Hints of summer heat this past week did not raise temperatures on the Malta Stock Exchange floor. Maltapost plc (MTP) stamped its authority with a 7.5% gain, and Grand Harbour Marina plc (GHM) sailed to a 7% gain into number two berth. But on the tail end of the quay, we had Global Capital plc (GCL) sinking a titanic 43% to €2.93, in the wake of the release of their annual results. Large caps were fairly lacklustre with the exception of International Hotel Investments plc (IHI), up 1.9%, buoyed by the release of their annual results. The MSE index came close to touching a new 2008 low on Tuesday, when it closed at 4,588.99, a mere 1.6 points above the February 19 low. For the week, it closed 1.3% lower at 4,631.51.
Bank of Valletta plc (BOV) had more than a bit of a bumpy ride, ending the week 4.2% lower. The scene was set early in the week, when it closed Monday 2.5% lower at €5.55. The slump continued into Tuesday, down to €5.50. However, strong buying interest of just over 50,000 shares pulled the price back up to €5.75. This was short-lived as the price fell back on Thursday and Friday, ending the week at €5.45. BOV accounted for the largest portion of the week's equity trading with 106,485 shares changing hands for a value of €590,568 - equivalent to 46.7% of the week's total equity turnover. At the end of trading, total bids for 990 shares were at €5.45, whereas offers of 2,000 shares started at €5.52.
HSBC Bank Malta plc (HSB) again marked time, trading in the all-too familiar price range of €4.391 to €4.43, ending the week at €4.415, a flimsy 0.1% lower. Volume was a little healthier than the previous week, but still very low for the MSE's largest capitalisation stock, with 29,460 shares traded for a value of €129,819. At the end of Friday's session, bids for 3,084 shares were at €4.40, while the best offer for 2,515 shares stood at €4.415.
HSBC announced on Monday that the previous Friday's AGM approved all the ordinary and extraordinary resolutions presented. It also announced that Shaun Wallis will be relinquishing his post as CEO with effect from May 5. He will be replaced by Alan Richards who is currently a director and deputy CEO of HSBC Australia.
GO plc (GO) was stable, trading around €3.015, but slipped to below €3 for the first time this year on Wednesday, when it closed at a new 2008-low of €2.99. It recovered to €3.015 on Thursday, the last day it traded, to end the week unchanged. Total turnover was 15,670 shares for a value of €47,101. At the end of trading, the best bid was for 6,000 shares at €3 with a supply of 10,084 shares at €3.015.
Malta International Airport plc (MIA) started the week 2c lower at €3.33, recouping this loss by Thursday, only to fall back to €3.33 by Friday's close. Turnover was thin with just 7,121 shares traded for a value of €23,785. At the end of the session, unsatisfied bids of 75 shares stood at €3.33, while offers for 3,700 shares started at €3.378.
International Hotels Investments plc (IHI) started the week 4c lower at €1.01. However, the release of the company's positive set of annual accounts ahead of Wednesday's session spurred the price higher. Two buy orders for a total of 32,669 shares swept all existing supply up to the top of the allowable trade range of €1.08, then higher to €1.099 on Thursday. It eased slightly on Friday, ending the week at €1.07 - 1.1% up on the week.
On Tuesday, IHI reported a profit before tax of €14 million - a massive turnaround when compared to the previous year's loss of €10.7 million. The earnings per share (EPS) also benefited in parallel, increasing from a negative €0.07 to a positive €0.03.
Total revenue during 2007 increased by a substantial 72.5% - from €60.4 million to €104.2 million. This increase resulted from: an improvement in the existing hotels' turnover and profitability; the contribution of the two new hotels in Tripoli and Prague; and the positive contribution of a full-year of CHI Ltd's performance.
The board is recommending a bonus share issue of 3% for all IHI shareholders appearing on the books as at the close of business on Friday, i.e. investors who buy shares up to and including next Tuesday.
Fimbank plc (FIM) continued to make progress, rising to $1.91 on Monday although on slim volume of just 1,950 shares. It was generally stable throughout the week, rising to a new 2008 high of $1.915 on Friday - the busiest day when 35,867 shares of the week's total of 46,287 shares traded.
Lombard Bank plc (LOM) was static at €13 in thin trade, with 340 shares changing hands over Thursday and Friday.
A number of shares only traded on one day: Middlesea Insurance plc (MSI) was practically flat on Monday, dropping 0.2% to €3.514 on 1,285 shares. MSI announced that the board is scheduled to meet on April 25 to consider and approve the audited financial statements for the year ended 31 December 2007 and the declaration of a final dividend.
Plaza Centres plc (PZC) also only traded once this week, when last Monday, in a single deal for a comparatively large 64,100 shares, it ended 1.8% higher at €1.70.
Datatrak plc (DTK) and Crimsonwing plc (CW) both only traded on Tuesday, the former saw four trades for 23,000 shares at the unchanged price of €0.305, while the latter was similarly unchanged at €0.56 on a 1,000-share deal.
On Monday, DTK announced that the extraordinary general meeting had approved the extraordinary resolutions presented to the shareholders on April 4. On Thursday, 6PM plc started out at 72p and gained 1.4% to a fresh 2008 closing high of 73p. Turnover totalled 21,436 shares for a value of €19,424.
GHM had the wind in its sails billowing a further 4.8% to €2.20 on Monday, to then move to an all-time closing high of €2.25 on Tuesday, after hitting an intra-day high of €2.354. It only traded again on Wednesday, ending the day at €2.25 - 7% up for the week. A total of 67,500 shares traded on the three days for a value of €152,591.
GCL suffered a massive setback, tumbling a gargantuan 43.7% as it fell to €2.90 on a volume of just 1,200 shares on Tuesday. A further 500 shares changed hands at this same price on Wednesday with Friday's deals effected at €2.94 and €2.93.
After starting the week 3c lower at €0.70, Maltapost plc (MTP) was on the recovery path, rising to €0.73 on Wednesday, and €0.75 on Thursday, then ending the week at €0.785, to deliver a 7.5% gain on the week. Turnover consisted of 57,804 shares for a value of €42,573. At Friday's close, outstanding bids for 2,080 shares were at €0.70 with the best offer for 754 shares at €0.785.
In the Government Bond market, turnover by value reached €1.68 million with 57 deals struck in 19 stocks. In the corporate bond market there were 31 deals for a total turnover value of €218,740. There were no deals in the Treasury Bill market.
This report was provided by J.G.P. Bonello, managing director of Financial Planning Services Limited, of Marina Court, G. Cali Street, Ta' Xbiex, which is licensed by the MFSA to provide investment services, including stockbroking (IS/3608). The company is involved in acting as sponsoring stockbroker and corporate stockbroker. The directors or related parties, including the company and their clients, are likely to have an interest in securities mentioned. E-mail: info@bonellofinancial.com or 2134 4243.