FTN Cocoa Processors Plc (NSE ticker: FTNCOCOA) share price changed on the floor of the Nigerian Stock Exchange (NSE) on Wednesday, for the first time in more than two years.
FTNCOCOA has appreciated by 10% thus the price movement from N0.20 to N0.22 per share making it the top gainer today. This is first time FTNCOCOA is moving since it touched the floor price (N0.20) on 27 March 2018.
If the current price holds until the close on Trade today, FTNCOCOA will break out from the flat-line that has engulfed it for more than two years. As per the rules of NSE, stocks are required to trade 100,000 units in a single deal at a particular price to enable a price change.
Stock activity
Activity on the stock picked up on 24 August 2020, with a traded volume of 2.41 million, an outstanding increase from a total of 13,550 units trade between 6 August to 21 August 2020.
Similarly, activity on the stock more than doubled on Tuesday, 25 August with traded volume increasing to 5.758 million units, yet without a price movement.
At the time of this report FTNCOCOA traded volume on Wednesday stood at 1.385 units.
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Financial Performance
FTNCOCOA is yet to release its 2019 full year financial statements. The last report filed by the company to NSE and general public was its third quarter 2019, for the period ended 30 September 2019.
According to the report, the company recorded a 3.86% decline in revenue to N502.966 million from N523.180 million in Q3 2018. Similarly the loss after tax increased by 67.77% to minus N354.457 million from minus N211.278 million in Q3 2018.
FTNCOCOA total liability (N5.164 billion) is more than its total assets (N4.877 billion) as at 30 September 2019. Thus, the company has a negative equity of minus N286.673 million.
Between 1 January to 30 September 2019, the number of the company’s employees declined to 70 from 111.
It is however unclear what sparked investor’s interest in the stock.
About FTNCOCOA
FTN Cocoa Processors Plc was incorporated on 26 August 1991 in Nigeria as a private company limited by shares under the name Fantastic Abiola Nigeria Limited which later became Fantastic Traders Nigeria Limited on 26 August, 1998.
The company became a public limited liability company on 29 February, 2008 and got listed on the Nigeria Stock Exchange.
The principal activities of the company is the processing of cocoa beans and palm kernel into cocoa cake, liquor, butter, palm kernel oil and palm kernel cake for export and sales to local manufacturing companies.
Written by;
Ifunanya Ikueze