Self-listed NSE has issued a profit warning. The bourse announced that it expects profits to decline by at least Sh. 76.4 million.
NSE said that it sees the profit expected next month to be more than 25 per cent lower than Sh305.6 million that it posted the previous year. “The board of directors of the company hereby informs its shareholders and the general public that based on the projections for the remainder of the year, the company is expecting a decline of more than 25 per cent in net profit,” explained the NSE management.
According to NSE Chief Executive Geoffrey Odundo, the decline in profit has been occasioned by a decline in equity market prices. The company is directly affected since 53 per cent of its revenue streams come from market trading.
The announcement may mirror yet another year where investors on the bourse may have burned their fingers after a bear run in the market. Last year, a record 19 companies had issued profit warning before the close of December.
