MSE Weekly Round-Up Report: 6th â

MSE Weekly Round-Up Report: 6th — 10th August 2007

MSE Index drops 1.2% on share price losses in the banking sector

The Malta Stock Exchange Index (MSE Index) moved 1.2% lower on share price losses registered in three of the nine active equities during the week. The MSE Index thus closed at 4,846.75 points. HSBC Bank Malta, Bank of Valletta and FIMBank ended in negative territory while Grand Harbour Marina and Malta International Airport were the two top performers of the week. A total of 232 deals were executed in the equity market for a total turnover Lm607,309, while 36 transactions were placed in local bonds and government stocks for a value over Lm2.37 million.

HSBC Bank Malta dropped 3.8% on a weekly basis as its shares started being traded ‘ex-div’ this week. Volume traded was high with nearly 90,000 shares changing hands across ninety-seven deals to close at Lm1.91. The weekly high and low prices traded at were Lm1.94 and Lm1.87 respectively.

Bank of Valletta shed 0.3% to close 1c lower at Lm3.59. This was attained on a volume of 33,170 shares which were traded over 38 transactions. FIMBank also closed in the red having dropped 0.5% to US$1.95 as 85,333 shares were transacted across nine transactions.

During the week, Lombard Bank approved and issued the Group and Bank unaudited condensed interim financial statements for the six-month period ended 30th June 2007. Lombard Bank registered a pre-tax profit of Lm2.09 million for the six months, representing an increase of 26% over the same period in 2006. It was also noted that operating income increased by 8.3% (to Lm3.08 million) over the prior year, net interest income increased by 8.8% over the same period last year, while loans and advances to customers were  up 13.3% over 31st December 2006. Notwithstanding this, the equity was not traded during the week.


On the other hand, Grand Harbour Marina was the top equity performer on a week-on-week basis. The equity climbed 3.8% to Lm0.78 however this was attained on a single deal of 7,100 shares. Malta International Airport gained 1.5% to close at Lm1.37 on a volume of 10,700 shares transacted across thirteen deals while Maltacom was also amongst the positive performers on a weekly basis gaining 1.4%. This latter equity closed 2c higher from the previous week at the Lm1.44 level.

In addition, Plaza Centres’ shares were also actively traded during a week in which it issued its half-yearly report for the period ended 30th June 2007. The equity gained 1.5% on a volume of 85,333 shares spread across nine transactions and closes at Lm0.69. As noted in the statements, the company’s turnover stood at Lm339,522 (2006: Lm313,031), operating profit increased to Lm228,388 (2006: Lm204,310) whereas profit before tax amounted to Lm238,917 (2006: Lm211,894).

Moreover, International Hotel Investments shares were up nearly 1% following the EUR0.01 gain to EUR1.04. Nine trades were executed in the equity during the week with a total of 44,500 shares changing hands. A single deal of a mere 500 shares was also executed in Simonds Farsons Cisk at the stable price of Lm1.00.

In the local corporate bonds market, a total of thirty-one transactions were performed across sixteen different bonds for a total turnover of Lm132,336. The most active bond was that of Gasan Finance that pays 6.4%, in which registered a traded value of Lm64,686 was registered causing its price to move up to Lm100.55. With regard to Malta Government stocks, a traded value of over Lm2.23 million was registered across seventeen different stocks. The highest volumes were recorded in the 5.7% MGS 2012 and 7.8% MGS 2018 with the total turnover in these stocks amounting to nearly Lm2 million.

This article which was compiled by Jesmond Mizzi Financial Services Limited (JMFS) does not intend to give investment advice and the contents therein should not be construed as such. JMFS is licensed to conduct investment services by the MFSA. 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 please contact JFMS at 67/3 South Street Valletta or on tel:  21224410 or email [email protected]