The MSE Equity Total Return Index returned to positive territory, as it closed 1.7% higher at 8,309.976 points. A total of 13 issues were active, seven of which headed north while another five closed in the opposite direction.
RS2 Software plc (RS2) shares headed the list of gains with a double-digit gain, while hotels operator International Hotel Investments plc (IHI) also played its part in this week’s gain. Total weekly turnover amounted to €0.4m, generated across 145 transactions.
RS2 shares gained 13.3% to end the week at €2.04, following a company announcement on Tuesday. During the week, the equity also reached a six-month high of €2.12 and a low of €1.82. A total of 29,053 shares changed hands across 13 transactions worth €55,625.
Similarly, but to a lesser extent, the preference shares of RS2 were up by 3.9% to €1.85. Four deals involving 12,000 shares were executed.
In the hospitality sector, IHI shares jumped by 7.4% to end the week at €0.65. A total of 23,722 shares were spread across four transactions. Last Thursday, the company announced that the Annual General Meeting shall be held on June 10, 2021.
Meanwhile, Malta International Airport plc (MIA) was the most liquid equity, as it generated a total turnover of €0.1m – translating into a quarter of total turnover registered across all active equities. MIA reached €6.50 last Thursday but closed the week flat at €6.40. This was the result of 17 deals involving 15,607 shares.
Last Tuesday, MIA disclosed the financial performance of the Group for the first quarter of the year. As travel bans and restrictions, both locally and in-source markets remained in place or were introduced throughout the first quarter of 2021, passenger traffic through MIA registered a drop of 90.2% over the same period in 2020.
This drastic decline in passenger traffic impacted the Group’s total revenue for the first three months of the year, which decreased from €12.8m in Q1 2020 to €5.1m in Q1 2021, representing a drop of 60.4%.
The second most liquid equity was HSBC Bank Malta plc, as it recorded a total turnover of €88,102. The equity reached a low of €0.79 during the week but managed to recover, as it closed 2.4% higher at €0.84. A total of 108,844 shares changed ownership across 30 transactions.
HSBC Bank Malta plc announced that it had a good start to the year mainly driven by positive market movements in the insurance business and lower expected credit losses when compared to Q1 2020.
Reported profit before tax for Q1 2021 amounted to €9.9m, which represents an increase of €16.8m compared to the loss incurred in the same period last year of €6.9m. Revenues were €12m higher when compared to Q1 2020.
The increase in revenue is attributable to positive market impacts in the insurance manufacturing business resulting in higher insurance revenues of €13.8m.
Malta International Airport the most liquid equity, as it generates a total turnover of €0.1m
The bank’s liquidity position remained strong and regulatory capital ratios continued to exceed regulatory capital requirements.
Last Thursday, Bank of Valletta plc held its 47th Annual General Meeting whereby all resolutions on the agenda were approved. The profit and loss account and balance sheet for the financial year from January 1, 2020 to December 31, 2020 and the directors’ and auditors’ reports thereon were approved.
The banking equity ended the week in the red at €0.89, equivalent to a 2.7% change in price. This was the outcome of 11 deals involving 25,855 shares.
Yesterday, Lombard Bank Malta plc (Lombard) announced that it obtained regulatory approval for the proposed final dividend and proposed bonus share issue. With respect to the proposed bonus share issue, the Listing Authority has also approved the Bank’s application for admissibility to listing of 589,039 ordinary shares of a nominal value of €0.25 per share.
The proposed final dividend and proposed bonus share issue are being put before the forthcoming Annual General Meeting to be held on May 28, 2021 for approval by the Bank’s shareholders.
Three deals involving 1,750 Lombard shares were executed, as a last-minute trade yesterday pushed the price to €2.22. As a result, the equity ended the week 11% higher.
Telecommunications company GO plc lost 1.7%, as 3,797 shares changed ownership across 35 transactions. The equity started off the week on a positive note, as it reached €3.68 but ended the week lower at €3.50.
Its subsidiary, BMIT Technologies plc traded 2% lower at €0.50, as 12 deals involving 75,200 shares were executed.
Moving on to the property sector, only two equities were active. Malta Properties Company plc announced that the forthcoming Annual General Meeting will be held on July 15, 2021. Six deals involving 16,882 shares pushed the price 1.8% higher to €0.555.
Trident Estates plc recorded the largest decline in price of 5.6%, as it closed at €1.51. A total of 11,850 shares changed hands over four deals.
Two deals involving 5,000 Main Street Complex plc shares dragged the price by 2% into the red. The equity ended the week at the €0.488 price level.
Harvest Technology plc was up by 1.3%, as 29,580 shares changed ownership across four transactions.
Last Wednesday, MaltaPost plc published the unaudited condensed consolidated interim financial statements for the six-month period ended March 31, 2021. The Group registered a profit before tax of €1.4m, versus €1.41m recorded in the same period of 2020.
Similarly, total revenue increased by 17.6% to €20.2m. Total expenditure rose to €19m from €15.9m, because of higher cross-border conveyance costs and losses associated with certain areas of the Universal Service Obligation (USO).
The outlook for the second half of the financial year remains challenging and difficult to forecast due to the pandemic-related uncertainties.
No trading activity was recorded during the week.
LifeStar Holding plc announced that it is extending the offer period of the Share Offer and the Bond Issue until May 28, 2021, and the offer period of the Exchange Offer until May 25, 2021.
No trading activity was recorded during the week.
The MSE MGS Total Return Index advanced by 0.2%, as it reached 1,118.88 points. Out of 21 active issues, six advanced while another 12 closed in the red. The 2.1% MGS 2039 (I) headed the list of gainers, as it closed at €129.00 – equivalent to a 5.7% change. Conversely, the 4.8% MGS 2028 (I) closed 1.5% lower at €132.47.
The MSE Corporate Bonds Total Return Index registered a 0.5% decline, as it closed at 1,117.32 points. A total of 52 issues were active, 19 of which traded higher while another 23 lost ground. The 4% SP Finance plc Secured 2029 was the best performer, as it closed 3.5% higher at €105.00. On the other hand, the 4% Merkanti Holding plc Secured € 2026 ended the week 2.9% lower at €100.01.
In the Prospects MTF market, four issues were active. The 5% Busy Bee Finance plc Unsecured € 2029 generated a total turnover of €5,050.
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.