FY 2006 N6.6b Loss After Tax (LAT)!!!

no_shaking:

FY 2006 N6.6b Loss After Tax (LAT)!!!

WOW! That didn't even occur to me. In that case

Don't say the WEMA fairy tale is over?

thank God i dumped most of it last week. that risk was too much for me. my only prayer is their half year will be much better. i still wont give up on wema.
so what about the 1.7bn interim result that people saw

today was a terrible day for the banks, every major one lost, the chemical sector is strong though

Likewise insurance companies,

Wema dropped a bomb, It is better to wait for the price to drop, I'd like to see the detailed results though, To see if writing off bad loans or goodwill had a major impact, whatever the case, the market will not be kind to the stock for now, I've still got some, but of course I won't hold on to it.

@All Gurus

pls is Crusader still good to enter at 4.29k? Will appreciate info asap as I want to place order.

thanks

P.S if crusader is no longer attractive pls what stock in that price range will be profitable on the long term. This na long term o as i don learn, especially with small money, say short term na wahala! Lol

pumping777:

Likewise insurance companies,

Wema dropped a bomb, It is better to wait for the price to drop, I'd like to see the detailed results though, To see if writing off bad loans or goodwill had a major impact, whatever the case, the market will not be kind to the stock for now, I've still got some, but of course I won't hold on to it.

I've laready issued my sell order for tomorrow. I hope they sell it. I plan to buy back if I see that bad loans/goodwill played a major role in this disaster or if the interim results put them back on track. This stock could be at 8 bucks within a week.

krisbobo:

@All Gurus

please is Crusader still good to enter at 4.29k? Will appreciate info asap as I want to place order.

thanks

P.S if crusader is no longer attractive please what stock in that price range will be profitable on the long term. This na long term o as i don learn, especially with small money, say short term na wahala! Lol

It's v good at that price. Planning to buy some myself.

So crusader is still good

Crusader looks attractive at N4.22 now, i've already issued my order. I just realized i've exceeded 500k units of Mbenefits alone! I was just ordering more and more and now i feel like i have too many.

whitelexi:

Crusader looks attractive at N4.22 now, i've already issued my order. I just realized i've exceeded 500k units of Mbenefits alone! I was just ordering more and more and now i feel like i have too many.

@whitelexi,

Thats because you have too much money - innit?

@Wanaj0 @Wanaj0 @Wanaj0,

How many time did I call you?

I give you kudos ooo, I now remember all your talk about Wema, Thank God I listened, I would have been gnashing my teeth as we speak.

Their results had too many suprises.

whitelexi:

Crusader looks attractive at N4.22 now, i've already issued my order. I just realized i've exceeded 500k units of Mbenefits alone! I was just ordering more and more and now i feel like i have too many.

I can relieve you of the burden, just dash me small

easimoni:

I've laready issued my sell order for tomorrow. I hope they sell it. I plan to buy back if I see that bad loans/goodwill played a major role in this disaster or if the interim results put them back on track. This stock could be at 8 bucks within a week.

Likewise, so no shaking!!

Summary of WEMA FY 2007

Net Operating Income - N19.86b
Less:
Provision for risk assets - N8.1b  
Operating Expenses - N11.01b etc

PBT N1.88b
+ Tax Credit - N0.68b

Thus, PAT - N2.56b

no_shaking:

WEMA FY 2007 - PAT N2.55b; EPS 0.25k

FY 2006 - LAT N6.6b

Very disappointing results!!! despite all the +ve insinuations from the MD etc. Just way below the expectation. Share price down 0.50k as at 12.00 today. More downside through the week!!!

The PAT for the 1st quarter  ended June 2006 for YEnd March 2007 was N1.678B  so for the FY 2006(YEnd March 2007) they only managed to add  ~N800M for the last three quarters well i would like to believe the goodwill in aqcuiring National bank must have been written off against their reserves and therefore the PAT.

The only saving grace would be if the 1st quarter or half-year interim results (June or Sept 2007) for YEnd March 2008 meet expectation but going forward this news will send the share price spiralling downwards until calm is restored by 'impressive' interim results

Hello folks
I saw this info
FOR THOSE WHO HAVE BEEN ASKING ABOUT TRANSFER FROM ONE BROKER TO ANOTHER

How to move your account from broker to broker
By Bosede Olusola-Obasa
Published: Monday, 29 Oct 2007
Having a sense of satisfaction or being firmly in charge of your stocks investment is as important as what you realise from your investments.

If you have been getting a contrary feedback from your stockbroker or finding it difficult to manage him, you have an option to disengage his services and findings show that this is quite an easy process.

Investors do complain about their inability to get on well with their stockbrokers, but what many do not know, perhaps, is that there is a platform to formally switch from their point of dissatisfaction to satisfaction.

Whatever you do, ensure that you can at least vouch for the integrity of your stockbroker as this forms the bedrock of doing business at the stock market.

Recently, an aged female retiree narrated how she had been having difficulty selling a particular stock through her stockbroker.

Since she could not get any reasonable results using the telephone, she had to visit his office on one of the floors of the stock exchange building over every detail in spite of her ailing health.

This scenario is just one of the reasons an investor may want to switch over to another stockbroking firm.

The Chief Operating Officer, Centre Point Investments, Mr. Jire Oyewale, notes that some of the steps necessary for such a change include writing a formal letter that is signed and addressed to the Director-General of the Nigerian Stock Exchange.

The letter will indicate your decision to transfer your account from a resident (current) stockbroking house to a target (new) stockbroking house.

The current Central Securities and Clearing System statement and inter-member transfer form wherein the details of stocks, that is, name of stock and quantity is obtained.

The investor will fill his portion of the inter-member transfer form and sign on investor’s portion.

The form is then taken to the resident stockbroking house for signature and stamp of the managing director and accredited representative of the company.

A fee of N200 is paid to the resident stockbroking house at this point.

The managing director of the target stockbroking house as well as an accredited representative will also sign the inter-member transfer form and affix the company stamp.

When this is done, all the documents will be taken to the stock exchange for processing.

He, however, adds that for a moribund resident house, a letter of indemnity will be done by the target house to notify the exchange on any loss or problems that might arise as a result of the transfer in future.

THE REST CAN BE FOUND AT

http://www.punchng.com/Articl.aspx?theartic=Art200710291382478


Cheers

omoyeni is a disgrace!!! how could he have said the result would make the price go haywire. well i guess it did go haywire
by the way, the dude that asked about crusader, excercise caution!!! u dont know how many shares they are yet to list from all acqusitions, get some but dont put all yuor money into it.

no_shaking:

Likewise, so no shaking!!

Summary of WEMA FY 2007

Net Operating Income - N19.86b
Less:
Provision for risk assets - N8.1b
Operating Expenses - N11.01b etc

PBT N1.88b
+ Tax Credit - N0.68b

Thus, PAT - N2.56b

Let's put the results into context though they have made provision to write-down their assets to the tune of N8.1B for goodwill and bad loans so going forward it is not a total disaster (will like to see breakdown when it's available to confirm this is the case) but the problem is how many peeps will see it this way?
In the short-term it's not good news at all and already the share price has lost 53K just today how much more in the days ahead?

The 53K drop in WEMA share price represents exactly 5% which i think is the limit to which the price can drop i hate to think what would have happened if there had been no cap

It would have been a carnage chei!

@Roughcut,

I tell you Wema is in for a beating.

We need to know what the 8.1B was for exactly That will show the true picture of things.

Let anyone that has further details on this result please post it. It will shed light into whats going on.

If they had such terrible results, they should have been smart enough to release the 6 months interim along side ( assumption - the 6 months should be better).

That was the stretegy FIB used and the price did not even blink.

Lets see what the rest of this week holds for Wema.

yodiyokun:

@Roughcut,

I tell you Wema is in for a beating.

We need to know what the 8.1B was for exactly That will show the true picture of things.

Let anyone that has further details on this result please post it. It will shed light into whats going on.

If they had such terrible results, they should have been smart enough to release the 6 months interim along side ( assumption - the 6 months should be better).

That was the stretegy FIB used and the price did not even blink.

Lets see what the rest of this week holds for Wema.

Obvoiusly they did not have anybody advising them on strategy and if they are planning to come to the market they know what they need to do and if they cant show us anything to prove they know what they are doing they might as well put up the bank for sale.

It is speculation though until i see the breakdwon i think the N8.1B write-down of their assets would have been sustained mainly for the goodwill in acquiring the assets of National bank remember that they would had to assume the assets and liabilities of National bank which they would not have been able to quantify reasonably since they did not audit the accounts of National bank and the rest would go on bad and doubtful and non-performing loans which i understand is one of the things that caused a lot of 'aggro'

Going forward short-term you are right WEMA bank is on the racks

If you hold WEMA _{speaking to myself} dump now and specify a limit order for your broker i.e a price below which they must not sell!You can assume WEMA share price will be losing the max it's permitted to lose for a few days until they come out with a spectacular!

RoughCut:

Obvoiusly they did not have anybody advising them on strategy and if they are planning to come to the market they know what they need to do and if they can't show us anything to prove they know what they are doing they might as well put up the bank for sale.

It is speculation though until i see the breakdwon i think the N8.1B write-down of their assets would have been sustained mainly for the goodwill in acquiring the assets of National bank remember that they would had to assume the assets and liabilities of National bank which they would not have been able to quantify reasonably since they did not audit the accounts of National bank and the rest would go on bad and doubtful and non-performing loans which i understand is one of the things that caused a lot of 'aggro'

Going forward short-term you are right WEMA bank is on the racks

I'd be surprised if they won't know the impact of releasling only the FY results.

For me, if they will release a good result say in 2 weeks if you will, then this provides the opportunity for some insiders that sold at 11 Naira last week to buy at 7-8 Naira during this glut and start smiling in 2 weeks time

pumping777:

I'd be surprised if they won't know the impact of releasling only the FY results.

For me, if they will release a good result say in 2 weeks if you will, then this provides the opportunity for some insiders that sold at 11 Naira last week to buy at 7-8 Naira during this glut and start smiling in 2 weeks time

I would like to believe they are pushing the 'bad' news into the public domain first and when the dust settles hit us with the 'good' news anything short of that will be an unmitigated disaster

i am in dilema here, i owm 400,000 units of WEMA bank bought an an average of N9.10,
i am about to give my broker the sell order
i hope i can sell it tomorrow so at least i come out not too scarred considering todays price and the 5% rate

does this sound logical?

hopefully use it for the ETB private placement
on ETB, what do u think the nominal value would be??

Hello Guys,
VERY IMPORTANT QUESTION
I would like to know if anyone has heard about a private placement by CHAMS ( electronic card switch company). Please forward any info here,
Thanks!!

Tmoni:

i am in dilema here, i owm 400,000 units of WEMA bank bought an an average of N9.10,
i am about to give my broker the sell order
i hope i can sell it tomorrow so at least i come out not too scarred considering todays price and the 5% rate

does this sound logical?

hopefully use it for the ETB private placement
on ETB, what do u think the nominal value would be??

A lot depend on your strategy.

Most technical people sold today. With the price movement on Friday, sell order was paramount. For speculators, if you have not jumped ship, it is difficult to do so now.

Bought last batch at 8.62, sold at 10.60 so nothing spoil.

Going forward, WEMA should come out well. The 2006 result was not released because the various expenses (loss)made the shareholders fund to drop below the N25bn expected for consolidation.

Doubt whether the expenses is for goodwill. I think it is for BAD loan provision. This basically implies that they have cleaned their books. The brand is still good. The assets are there so I expect things to look up from here.

I expect the price to take a plunge. This will be followed by the 'insiders' buying at a discount to be followed by a good interim result. Price will raise up and go on technical suspension for an impending offer.

So I am set to buy more if the price goes below N6.00 which is where I expect it to be.

Is 9.2B or 10.2B (or neither) correct for the number of outstanding WEMA shares?

pumping777:

Is 9.2B or 10.2B (or neither) correct for the number of outstanding WEMA shares?

more like >10bn shares

10.2B shares

pangolo:

Hello Guys,
VERY IMPORTANT QUESTION
I would like to know if anyone has heard about a private placement by CHAMS ( electronic card switch company). Please forward any info here,
Thanks!!

I read it is in the pipeline,

http://www.proshareng.com/myproshare/portal_news.php?id=3074

thanks wanajo

that means, it still pays to sell even a N8 cos i am with you on the price stabilising in the N6 region

even if i want to re-enter, i would be able to get more shares then

and whats the likely time frame for your hypothesis??