FY 2020: GSE records highest profit in 30-year history; up 178.21% YoY

Macroeconomic concerns weigh down GSE in January

The Ghana Stock Exchange Limited has kept in step with the performance of its three markets – the main, alternative, and bond – recording the highest profit figure since its inception as its post-tax profit for full-year 2020 stood at GH¢23.5million, up 178.21% from the GH¢8.43million recorded in 2019.

In a year when the Ghana Fixed Income Market (GFIM) recorded its highest volume of trade ever – in excess of 108 billion, 95% higher than the previous year – and the equities market its second-highest in the Exchange’s 30-year history, as 695.4 million shares changed hands.

The latter contributed 63% to the GSE’s topline with total revenue of GH¢32.5million in revenue while the latter raked-in GH¢6.89million, down 9.8% year-on-year due to a 10.97% drop in membership fees.

Operators of the Exchange saw gross revenue grow by 46.99% to GH¢39.27million.

This was driven largely by listing fees (GH¢13,585,027); application fees (GH¢7,298,961); and commissions on trade (GH¢17,125,789), which were up 28.2%, 85.49%, and 68.62% respectively, while course and seminar fees took a 67.56% tumble; primarily as a result of disruptions caused by the pandemic.

Additionally, the GSE’s Reserve Fund witnessed a 33% increase from GH¢15.32million to GH¢20.39million for the period under review – with net assets following the trend, appreciating by 47.7% to GH¢75.3million. 

Facts Behind the Figures

In the year under review, the Exchange’s information-sharing event – Facts Behind the Figures – saw seven listed companies appear on the platform to engage stakeholders on the performance of their respective firms. These were Scancom PLC, operator of MTN; Cal Bank; Samba Foods; Bayport Savings and Loans; Enterprise Group Limited; Ghana Breweries; and ESLA.

Speaking at the GSE’s Annual General Meeting, Chairman of its Governing Council, Anselm Ransford Adzetey Sowah, gave assurance that the Exchange will not rest on its laurels. He added that through its ambitious three-year strategic plan, the GSE remains on course to attaining global competitiveness.

Similar sentiments were expressed by the Managing Director of the GSE, Ekow Afedzie, who said: “I am convinced that with determination and hard work we will actualise our goal of transforming the Exchange from a frontier market to an emerging market, contributing significantly to development of the Ghanaian economy”.

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