Financial news

On the close of this week's trading session, the Malta Stock Exchange Index made a further gain of 0.134 per cent from the previous day's reading to end at 3,250 points. A total of 15 deals were spread over three equities which amounted to a total traded value of €39,256. The index reading was supported by two equities registering an increase, with the local postal operator registering the highest gain following the publication of its preliminary statement of annual results ended September 30, 2008.

MaltaPost was the day's best performer as the company registered an increase of 4c from the previous closing price of €0.77 which equates to a 5.19 per cent rise in price to end the session at €0.81. Trading was primarily spread over three deals with a total volume of 7,151 shares.

This positive performance in the market reflected an encouraging set of financial results where pre-tax profits surged by 74 per cent to €2.90 million, due to an overall increase in business. The board of directors is proposing a final dividend of €0.04 per share which is to be approved at the annual general meeting which will be held on February 17.

Go was the most liquid component for the day with a gross total of 10,725 shares all traded at €1.85 level spread over four transactions. This equated to a respectable increase in price of 8c5 which accounts for a 4.82 per cent rise in the share price as the equity terminated the session at €1.85.

Bank of Valletta was the most actively traded equity with a total of eight deals for a trading volume of 4,550 shares. The trading activity ended with a marginal decline in the final minutes of the session to close at €2.96.

In the fixed interest sector of the market activity was spread across just four corporate bonds and three government stocks. The highest percentage gain was registered in the 5.1% MGS 2014(III) as the price increased by €0.89 or 0.83 per cent over a single trade to close at €107.76. The 7.0% GAP Developments 2011/13 was the worst performer, losing 1.19 per cent for the day.

Weekly MSE equity report

Contrary to the international scene, and for the second consecutive week, the MSE Index closed on a positive footing, gaining 0.7 per cent to terminate at 3,249 points.

MaltaPost published its full-year results for the period ending September 30, 2008 on Thursday. The company reported a pre-tax profit of €2.9 million, which represent a 74 per cent increase over the previous year. The board of directors is proposing a final dividend payment of €0.04 per share. The market reacted favourably to the results, reversing losses sustained earlier in the week to close Friday's session at the €0.81 mark.

Subsequent to last week's gains, Bank of Valletta slipped 1.3 per cent to close at the €2.96 level. The equity was the week's most liquid and actively traded equity.

On Thursday the bank capitalised a total of €60 million from reserves by increasing the nominal value of its shares form €0.75 to €1.00 and additionally issuing existing shareholders with a bonus share for every five shares held.

Meanwhile, Go jumped 5.1 per cent on a sudden bout of buying activity during the final session of the week.

HSBC Bank Malta moved higher by 3.7 per cent to reclaim €2.799 on an aggregate activity of 20,942 shares, while International Hotel Investments shed 2.8% and Malta International Airport traded steady to close at €0.87 and €2.49 respectively.

This article has been prepared by Bank of Valletta p.l.c. (the Bank), which is licensed to conduct investment services business by the MFSA, for your general information only. This information is not a solicitation or offer by the Bank to acquire or sell securities. Nor does it constitute any form of advice by the Bank. Appropriate advice should be obtained before making any such decision. Past performance is not necessarily a guide to future performance and the value of your investments may fall or rise.