Publicly-listed firms must disclose financials online by January 2025: SEC

From Adanna Nnamani, Abuja

The Securities and Exchange Commission (SEC) has announced a new directive mandating all publicly-listed companies to publish their financial statements on their websites starting January 2025.

In a circular issued on Thursday, the Commission warned that non-compliance with this directive would result in sanctions.

SEC explained that the purpose of publishing periodic returns on company websites is to ensure easy public access to this information, which is essential for guiding sound investment decisions.

According to the SEC, “The Securities and Exchange Commission (‘the Commission’) has observed that public companies file their periodic returns with the Commission and relevant securities exchanges, without simultaneously publishing the same on their websites. This omission is a contravention of Rules 39 and 41 of the Commission’s Rules and Regulations.”

While noting that publicly-listed companies routinely file periodic returns with the Commission and relevant securities exchanges, the SEC stated that many fail to make their financial statements accessible to the investing public on their websites, thereby breaching the referenced rules.

The Commission stressed the importance of timely disclosures as a critical aspect of shareholder engagement and investor confidence in the Nigerian equities market and outlined strict enforcement measures for companies that fail to comply with the directive.

“Public companies are hereby reminded that the rationale for the publication of periodic returns on their websites is to provide seamless access by the public to such information, which would serve as a guide to making sound investment decisions. It is also important to reiterate in this regard that timely disclosures remain a key component of shareholders’ engagement.

“In line with the foregoing, effective from January 2025, any public company that fails to comply with the requirement of the referenced rules in respect of the filing of its periodic returns with the Commission, relevant securities exchanges, and the simultaneous placement of the same on its website would be penalised as appropriate,” it added.