Out of 159 publicly quoted companies on the board of the Nigerian Exchange Limited (NGX), Multiverse Mining & Exploration Plc led the best performing stocks in 2022.
Multiverse Mining & Exploration Plc, a mining company that specialises in solid minerals, focusing on lead and zinc ores, copper ores, and granite chippings, saw its share price surge by over 1,890 percent in 2022.
Specifically, a unit of share of the company was worth 20 kobos as of the end of 2021 and closed the year at N3.98 as of December 30, 2022.
For ten years, that is 2012 to 2022, Multiverse share price has been stagnant. Between September 3, 2012, and February 5, 2018, it remained stagnant at N0.50, but dropped to N0.20 on April 30, 2018, and on average traded at that price till June 30, 2022.
Having traded at that average price of N0.20 per share for too long, six months ago, the company undertook the share reconstruction exercise; calculated at 20 kobo per share and then listed at N2 per share, thus the company’s share price jumped from N0.20 to N2.0 on July 1, 2022.
The purpose of the share capital reconstruction is to offset accumulated losses on the Company’s statement of financial position, which will enable the Company to undertake subsequent future capital raise.
Analysis of the financial statement of the mining company for the first nine months of the year showed a 194 per cent growth in topline revenue to N402.87 million from N137.1 million recorded in the corresponding period of 2021.
In the same vein, profit after tax surged by over 1000 per cent from a loss position of N11.11 million to a profit of N120.29 million in the review period.
Subsequently, the company’s share price rallied significantly despite not declaring dividends to its shareholders during the year.
Despite the seemingly lacklustre year, some company stocks on the local recorded impressive numbers, among which are Wema Bank, having appreciated in share value by 441.7 percent; Meyer Plc, 393.5 percent; Thomas Wyatt Nigeria, 177.1 percent; Academy Press, 158 percent, among others.
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