Three banks beg for extension of submission deadline, for H1 financial results

Three deposit money banks (DMBs), Guaranty Trust Bank, Access Bank and Zenith Bank Plc have appealed to the Nigerian Stock Exchange (NSE) to extend the deadline for the submission of their financial results for the first half of 2016.

The banks made their position known in separate letters to the Exchange, just as NSE’s regulatory filing calendar indicates that the deadline for submission of annual report for companies with Gregorian calendar business year ended June 30, while the one month extension also ended July 31, 2016.

Most quoted companies, including banks, major manufacturers, oil and gas companies, breweries and cement companies use the 12-month Gregorian calendar year as their business year, which terminates on December 31.

In compliance with the post listing requirements of the Nigerian Stock Exchange, the banks are expected to submit their Interim Financial Reports to the Nigerian Stock Exchange not later than thirty (30) days from the end of the relevant reporting period.

Accordingly, the Board of Directors of  Zenith Bank which met on July 27, 2016 to approve the bank’s Half Year Audited Financial Statements, the Half year Audited Financial Statements will be forwarded to the Central Bank of Nigeria (CBN) for approval before release on the floor of the Nigerian Stock Exchange.

“We have accordingly, written to seek the approval of the Nigerian Stock Exchange for extension of time to submit the bank’s Half Year Audited Financial Statements to August 31, 2016,” the board wrote in its later making Zenith Bank the third and latest in the list.

The Central Bank of Nigeria (CBN) had in its recently released monetary, credit, foreign trade and exchange guidelines for fiscal years 2016/2017, threatened to sack CEOs and chairmen of banks who fail to publish their financial statements within the regulatory period.

Nigerian Tribune findings show that the deadline for quoted companies to submit their audited report and accounts for this period has expired, even as strong indications emerged that the Nigerian Stock Exchange may sanction banks and other listed companies over non-compliance.

However, a herd of analysts said the banks have many problems especially the as they are being faced with weakening oil sector revenue, which has seen the reduction in earnings. This is coupled with other regulatory challenges.