MSE Trading Report for Week ending 03 July 2020

MSE Equity Total Return Index:

Chart of the Week: International Hotel Investments plc

Highlights:
  • The MSE Equity Total Return Index returned to negative territory, as it registered a 0.6% decline during this four-day trading week, reaching 8,267.49 points. A total of 14 equities were active, of which four traded higher while another seven closed in the red. A total turnover of €0.2 million, down from €0.7m a week ago, was generated across 69 transactions.
  • Last Friday, International Hotel Investments plc approved the financial statements for the year ended December 31, 2019.
    • The company has recorded a profit after tax of €5.1 million, translating into a 39.5% decline from the previous year’s figure. Earnings per share decreased by 0.007 cents as they amounted to 0.011 in 2019.
    • Adjusted EBITDA has grown to €60.3 million in 2019, almost double the €33 million in 2014. This is the result of higher revenues in hotels, better containment of costs and improved conversions to operating profits, apart from further acquisitions and investment in new businesses. Revenues increased to €268 million, an improvement of €12 million relative to the previous year mostly due to an increase in revenues in consequence of continued performance improvements in most of the operations in the group. Once again, the group reported a positive working capital of €16.8 million, which is a further improvement of €6.9 million compared to the figure of €9.9 million reported in 2018. This additional improvement is a consequence of a further increase of €22.5 million in cash and cash balances, which was partly offset by a reduction in trade receivables of €9.8 million and a combined increase of €8.2 million in trade payables and current portion of bank borrowings.
    • The company entered into arrangements with a third party investor to develop and eventually lease a prime property in Rome. The property is the former headquarters of the Bank of Italy and will be transformed into a luxury Corinthia Hotel. Moreover, Development work on the Corinthia Hotels in Bucharest, Brussels and Dubai has proceeded in 2019, and works on site in Moscow, Rome, and Doha have commenced in 2020.
    • The equity declined by 2.5% to €0.58, as 11,627 shares were spread across four transactions.
  • Bank of Valletta plc was the most liquid with a total turnover of €93,187. The equity reached €1.015 on Thursday but did not manage to sustain the gain, as it closed in the red at €1.00. This translates into a 1% fall in price, as 92,373 shares were traded across 17 transactions.
  • On Wednesday, Malta opened its ports and started welcoming tourists once again. Malta International Airport plc was trading flat until a sole deal during the final session of the week dragged the price 1% lower, closing the week at the €5.75 price level. A total of 5,763 shares were executed over 13 deals.
  • On Thursday, GO plc announced its agenda for the 22nd Annual General Meeting to be held on July 28, 2020.
    • The annual report and financial statements for the year ended December 31, 2019 shall be approved. The board shall also approve the payment of a net dividend of €0.10 per share to all shareholders on the register as at April 30, 2020. The payment of this net dividend amounts to the sum of €10.1 million.
    • On Friday, the company announced that the Cablenet Board has authorised the submission of an application for authorisation for admissibility to listing to the Listing Authority requesting the approval of a prospectus in relation to the proposed public issue of the bonds in Malta of 4% unsecured bonds with an aggregate principal amount of up to €40,000,000. Application will be made, in respect of the bonds, to the Malta Stock Exchange for their admittance to the Official List and for trading to commence thereafter.
    • The equity was only active on Tuesday, as two deals pushed the price 5.4% higher to €3.50.
  • On Thursday BMIT Technologies plc announced the resolutions presented for consideration at the second Annual General Meeting which is scheduled to be held on July 27, 2020. The annual report and financial statements for the year ended December 31, 2019 shall be approved. The board shall also approve the payment of a net dividend of €0.02157 per share to all shareholders on the register as at April 29, 2020. The payment of this net dividend amounts to the sum of €4.39 million. Two deals involving 26,000 BMIT shares resulted into a 2% decline, closing the week at €0.48.
  • On Friday, PG plc announced that it shall be meeting on July 9, 2020, to consider and, if deemed fit, approve, the distribution of an interim dividend for the financial year ended April 30, 2020. The equity registered a 1% fall in price as it closed the week at €1.95. Three deals involving 2,700 shares were executed. On a year-to-date basis, the equity is up by 6%.
  • Mapfre Middlesea plc reached a one-year low price as it closed down by 9% at €2.00. This was the result of a sole deal of 677 shares on Thursday.
  • On the flip side, Medserv plc topped the list of gainers as it closed €0.69 – the highest price on the month. Three deals involving 6,050 shares pushed the share price 15% higher.
  • On Tuesday, Malta Properties Company plc announced that Annual General Meeting is scheduled to be held on July 29, 2020 to consider and, if deemed fit, approve the annual report and financial statements for the year ended December 31, 2019. Moreover, the payments of a net dividend of €0.01 per share shall be approved for all shareholders listed on the register as at April 28, 2020. The payment of this net dividend amounts to the sum of €1,013,105. Two deals on slim volume pushed the equity’s price up by 4%, to finish the week at the €0.595 price level.
  • Last Friday, Harvest Technology plc announced that the forthcoming Annual General Meeting will be held on July 30, 2020. No trading activity was recorded during the week.
  • On Friday, Plaza Centres plc announced that due to the current extraordinary circumstances, and in the interest of shareholders it has decided to proceed with the payment of a net dividend of €320,000 or €0.0113 per share. The dividend will be paid on August 4, 2020 to those shareholders included in the shareholders register as at June 26, 2020. This decision will then be submitted for the confirmation of the shareholders at the Annual General Meeting that will be held when circumstances allow.
  • The MSE MGS Total Return Index lost 0.2% as it reached 1,107.78 points. Out of 15 active issues, three headed north while another eight closed in the opposite direction. The 3% MGS 2040 (I) headed the list of gainers with a 3% change in price, to close at €142.00. On the other hand, the 2.4% MGS 2041 (I) lost 3.1%, ending the week at €125.00.
  • Similarly, the MSE Corporate Bonds Total Return Index closed the week 0.5% lower at 1,080.48 points. A total of 41 issues were active, of which 13 registered gains while another 18 lost ground. The best performer was the 5% Tumas Investments plc Unsecured € 2024 as it closed 3.7% higher at €103.70. Conversely, the 3.85% Hili Finance plc Unsecured Bonds 2028 declined by 2.5%, to end the week at €97.50.
  • In the Prospects MTF market, five issues were active. The 5% The Convenience Shop Holding plc Unsecured Callable € 2026-2029 was the most liquid, as total turnover amounted to €15,050.

 

Upcoming Events
Best Performers:
1. MDS+15.00%
27 JUL 2020MT:  BMIT Technologies plc – Annual General Meeting2. GO+5.42%
28 JUL 2020MT: Malita Investments plc – Annual General Meeting3. MPC+4.39%
28 JUL 2020MT: Plaza plc – Annual General Meeting
28 JUL 2020MT: GO plc – Annual General MeetingWorst Performers:
29 JUL 2020MT: MaIta International Airport plc – Annual General Meeting1. MMS-9.09%
2. IHI-2.52%
3. SFC-2.44%

 

Price (€): 03.07.2020Price (€): 26.06.2020Weekly Change (%)2020 Performance (%)
MSE Equity Total Return Index8,267.490 8,318.320-0.611-14.021
BMIT Technologies plc0.4800.490-2.04-7.69
Bank of Valletta plc1.0001.010-0.99-5.66
FIMBank plc (USD)0.4200.4200.00-30.00
GlobalCapital plc0.3300.3300.0017.86
Grand Harbour Marina plc0.7200.7200.0030.91
GO plc3.5003.3205.42-17.84
Harvest Technology plc1.4901.4900.00 -0.67
HSBC Bank Malta plc0.9600.9600.00-26.15
International Hotel Investments plc0.5800.595-2.52-30.12
Lombard Bank plc2.1002.1000.00-7.89
Loqus Holdings plc0.0970.0970.0050.39
MIDI plc0.3860.3704.32-28.52
Medserv plc0.6900.60015.00-37.27
Malta International Airport plc5.7505.800-0.86-16.67
Malita Investments plc0.9100.9100.001.11
Mapfre Middlesea plc2.0002.200-9.09-7.41
Malta Properties Company plc0.5950.5704.39-5.56
Main Street Complex plc0.5700.5700.00-5.00
MaltaPost plc1.1801.1800.00-9.92
PG plc1.9501.970-1.025.98
Plaza Centres plc1.0301.0300.001.98
RS2 Software plc2.4002.4000.0012.15
Simonds Farsons Cisk plc8.0008.200-2.44-30.43
Santumas Shareholdings plc1.4901.4900.005.67
Tigné Mall plc0.8500.8500.00-5.56
Trident Estates plc1.5401.5400.00-0.65

 

 

* Trading commenced on January 7, 2020.

This article, which was 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 a member of the Atlas Group. For further information contact Jesmond Mizzi Financial Advisors Limited at 67, Level 3, South Street, Valletta, or on Tel: 21224410, or email [email protected].