The MSE Equity Total Return Index closed higher by one per cent at 8,366.239 points. Out of 19 active equities, nine headed north while another four closed in the red. During the week trading activity declined to €0.7 million, down from €1.4m a week ago.
Last Thursday, Malta International Airport plc announced its traffic results for April 2020. Passenger numbers suffered a 99.64 per cent drop in April when compared to the same month last year, further highlighting the overwhelming impact of the COVID-19 pandemic on the aviation industry. Passenger traffic had already decreased significantly in March 2020, the situation at Malta International Airport continued to deteriorate in April.
The decline in passenger numbers for April was observed in parallel with drops of 94.3 per cent in aircraft movements and 98.35 per cent in seat capacity. Seat load factor (SLF) for the month of April stood at a very low 18.8 per cent.
During April, there were 73 repatriation flights to and from eight countries including the United Kingdom, Germany, Italy and the Netherlands. Moreover, flights carrying freight registered a 39.8 per cent increase over the same month in 2019 to total 186 aircraft movements.
The equity was the most active, as total weekly turnover stood at €215,581. The share price of the airport operator closed 2 per cent lower at €5, as 43,048 shares changed hands across 40 transactions.
In the banking industry, Lombard Bank Malta plc advanced by five per cent on Monday, as it reached the €2.10 price level, at which it closed the week. Two deals involving 30,000 shares were executed.
Bank of Valletta plc closed flat at €1.05 after touching a weekly high of €1.055 on Monday. A total of 33,320 shares changed hands across 12 transactions. HSBC Bank Malta plc traded at a weekly low €0.98 on Wednesday but managed to recoup the loss, to close unchanged at €1.02. Eight deals involving 10,174 shares were executed.
Mapfre Middlesea plc enjoyed a positive week, as it recorded a 15 per cent rise in price, closing at €2.60 price level. This was the result of four deals involving 8,871 shares.
GO plc ended the week in positive territory as it registered a four per cent change in price. The equity closed at €3.86, as 35,765 shares were spread over 13 deals, worth €129,679. Its subsidiary, BMIT Technologies plc traded once on Monday over slim volume and closed unchanged at €0.48.
RS2 Software plc declined to €2.00 on Friday – translating into a three per cent change in price over the week. A total of 19,900 shares were spread across 13 transactions.
Last Wednesday, International Hotel Investments plc announced the scaling down process of the operations of the Azure Group has run its natural course, and a liquidation process has commenced. The company ensures this is conducted in an orderly manner, and timeshare owners will continue to enjoy the same service and benefits as they have for the past years. Any action taken regarding the curtailment of employees will be made in line with all local regulations.
IHI owns 50 per cent of the Golden Sands Resort and the Azure Group. The remaining half is owned by international investors. The shareholders remain committed to the future of the Golden Sands Resort as a high-end luxury destination. The shareholders also reaffirmed Golden Sands Resort will fully honour all timeshare commitments arising from obligations entered into with existing members.
The equity declined by two per cent as seven deals involving 15,350 shares were executed. IHI closed the week at €0.59.
Medserv plc, headed the list of fallers with a double-digit decline of 10 per cent. Six deals involving 26,550 shares were executed.
Last Monday, Main Street Complex plc announced that following the authorisation by the Minister of Health and Superintendent of Public Health, the shopping mall reopened its doors on May 4, 2020. This resumption of activity was subject to strict adherence of specific measures and procedures. The equity was active but traded unchanged at €0.45. Eight deals involving 99,613 shares were executed.
Plaza Centres plc and Tigne’ Mall plc announced that both shopping malls have resumed business subject to restrictions imposed by the public health authorities. Management ensured all the necessary measures are taken with a view to guarding against the spread of the COVID-19 virus. Plaza Centres plc was active on Thursday as it gained one per cent while Tigne’ Mall plc recorded no trades
Last Friday, Malita Investments plc announced the AGM is tentatively setting July 28, 2020.. The equity traded twice over 3,710 shares, resulting into a 6 per cent increase, to close at €0.90. Similarly, MIDI plc advanced by six per cent to €0.42, as three deals involving 15,300 shares were executed.
Two deals involving 24,850 Malta Properties Company plc shares did not impact the equity’s previous week’s closing price of €0.55. On Monday, Trident Estates plc announced that for the forthcoming 20th Annual General Meeting (AGM), nominations for the election of directors are to be submitted by not later than noon of May 18, 2020. The equity did not register any trading activity during the week.
Simonds Farsons Cisk plc announced that nominations for the election of directors at the forthcoming 73rd AGM, are to be submitted by not later than noon of May 18, 2020. The equity traded flat at €8.30, as 4,119 shares were spread over 10 deals.
Retail conglomerate PG plc recorded a positive two per cent change in price. This was the result of four deals involving 7,725 shares.
Last Thursday, Loqus Holdings plc announced that Loqus UK Ltd, a fully owned subsidiary of the company, has acquired 100 per cent of the issued share capital of Simno Software Services Limited. This is a software company incorporated and registered in England and Wales, with five employees. Loqus UK has a three-year period to pay Simno, out of profits generated by Simno itself. This newly acquired company provides software support services to mainly one large customer, also a customer of Loqus Group. This acquisition is anticipated to find new synergies and efficiencies for Loqus and Simno. The equity registered the best performance, as two deals pushed the price 21 per cent higher.
Last Friday, GlobalCapital plc announced that the board had approved the audited consolidated annual financial statements for the financial year ended December 31, 2019, to be submitted for shareholders’ approval at the forthcoming Annual General Meeting. The group recorded a 75 per cent increase in pre-tax earnings, amounting to €2.1 million for the year. An increase in the fair value gains on investment property was recognised through the income statement, which amounted to €0.5 million compared to an increase of €1.7 million in 2018. The net gain on financial investments recorded in the 2019 income statement amounted to €2.1 million versus the net loss of €2.3 million sustained in 2018.
The group’s assets were up by 11.5 per cent to €153.7 million in 2019 while shareholder funds also increased by 5.8 per cent, versus a 1.3 per cent increase registered in 2018. The net asset value at end of year stood at €19.5 million, translating into a 5.4 per cent increase from the previous year’s figure. Meanwhile, the group’s debt to equity ratio stood at 51.4 per cent.
The directors did not recommend the payment of a dividend for 2019 as the company had no distributable reserves at the end of the reporting period. The equity was not active during the week.
MaltaPost plc was up by 0.83 per cent, as two deals involving 11,066 shares were executed. The equity ended the week at the €1.21 price level.
The MSE MGS Total Return Index declined by one per cent as it reached 1,110.33 points. Last Tuesday, three issues were admitted to the Malta Stock Exchange’s official list, of which trading commenced the following day. These are the 0.30 per cent Malta Government Stock 2024 (IV), 0.40 per cent Malta Government Stock 2026 (II) F.I. May 2020 and the 1.00 per cent Malta Government Stock 2031 (II) F.I. May 2020. Moreover, on Friday, the 0.5 per cent Malta Government Stock 2025 (II) FI November 2019 and the 0.5 per cent Malta Government Stock 2025 (II), have been merged.
In the local sovereign market, out of 17 active issues, three advanced while another 11 closed in the red. The 4.8% MGS 2028 (I) headed the list of gainers as it closed 3.35 per cent higher at €140.50. The 2.4 per cent MGS 2041 (I) traded 6.27 per cent lower, to close at €122.79.
The MSE Corporate Bonds Total Return Index remained relatively flat at 1,059.28 points – 43 issues were active, of which 23 registered gains while another eight lost ground. The best performance was recorded by the 5.1% 6PM Holdings plc Unsecured € 2025 as it closed 5.34 per cent higher at €99.55. Conversely, the 5.3% United Finance Plc Unsecured € Bonds 2023 lost 2.45 per cent, ending the week at €99.50.
In the Prospects MTF market, all six active issues closed unchanged. The 5% JD Capital plc Unsecured € Bonds 2028 was the most liquid with a total weekly turnover of €24,650.
This article, which was compiled by Jesmond Mizzi Financial Advisors Limited, 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 Limited at 67, Level 3, South Street, Valletta, on 2122 4410, or e-mail info@jesmondmizzi.com