group’s share price rose more than 18.4% week-on-week as investors bolstered their positions ahead of the group’s third-quarter earnings announcement.
Details from the Nigerian stock market showed that VFD’s share price rose to N13.50 as 17.793 million units, valued at N245.640 million, traded on Friday.
In a disclosure, VFD Group estimated its Q3 profit target at N4.478 billion, according to an earnings forecast report signed by Nonso Okpala, its group managing director.
The group projected N26.361 billion in revenue for the period, and N5.893 billion as anticipated pre-tax profit. VFD Group projected profit after tax for Q4 2026 at N4.066 billion, with gross earnings expected to reach N20.235 billion in the same period.
Market analysts said the robust earnings forecast could drive a re-rating of VFD’s share price as the group is set to release its unaudited financial statements.
In the first half of the year, VFD Group posted N53.71 billion in gross earnings, up 30.5% year on year, driven mainly by strength in its investment portfolio.
The bottom line improved sharply, outpacing revenue growth, driven by improved business activities. Profit Before Tax (PBT) rose 98.4%, while PAT doubled by 100.8% to N10.06 billion.
