MIA shares advance to record high

MSE Trading Report for week ending November 20, 2015

The MSE Index declined by 0.6 per cent thus erasing last week’s 0.2 per cent gain, to end the week at 4,418.733 points. Turnover amounted to €1.7m spread across 15 equities of which seven fell, six gained ground and two closed unchanged.

Malta International Airport plc shares ended the week €0.06 or 1.5 per cent higher as 30 deals of 58,047 shares were struck, closing at a record high of €4.05. In its interim directors’ statement, the company announced that during the period under review its financial position has remained sound with a 7% increase in passenger movements from January to October 2015 over last year. Traffic for the rest of 2015 is expected to be similar or slightly higher than 2014 with forecasts in passenger movements exceeding 4.5m.

FIMBank plc shares headed the list of gainers having advanced by 11.1 per cent across 18 trades of 271,798 shares, closing $0.05 higher at $0.50. Conversely, Bank of Valletta plc shares oscillated between a weekly high of €2.36 and a low of €2.26, to ultimately close the week 4.6 per cent lower at €2.28 as the equity turned ex-dividend.  The banking equity witnessed 61 trades of 180,609 shares. Last Friday, the bank announced that the Board of Directors resolved to appoint Mr. Mario Mallia as Chief Executive Officer with effect from January 1, 2016 succeeding Mr Charles Borg, who will retire from the Bank on the December 31, 2015.

HSBC Bank Malta plc shares more than erased the previous week’s gain having declined by 3.2 per cent over 20 deals of 46,867 shares, closing €0.06 lower at €1.81. For the period July 1, 2015 to date, the bank reported a modest decline in profit before tax compared with the same period in 2014 primarily attributable to higher costs and a lower contribution from the life insurance business. Customer deposits continued to increase and the bank maintains a strong liquidity and capital position.

Meanwhile, Lombard Bank Malta plc shares fell by 5.2 per cent across eight transactions of 25,819 shares, closing €0.12 lower at €2.18. In its interim directors’ statement the bank announced that for the period July 1, 2015 to date the bank continued to experience pressure on its after-tax profits during the first three quarters of 2015. Core business remained healthy with some areas showing noticeable improvement. The Bank’s Liquidity and Capital Ratios remained well in excess of regulatory thresholds during the period while its subsidiary MaltaPost plc (MaltaPost) reported an improved performance.

Meanwhile, MaltaPost shares traded flat at €1.99 as three deals of 4,706 shares were struck. Tigne Mall plc shares were the other non-movers for the week having traded flat at €0.96 over a sole transaction of a mere 416 shares.

RS2 Software plc shares extended their recent gains by a further 5.7 per cent as 179,308 shares changed ownership over 62 deals. The I.T. operator’s shares swayed between a record high of €3 and a weekly low of €2.819, to eventually close at €2.98.

In the same sector, 6PM Holdings plc shares advanced by 4.6 per cent over six deals of 16,797 shares, closing £0.03 higher at £0.68. In its interim directors’ statement the company announced that the Group has continued to experience growth in both revenue and profits in line with expectations.

On a negative note, MIDI plc shares declined by 8.6 per cent as five deals of 35,000 shares were negotiated, to close at €0.32. The company announced that for the period July 1, 2015 to date, no material events have taken place. During this period, the company entered into definitive deeds of transfer pertaining to Q1 apartments – profits from these sales will be registered in the company’s 2015 financial statements which according to the company’s projections should result in the company registering a profit for the 2015 financial year.

GO plc shares registered a 1.6 per cent fall as 17,097 shares changed hands, to close at €3.10. Similarly, Medserv plc inched 0.5 per cent lower over 17 trades of 45,330 shares, closing at €2.14. In its interim directors’ statement the company announced that the second half of the year has seen a continued expansion of business across the whole spectrum of operations as results for the third quarter of the year have exceeded budget.

International Hotel Investments plc shares recouped by 4.8 per cent as 17 trades of 75,564 shares were struck, closing at €0.849.

Conversely, Mapfre Middlesea plc shares eased 0.4 per cent as seven trades of 14,602 shares were executed, closing at €2.29.

Malita Investments plc shares edged 2.2 per cent higher over six deals of 20,000 shares, closing at €0.93. In its interim directors’ statement, the company announced that the performance of the Company was within that projected for the period January 1 to date and subject to any unforeseen circumstances, the Directors expect the Company’s financial performance for the financial year ending December 31 2015 to be within the company’s projections.

In its interim directors’ statement, GlobalCapital plc announced that the company’s transformation strategy aimed at generating revenue growth, reducing operational costs and ensuring long-term financial stability is generating the desired result for the Group. The business registered by the Company’s life insurance subsidiary registered growth during the first nine months of 2015 when compared to the same period in 2014. The investment company registered a decrease in its fees, which was more than offset by the reduction in the company’s cost base. The equity was not active this week.

In the corporate bond market 33 bonds were active of which 13 gained ground, nine fell and 11 closed unchanged. Turnover totalled €799,198. The 6.2% Tumas Investments plc € 2017 – 2020 headed the list of fallers having declined by 2.7 per cent, to close at €106.01.

Meanwhile, in the sovereign debt market turnover amounted to €8.7m. A total of 24 issues were active of which five declined and 19 advanced. The 4.3% MGS 2033 (I) headed the list of gainers having appreciated by 2.9 per cent, to close at €131.74. Meanwhile, the 2.3% MGS 2029 (II) FI Oct 15 r witnessed the highest turnover of €3.9m.