The Malta Stock Exchange (MSE) index erased its previous week’s minimal gain as it declined by 0.05 per cent to close at 4,702.925 points, as property shares registered solid gains, with Bank of Valletta plc (BOV) following suit. A total of 16 equities were active last week of which eight gained ground, seven fell, while one closed flat.
Last week’s start of extended trading hours had little impact on the total turnover generated as total turnover increased week on week from €804,746 to €902,644.
Plaza Centres plc shares outshined its peers as the equity registered a gain of 7.3 per cent to reach a two-month high at €1.10 as 10 deals spread between last Tuesday and Thursday generated a total turnover of €106,655.
Malta Properties Company plc and Midi plc followed suit as both equities gained ground to close at €0.52, and €0.319 respectively, gaining one per cent and 1.3 per cent on slim trading volumes.
Last Thursday, Midi group announced that it had registered a pre-tax loss of €2.515 million in the financial year under review compared to a profit of €9.920m in the previous financial year. Unlike the previous year, the company had very few apartments that it could deliver to respective owners. Turnover for the year, including revenues from sales of property, amounted to €8.674 million (2015 - €41.042m). Operating profit for the year amounted to €1.631 million (2015 - €13.123m). The board resolved to recommend for the approval of the annual general meeting the payment of a final net dividend of €1,499,119, equivalent to €0.007 per share.
Tigné Mall plc registered last week’s weakest performance among its counterparts, as the equity hit a seven-month low to close at €1.059 as eight deals generated a total turnover of €35,220.
After three consecutive sessions without a price movement, Malita Investments plc managed to add on 1.4 per cent to its share price last Friday, to closing at €0.75 – as 16 transactions generated a total turnover of €144,101.
Santumas Shareholdings plc traded at €1.75, up 2.94 per cent on 2,000 shares in a single deal.
BOV was the top banking performer as the equity gained 1.35 per cent, reaching its highest level since January 2008 to close the week at €2.25. Turnover in the equity accounted to 23.5 per cent of total turnover. Last Thursday, BOV announced that the board of directors is to meet on Thursday to consider and approve the group’s and the bank’s interim financial statements for the six months ended March 31, 2017, and if thought fit, declare an interim dividend.
HSBC Bank Malta plc shares oscillated between positive and negative ground as they retouched €2.09 but fell back to close 1.3 per cent lower at €2.06 as 29 deals generated a turnover of €131,170.
Two deals for 2,300 shares in Lombard Bank plc and a single deal of 576 shares in Fimbank plc saw the equities’ price contract by 3.1 per cent and 1.4 per cent to close at €2.41 and $0.799 respectively, with the latter trading for the first time since turning ex-bonus.
Fimbank announced that its AGM will take place on May 11. Among the resolutions subject for approval, the company is recommending a bonus issue of fully paid up ordinary shares of a nominal value of $0.50 per share in the ratio of one share for every 80 owned to be allotted to registered shareholders as at April 11, 2017.
It will also recommend, pursuant to the directors’ recommendation and subject to regulatory approval, that the company makes one or more rights issues over a period of three years to raise at least USD100 million by issuing ordinary shares to shareholders on such terms and conditions as may be determined by the board of directors.
Two transactions for €19,980 in Simonds Farsons Cisk plc (SFC) shares managed to break the €7.20 mark, adding 2.8 per cent to close at €7.40 – an all-time high.
Last Wednesday, RS2 Software plc announced it had registered net profits of €453,133 in 2016, compared to €4,819,347 in 2015. Revenue for the year also fell from €19,437,614 in 2015 to €17,171,291 in 2016. Earnings per share fell by €0.026 – from €0.03 in 2015 to €0.004 in 2016. The board of directors said the drop in revenue mainly reflects the group’s strategy to intensify focus on the managed services business – as a result of the different inherent characteristics of revenue recognition between the licence and managed services, until stabilisation occurs. The group invested heavily in human resources and infrastructure, administration and marketing, which also impacted the group’s bottom line. Adverse movements in foreign currencies (mainly GBP against the euro) also negatively impacted the group’s profits by €1.4 million.
Despite these negative results, in last Wednesday’s session, the equity gained 1.9 per cent but lost this gain in the following session to close the week 1.3 per cent lower at €1.58 – generating a total turnover of €56,522 spread over 11 deals.
Go plc shares lost ground as the equity fell by 1.1 per cent to close at €3.45, after seven deals generated a total turnover of €67,087.
Maltapost plc shares rebounded from its decline earlier in the week as the equity fully recover its three cents loss in last Tuesday’s opening to close one per cent higher at €2.05 after five deals generated a total turnover of €34,389.
Mapfre Middlesea plc shares hit its lowest levels since November 2016 as the equity lost 0.9 per cent to close at €2.10.
Elsewhere, 20 transactions generating a total turnover of €73,490, did not change the price of Malta International Airport plc (MIA) which closed flat at €4.19.
In the sovereign debt market a total of 24 issues were active last week, of which eight gained ground, 14 issues fell and the remaining two remained afloat. The 3.3 per cent MGS 2024 (I) was last week’s largest mover as the price of the bond fell 0.4 per cent to close the week at €117.890. The best performer was the 2.5 per cent MGS 2036 (I) as the price rosr 0.1 per cent to close at €104.15.
In the corporate bond market, 28 issues were traded, of which nine closed up, 13 lost ground, while six closed flat. Total turnover week on week more than tripled from €853,487 to €2.54 million.
This article which was compiled by Jesmond Mizzi Financial Advisors Ltd, does not intend to give investment advice and the contents therein should not be construed as such. The company is licensed to conduct investment services by the MFSA and is a member of the Malta Stock Exchange and a member of the Atlas Group. The directors or related parties, including the company, and their clients are likely to have an interest in securities mentioned in this article. For further information contact Jesmond Mizzi Financial Advisors Ltd at 67, Level 3, South Street, Valletta, or on Tel. 2122 4410, or e-mail info@jesmondmizzi.com.