The MSE Equity Total Return Index declined by a further 1.4%, as it closed at 7,860.835 points. A total of 18 equities were active, two of which gained ground, while another 13 closed in negative territory.
A total weekly turnover of nearly €0.6 million was generated across 135 transactions.
The local equities’ index shed 4.8% this month with the year-to-date decline standing at 7.2%. During February, nearly all active equities declined with HSBC Bank Malta plc (HSBC) being the only large cap which finished the month higher.
The banking equity closed February with a 3.6% gain.
Last Tuesday, the board of HSBC approved the annual report and accounts as of December 31, 2020. Reported profit before tax was €10.4 million, which translates into a decrease of €20.3 million when compared to the prior year.
The bank continues to have a strong capital base and is fully compliant with the regulatory capital requirements.
The board recommended a dividend pay-out ratio of 15% on the cumulated 2019 and 2020 reported profits for entities in scope of the Capital Requirements Regulation and after deducting any dividend paid in relation to the same period, is equivalent to €2.7 million. This proposal is in line with the recommendation of the European Central Bank.
The final gross dividend will be €0.0116 per share and will be paid on April 26 to shareholders who are on the bank’s register of shareholders as at March 23, 2021.
HSBC shares closed the week at the €0.86 price level.
Bank of Valletta plc started off the week on a positive note but did not manage to sustain the gain as it closed 1.5% lower at €0.902.
This was the result of 30 deals involving 86,906 shares.
A sole deal of 2,514 Lombard Bank Malta plc shares did not impact the equity’s previous week’s closing price of €2.00.
On Wednesday, Malta International Airport plc (MIA) approved the financial statements for the year ended December 31, 2020.
MIA’s passenger traffic for 2020 suffered a drop of 76.1%, which led to the worst traffic result since the airport’s privatisation in 2002.
MIA reported a €68 million (-67.9%) decrease in total revenue when compared to 2019, with revenue from the Company’s aviation segment registering a drop of 74.8% and revenue from the non-aviation segment, which includes rents, parking, and VIP products, dropping 51.4%.
In contrast with 2019, when MIA closed the year with profit before tax of €52.6 million, during 2020 a loss before tax of €5.8 million was recorded at group level.
The board announced that the 29th Annual General Meeting will be held on May 5.
This week, the equity registered the highest liquidity, as total turnover stood at €118,832. The share price declined by 0.8% to €6.00, as 26 deals involving 19,777 shares were executed.
In the property sector, Malta Properties Company plc’s (MPC) board approved the annual report and consolidated financial statements for the year ended December 31, 2020.
These shall be submitted for approval of the shareholders at the AGM on July 15.
During 2020 MPC saw a marginal growth in revenue to €3.4 million. This growth was generated through rental increases in line with inflations and new income, starting in September 2020 from Swatar’s new property.
The board resolved to recommend that the AGM approves the payment of a final dividend of €0.012 net of taxation per share. The payment of this net dividend amounts to the sum of €1,215,726.
18 equities active, two of which gained ground
The equity traded twice over 25,833 shares, dragging the price 3.6% lower to €0.54.
Last Wednesday, Malita Investments plc announced that the board is scheduled to meet on March 11 to consider and, if deemed appropriate, approve the financial statements for the year ended December 31, 2020.
Four deals resulted into a negative 1.1% movement in price, to close at 0.89.
MIDI plc was down by 0.5%, as 53,500 shares changed hands across seven transactions.
GO plc, traded at a 12-week-low of €3.20 but closed at €3.24 – equivalent to a 2.4% weekly decline. Nine deals involving 23,200 shares were executed.
Its subsidiary, BMIT Technologies plc closed 1.2% lower, as 30,692 shares changed hands over five deals. The equity ended the week at €0.48.
Last Monday, RS2 Software plc (RS2) announced that the Listing Authority has granted regulatory approval in respect of an offer of up to 28,571,400 preference shares in RS2, having a nominal value of €0.06 per preference share at an offer price of €1.75.
The equity reached a low of €1.76 and an intra-week high price of €1.93 and closed flat at €1.80. Nineteen deals involving 54,608 shares were executed.
Meanwhile,, International Hotel Investments plc announced that it has completed the acquisition of the remaining 50% of the issued share capital of Golden Sands Resort Limited, pursuant to the acquisition of Bezemer Limited, a third-party foreign-owned company incorporated in the British Virgin Islands.
Two deals involving 3,500 shares dragged the price to a three-month-low of €0.60.
Simonds Farsons Cisk plc was down by 2.5%, as 1,310 shares were spread across three transactions. The equity closed €0.20 lower at €7.70.
Retail conglomerate PG plc enjoyed a positive week, as it reached €2.04 – translating into a 2% increase.
Five deals involving 5,050 shares were executed.
The best performance for the week was recorded by Medserv plc with an 8.6% movement in price. A total of 33,812 shares were spread over five deals, pushing the price up to €0.63.
MaltaPost plc traded five times over 18,770 shares. The equity closed 1.7% lower at €1.16.
Three deals involving 3,500 Mapfre Middlesea plc shares did not alter the equity’s previous week’s closing price of €2.24. A sole deal of 6,300 Plaza Centres plc shares dragged the price 1.1% lower to €0.91.
Last Wednesday, the directors of Loqus Holdings plc approved the half-yearly report for the six months ended December 31, 2020.
A profit before tax of €640,130 was recorded. Meanwhile, a 42% increase in revenue was generated, as it stood at €3.7 million.
The group is expecting figures for the financial year July 1, 2020 to June 30, 2021, to be significantly better than the results of the previous financial period. The increase in the second half of the current period is expected to be significantly less than the increase in the first half of this period.
The equity headed the list of fallers, as it dropped by 47.4% to €0.05. This was the result of 11,000 shares spread across two transactions.
The MSE MGS Total Return Index declined 0.8%, as it reached 1,124.68 points. A total of 20 issues were active, four of which headed north.
The 4.1% MGS 2034 (I) was the best performer, as it closed 0.7% higher at €144.00. On the other hand, the 2.4% MGS 2041 (I) closed 4.1% lower at €129.00.
The MSE Corporate Bonds Total Return Index advanced by another 0.1%, as it ended the week at 1,101.86 points.
The 5.8% International Hotel Investments plc 2021 headed the list of gainers, as it closed 2% higher at €100.99. The 4.25% GAP Group plc Secured € 2023 traded 2.9% lower at €100.01.
In the Prospects MTF market, five issues were active. The 5% Luxury Living Finance plc € Secured Bonds 2028 was the most active, as it generated a weekly turnover of €9,900.
This article, 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 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, tel: 2122 4410, or email info@jesmondmizzi.com.