The share prices of HSBC and Malta International Airport moved in opposite directions today reflecting the announcements earlier this week showing the different financial performances during 2014.
MIA jumped by 6.3 per cent to a fresh all-time high of €2.85 on high activity of over 113,000 shares following yesterday’s publication of another record financial performance during 2014.
The airport operator generated a 15 per cent increase in pre-tax profits to €26.1 million and the directors recommended a final gross dividend of 12c31 per share representing a 77.8 per cent increase over last year’s final dividend.
The total dividend declared in respect of the 2014 financial year amounts to a record 16c93 per share (net: 11c), an increase of 46.6 per cent compared to the dividend distribution in respect of 2013. Shareholders as at the close of trading on April 16 will be eligible to receive the final dividend.
On the other hand, HSBC’s equity slumped to a fresh multi-year low of €1.80 before partially recovering to end the session at the €1.82 level which still represents a 2.7 per cent drop from the previous closing price across a total of 27,258 shares.
The bank’s share price has slumped by an aggregate 9.9 per cent since the publication of the 2014 full-year results last Monday. The announcement revealed a 42 per cent decline in pre-tax profits to €52 million due to lower income, higher expenses as well as a steep rise in impairment charges.
As a result, the total gross dividend in respect of the 2014 financial year also dropped by 48.1 per cent to 7c1 per share. The directors also recommended a one for nine bonus issue to all shareholders as at the close of trading on April 27.
Elsewhere on the secondary market, the share price of International Hotel Investments closed in positive territory today with a three per cent increase to regain the 65c level on a single trade of 3,175 shares.
The only other positive performing equity was MIDI with a 2.2 per cent uplift to 23c5 across four deals totalling 106,000 shares.
Meanwhile, Bank of Valletta held on to the €2.12 level across 14 trades totalling 24,391 shares.
Similarly, GO maintained the €2.70 level across two deals totalling 4,350 shares.
On the bond market, the Rizzo Farrugia MGS Index edged a further 0.2 per cent higher to yet another all-time high of 1,131.902 points as 10-year Eurozone benchmark yields slipped to a new all-time low of 0.284 per cent in anticipation of the start of the European Central Bank’s quantitative easing programme next month and in view of recent comments by the chairwoman of the US Federal Reserve in which she indicated that the first interest rate hike in the US will probably be shifted towards the latter part of the year.
This morning, the Treasury announced that it received a total of 11,701 applications with a total value of €443.2 million compared to the €180 million on offer.
The Treasury is now expected to publish the issue statistics and allocation policy for the Malta Government Stocks issue in the coming days.
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