Negative sentiment in banks, other stocks shaves off N445b from market cap
Despite robust growth in its top line with nearly 90 per cent growth in its earnings, Access Holdings Plc struggled to record marginal growth in its bottom line last year.

Its profit before tax (PBT) closed the year at N867 billion in its 2024 operation, a 19 per cent year-on-year (y/y) growth from N729 billion achieved in 2023.

But its profit after tax (PAT) crawled by 3.7 per cent to N642.2 billion, which places it behind its peers in terms of profitability growth.

Other growth indicators, including total assets, shareholders’ fund, interest income, fee and commission earnings and retained earnings were positive and reflected its historical growth path. Some of the metrics crossed 100 per cent growth mark.

The group delivered 88 per cent growth in gross earnings, rising from N2.6 trillion in 2023 to N4.9 trillion in 2024. Interest income rose by 110 per cent to N3.5 trillion while non-interest income rose by 47.8 per cent to N1.397 trillion.

The bank’s total assets grew by 55.5 per cent to N41.5 trillion while customer deposits were up by 47 per cent to N22.525 trillion.

Its shareholders’ funds also stood at N3.76 trillion, representing 72 per cent growth.

The bank said it recorded strong strides through its economic, social and governance (ESG) programmes.

It facilitated $437.4 million in DFI inflows to support MSMEs across Africa, disbursed 1.6 million digital loans to low-income individuals and booked its first N1.4 billion diaspora mortgage loan in the year.

The group also achieved a 13.4 per cent reduction in operational emissions, planted 57,302 trees and enabled solar power adoption for 226 homes and businesses.

Its headquarters was awarded the IFC EDGE (Excellence in Design for Greater Efficiencies) Green Building Certification for sustainable design and construction standards.

Meanwhile, the Nigerian Exchange Limited (NGX), yesterday, reversed its previous gains on deteriorating sentiment across stocks, including banks. The overall capitalisation fell by N445 billion on renewed negative sentiments.

The all-share index (ASI) lost by 708.14 points, representing a decline of 0.68 per cent to close at 103,851.88 points.

Also, market capitalisation shed N445 billion to close at N65.259 trillion.

The downturn was driven by price depreciation in large and medium capitalised stocks amongst which are: IMG, Zenith Bank, Custodian & Allied, GTCO, UACN and UPDC Reit and C&I Leasing.

On the sectoral performance, the banking sector led the decline, falling by 4.67 per cent, followed by oil and gas, which dipped 0.05 per cent.

Conversely, the insurance and consumer goods sectors offered modest support, rising by 0.8 per cent and 0.34 per cent, respectively, while the industrial and commodity sectors closed flat
Analysts at Afrinvest said: “Investor sentiment, as measured by market breadth, improved to 0.06x from -0.07x in the previous session as 25 stocks advanced, 20 decline. Tomorrow (today), we expect the bearish sentiment to persist in the absence of positive market triggers.”

Despite the downturn, market breadth was positive, with 25 gainers versus 19 losers. Abbey Mortgage Bank recorded the highest price gain of 9.99 per cent to close at N8.15 kobo. Sovereign Trust Insurance followed with a gain of 7.69 per cent to close at 98 kobo, while Nigerian Exchange Group rose by 7.30 per cent to close at N33.80 kobo.

Fidelity Bank rose by 6.74 per cent to close at N18.20, while Deap Capital Management and Trust rose by 6.67 per cent to close at 96 kobo.

On the other hand, IMG led the losers’ chart by 10 per cent to close at N34.20 kobo. Guinea Insurance followed with a decline of 9.52 per cent to close at 57 kobo, while DAAR Communications shed 7.94 per cent to close at 58 kobo.

C&I Leasing depreciated by 7.89 per cent to close at N3.50 kobo, while Custodian Investment declined by 5.62 per cent to close at N16.80 kobo.

Meanwhile, the total volume traded decreased by 4.64 per cent to 351.655 million units, valued at N13.711 billion, and exchanged in 12,141 deals.

Transactions in the shares of Access Holdings topped the activity chart with 68.202 million shares valued at N1.487 billion. GTCO followed with 36.78 million shares worth N2.172 billion, while FCMB Group traded 28.773 million shares valued at N261.894 million.

United Bank for Africa (UBA) traded 26.399 million shares valued at N830.87 million, while Chams Holding Company sold 24.622 million shares worth N53.341 million.