MSE trading report for week ended August 2, 2024

MSE Index gains for second week running

Movements in equity and bond indices

The MSE Equity Total Return Index advanced further by 3.1%, closing at 8,443.871 points. Out of 29 active equities, 13 headed north, while another 10 closed in the opposite direction. Total weekly turnover jumped to €5.6m from €3.1m in the previous week, generated across 347 transactions.

The MSE Corporate Bonds Total Return Index headed south, declining by 0.5%, as it closed at 1,179.559 points. A total of 54 issues were active, as 15 advanced while another 24 closed in the red. The 5.85% Mediterranean Investments Holding plc Unsecured € 2028 headed the list of gainers with a 3% increase, as it closed at €104. Meanwhile, the 4.25% Mercury Projects Finance plc Secured € 2031 lost 3.2%, ending the week at €97.01.

The MSE MGS Total Return Index recorded a positive 0.8%, as it reached 925.77 points. Out of 23 active issues, 19 headed north, while another one closed in the opposite direction. The top performer was the 2.2% MGS 2035, as it closed 3.1% higher at €89. On the other hand, the 2.9% MGS 2032 lost 0.5%, to close at €96.50.

Top 10 market movements

An increase of 11.5% in the share price of Bank of Valletta plc had a significant impact on the MSE’s positive performance. The equity ended the week at €1.65, and since January, the bank’s share price is up by 16.2%. A total of 673,536 shares exchanged hands across 99 deals, resulting in a turnover of just above €1m.

HSBC Bank Malta plc shares closed 7.6% higher at €1.70. A total turnover of €272,468 was generated as a result of 42 deals. From a year-to-date perspective, the equity is the best performer with a 32.8% gain.

Lombard Bank Malta plc recovered the previous week’s decline, gaining 5.3% and closing at a weekly high of €0.79. This was the result of two deals, involving just 2,294 shares.

APS Bank plc saw its share price fall for a third consecutive week, declining by 5.5% to close at €0.482. The banking equity traded at a weekly high of €0.55 and a low of €0.48. A total of 42 trades involving 244,242 shares worth €119,800 were executed.

Mapfre Middlesea plc achieved an 8.1% increase in its share price, closing at €1.33. A total of 11 trades of 102,016 shares generated a turnover of €124,915.

LifeStar Insurance plc experienced a double-digit increase of 22.5% to close at a weekly high of €0.49. Two deals worth €2,072 were recorded.

PG plc’s share price continued its downward trend, dropping by 7.2%. The equity ended the week at a low of €1.80, with nine transactions generating a turnover of €136,119.

Malta International Airport plc recorded a 2.6% rise in its share price, closing at €5.85. The equity traded between a high of €5.95 and a low of €5.65. A total of 31 deals worth €278,889 were executed.

MedservRegis plc experienced a sharp decline of 22.4% to close at €0.45. This was the outcome of one deal involving 2,212 shares.

Tigne Mall plc posted gains, with its share price climbing an additional 5.3%, to an all-time high of €1. The equity was the most traded equity as 3.3m shares exchange hands across nine transactions.

Company announcements

The board of Bank of Valletta plc approved the group’s and bank’s half-yearly financial statements for the six-month period ending June 30. The group’s profit for the period was €97.6m, higher by €28.6m when compared to the first half of 2023. The rise in profitability during the first half of 2024 was primarily driven by strong growth in interest

income, along with contributions from net fee and commission streams. This was supported by ongoing efforts to enhance cost-effectiveness and efficiency.

The bank also announced that it intends to establish a Euro Medium Term Note (EMTN) programme of up to €250m, pursuant to which it shall issue notes to the public in Malta and shall apply for the same notes to be admitted to the official list of the MSE. The aim of this programme is to enhance the bank’s capital base in satisfaction of its MREL requirements to support the bank’s growth.

The board of HSBC Bank Malta plc approved the interim condensed consolidated financial statements for both the group and the bank for the six-month period ended June 30. Profit after tax increased by €12.2m to €50.7m at group level and increased by €10.6m to €48.2m at bank level. The increase was mainly driven by an increase in revenue due to the higher interest rate environment and higher credit recovery, which was partially offset by higher costs as the bank continued to invest. The directors are recommending a gross interim dividend of €0.10 per share.

The board of Malta International Airport plc approved the group’s financial statements for the six-month period ending June 30. Profit for the period increased by €4.6m to €22.1m. This growth was driven by a strong performance in the first half of the year, which saw traffic volumes climb 18.4% over 2023’s record numbers to 4.1m passenger movements. The board approved an interim net dividend of €0.06 per share.

Mapfre Middlesea plc announced that the board approved the unauditied financial statements for the six-month period ending June 30. Profits at group level increased by 27% to €8.8m for the same period last year.

LifeStar Insurance plc and LifeStar Holding plc announced that the AGM of the company was held on July 31. All resolutions which were presented for the consideration of the shareholders were approved.

The board of Harvest Technology plc announced that the AGM of the company was held on Monday and that all the resolutions put forward were approved. Shareholders approved a net final dividend amounting to €113,906 or €0.005 per share.

The board of directors of Plaza Centres plc approved its interim financial statements for the six months ended June 30. During the first six months of the year, the group generated a profit after tax of €0.58m, which increased by 3.6% when compared to the first half of 2023. The directors have also resolved to declare an interim net dividend to shareholders of €250,000 equivalent to €0.0098 per share.

The board of Tigne Mall plc considered and approved the unaudited interim financial statements of the company for the six-month period ended June 30. Profit after tax for the period decreased slightly by €124,000 when compared to the same period in 2023, totalling €1.8m. The directors approved the payment of a net interim dividend of €815,000, equivalent to a net interim dividend of €0.01445 per ordinary share.

VBL plc announced that the company held its AGM and all ordinary and extraordinary resolutions proposed were approved.

Grand Harbour Marina plc announced the long-term licensing of a super-yacht berth with a net value of €2.2m. This licence, on a new agreement for a different term, follows the agreed early termination of the same super-yacht berth by its former licensee against which the company paid a settlement amount. This transaction is expected to have a positive effect on both profit and cash flow for the company.

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 e-mail info@jesmondmizzi.com.