MSE Index turns negative

MSE Trading Report for week ending April 25, 2014

The Malta Stock Exchange (MSE) Index registered a decline throughout this four day trading week, to finally close 0.92 per cent lower at 3,493.849 points. Activity was spread across 16 issues of which gainers and losers tallied at five while six closed unchanged. FIMBank plc shares locked the best performance, while Santumas Shareholdings plc (Santumas) shares headed the list of fallers.

Bank of Valletta plc (BOV) shares succumbed to selling pressure as investors awaited the bank’s interim results. A significant three per cent drop was recorded as 26 deals of 55,261 shares were struck, closing €0.07 lower at €2.30.After close of trading on Friday, the bank announced its interim unaudited financial statements for the six months ended March 31, 2014. The Group registered a profit before tax of €50.72 million, compared to €64.56 million registered in the same period of 2013. It was further reported that the board declared an interim dividend of €0.0425 gross per share (€0.0277 net of tax), which will be paid on May 23, 2014 to members appearing on the bank’s register of members as at close of business on May 8, 2014.

Conversely, FIMBank plc shares appreciated by 3.9 per cent as five deals of 5,200 shares were negotiated, to close at $0.765 as the share price adjusted to reflect the recent bonus issue of one share for every ten held. HSBC Bank Malta plc shares edged 0.4 per cent higher – after adjusting for the one for every nine bonus share issue. The banking equity witnessed the highest turnover for the week of 64,698 shares, closing at €2.15. Meanwhile, Lombard Bank Malta plc shares traded flat at €1.68 across three deals of 4,080 shares. All ordinary resolutions on the agenda were approved at the bank’s Annual General Meeting (AGM), held on Thursday.

Malta International Airport plc shares closed 3 per cent lower at €2.24 as two deals of 5,100 shares took place. The equity traded last Tuesday for the first time since turning ex-dividend on April 16, 2014.

On a positive note, Middlesea Insurance plc shares rallied by €0.03 or 3.3 per cent over four transactions of 4,020 shares, to close at €0.94.

Meanwhile, 6pm Holdings plc increased by a minimal 0.7 per cent as 1,357 shares changed hands on two trades, to close at £0.755.

RS2 Software plc shares fell by a slight 0.4 per cent over 15 deals of 37,242 shares, closing at €2.41. On Tuesday, the Board of Directors of the company approved the financial statements for the financial year ended December 31, 2013 for approval by the shareholders at the AGM scheduled on June 11, 2014. The group registered a profit before tax of €4.26 million, compared to €3.15 million registered in 2012. The company reported that revenue for the period increased by 33 per cent to €14.13 million. The Board resolved to recommend the payment of a final net dividend of €0.0235 per share. This dividend, if approved by the AGM, will be paid on June 12, 2014 to shareholders that appear on the shareholders’ register as at close of business on May 12, 2014. Furthermore, a bonus issue of one share for every 17 shares held by shareholders on the company’s share register at close of business on May 12, 2014 will also be recommended for approval at the AGM. This will be capitalised from the share premium reserve of the company, amounting to €0.5 million.

International Hotels Investments plc shares gained 1.2 per cent as 6,044 shares changed ownership, closing at €0.84. The Board of Directors of the company approved the financial statements for the year ended December 31, 2013. The company registered a loss before tax of €4.03million, compared to a loss of €11.04 million in 2012, a profit after tax of €266,000, compared to a €10.43 million loss registered in 2012. Revenue for the period amounted to €123.73 million, a rise of 4.4 per cent from 2012.

On the other hand, the share price of Santumas sagged by 9.1 per cent on a single transaction of 4,425 shares on Tuesday, to close €0.20 lower at €2.00. On the same trading day, GO plc shares decreased by a minimal 0.1 per cent over a single trade of 500 shares to close at €1.999.

Simonds Farsons Cisk plc shares traded unchanged at €3.00 across one transaction of 300 shares. The company’s AGM is scheduled for June 18, 2014. Similarly, Malita Investments plc shares traded flat at €0.54 over three deals of 4,000 shares.

The other non-movers for the week were Grand Harbour Marina plc, MaltaPost plc and Island Hotels Group Holdings plc shares as they closed the week at €1.82, €1.02 and €0.85 respectively.

In the corporate bond market turnover amounted to €224,307 spread across 16 issues of which six gained ground, six dipped in value while four closed unchanged. The 4.6% HSBC Bank Malta plc € 2017 was the best performing bond for the week as it appreciated by 1.4 per cent. Meanwhile, in the sovereign debt market 19 issues were active, of which seven decreased, eleven edged higher and one closed unchanged. Turnover totalled just under €27 million. The most liquid issue was the 5% MGS 2021 (I) as it witnessed a turnover worth €12.9m.