Chams links positive performance to backward integration, others

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Chams Holdco’s Plc has linked its impressive financial performance to the backward integration exercise embarked upon by the company.

Despite the inclement operating environment, Chams Holding Company Plc’s (Chams HoldCo) has continued to sustain its brand positioning following its trajectory of excellent performance.

Recently, the company topped the list of quoted companies with over 600 per cent capital gain on NGX and lots more. The Company’s Group Managing Director, Mayowa Olaniyan, had in September this year, presented the Facts Behind its Figures to the Management of NGX and Stockbrokers, assured the investing public of brighter days ahead of Chams HoldCo.

Olaniyan said: “Chams Holdco’s impressive financial performance is a result of meticulous backward integration efforts. Collaborating with strategic partners, CCNL is set to introduce new production lines for SIM cards and is looking to become a net exporter of its products to other African countries.

“The company’s strategic moves, including the expansion of its card production capabilities, the successful onboarding of major players, and the groundbreaking venture into local SIM card production, stand out as key contributors to its financial surge. Chams Holdco’s ability to adapt to market dynamics and pioneer innovative solutions is undoubtedly shaping its trajectory as a frontrunner in Nigeria’s rapidly evolving tech landscape.

“Card Center Nigeria Limited (CCNL) has been a key player in this success story. Widely recognised for its production of financial cards, CCNL has strategically diversified into the local production of SIM cards for Telecoms and Internet Service Providers (ISPs) operating in Nigeria,” she said.

The company has experienced a significant rally in its share price so far this year despite recent short-term volatility, as it opened the year with a share price of N0.22 and has gained 481.82 per cent to N1.28, ranking it 4th on the NGX.

Chams’ share price rally appears to be driven by the dramatic change in its earnings trajectory.

The company’s H1 2023 financial results, which revealed a staggering profit after-tax growth of 1,426 per cent, marked a significant turning point, from the three consecutive years of reporting losses after tax before the 2023 financial year.

Additionally, Chams commenced the year with a relatively modest share price of N0.22. In cases where a stock begins with a low initial price, even a slight uptick in its value can lead to a substantial percentage gain, making it an appealing option for investors.



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