Upbeat financial statements push MSE Index higher

The Malta Stock Exchange (MSE) Index extended its previous months’ gains as it increased by a further 1.1 per cent, to close at 3,359.79 points. Twenty equities were active during the month in which gainers and losers tallied at ten. On the positive side, 6PM Holdings plc and RS2 Software plc headed the list of winners, while Island Hotels Group plc and MIDI plc were amongst the worst performers.

From the banking industry, Bank of Valletta plc (BOV) was the main contributor to this month’s increase as it advanced by 2.2 per cent over the highest turnover for the month of 826,360 shares, to close just below its monthly high of €2.30, at €2.299. The bank announced that the Board of Directors approved the group and bank unaudited financial statements for the six months ended March 31, 2013. The group registered a profit before tax of over €64.5m, compared to €49m registered in 2012. Net interest income for the period under review amounted to more than €66.1, a decline of 14.4 per cent from 2012. Earnings per share have increased to €0.148. The Board of Directors declared an interim dividend of €0.039 net per share. This will be paid on May 24, 2013 to those members appearing on the bank’s register of members as at close of business on May 9, 2013.

Similarly, FIMBank plc fully recouped last month’s losses as it appreciated by one per cent across ten deals of 143,386 shares, closing at $1.00. The Bank announced that its Annual General Meeting (AGM) will be held on May 2, 2013 to approve the audited accounts for the financial year ended December 31, 2012 and the payment of a net dividend of $0.037 per share.

Conversely, both HSBC Bank Malta plc (HSBC) and Lombard Bank Malta plc declined by 2.4 per cent and 2.5 per cent respectively. The former swayed from a monthly low of €2.60 and a high of €2.74, to close at €2.67, while the latter closed at €1.95 as 19 trades of 78,641 shares were executed.

The I.T. sector proved to be the main headliner for the month of April as RS2 Software plc rallied by 11 per cent. The equity was the second most liquid both in terms of value and volume. A total 663,000 shares were dealt over 55 deals worth €0.6m as the equity finished the month at €1.02. Early in the month, the company announced that its fully-owned subsidiary, RS2 Smart Processing Ltd, has concluded a major contract with one of the largest payment processors in Europe on March, 2013. RS2 Smart Processing Ltd will be supporting this company for it operations in Europe, North America, Latin America and Asia Pacific.

In addition, RS2 Software plc announced that it concluded another licence agreement of $1.8m with a North American client at the end of 2012. Later on in April, the Board of Directors approved the financial statements for the financial year ended December 31, 2012. These statements are to be submitted for the approval of the shareholders at the forthcoming AGM on June 12, 2013. The Group registered a profit before tax of over €3.1m, compared to more than €2.3m registered in 2011. Revenue for the period under review amounted to over €10.6m, a rise of 21 per cent from 2011. Earnings per share have increased to €0.062. The Board of Directors resolved to recommend the payment of a net final dividend of €0.025 per share amounting to a total of €1m. This dividend, if approved at the AGM, will be paid on June 13, 2013 to shareholders who appear on the shareholders’ register as at the close of business May 13, 2013. Furthermore, the Board of Directors resolved to recommend, a bonus share issue of one share for every sixteen shares held by shareholders on the company’s share register as at close of business May 13, 2013.

Likewise, 6pm Holdings plc strengthened by a significant 17.8 per cent across 13 transactions of 102,563 shares, to close at £0.53. The I.T. operator announced that the Board of Directors approved the financial statements for the financial year ended December 31, 2012. These are to be submitted for the approval of the shareholders at the forthcoming AGM on June 11, 2013. The Group registered a profit before tax of £433,586 compared to a £563,261 loss registered in 2011. Revenue for the period amounted to over £7.1m, a rise of 34.6 per cent from 2011. The Board of Directors further resolved to recommend the payment of a net dividend of £0.016 per share and a bonus issue of one share for every 25 shares held which will be allotted to shareholders on the company’s register as at close of business on May 12, 2013. The dividend, if approved at the AGM, will be paid by June 28, 2013. On the contrary, Crimsonwing plc partially erased last month’s positive results as it declined by 3.5 per cent as two deals of 26,100 shares were struck.

Island Hotels Group plc was the worst performer for the month as it shed 7.4 per cent across 15 trades of 29,450 shares, closing at €0.60. Similarly, MIDI plc succumbed to selling pressure as it fell by 6.4 per cent over nine deals of 83,000 shares, to close at €0.295. The group registered a loss before tax of over €2.5m for the year ended December 31, 2012, compared to a €3m profit registered in 2011 while revenue declined by 63 per cent. On a similar note, Santumas Shareholdings plc plunged by 5.9 per cent as 12 transactions of 45,292 shares were negotiated, closing at €1.60.

Similarly, Simonds Farsons Cisk plc gradually fell by 0.4 per cent despite having registered just under a €6.5m profit before tax for the year ended January 31, 2013. Revenue for the period amounted to over €77.1m, a substantial rise of 8.9 per cent from 2012. The Board of Directors has resolved to recommend for the approval of the forthcoming AGM on June 20, 2013, the distribution of a final net dividend of €0.07 per ordinary share, to be paid by not later than June 21, 2013.  On the same note, Grand Harbour Marina plc, GO plc and Medserv plc all lost ground during April as they declined y 2.6 per cent, 0.6 per cent and 0.3 per cent respectively.

On the contrary, International Hotel Investments plc spiked 7.1 per cent higher as 30 deals of 180,454 shares were executed, to close at €0.83. In the beginning of April, the company announced that the Board of Directors approved the financial statements for the year ended December 31, 2012. The company registered a loss before tax of just under €11.4m compared to a €11.8m loss registered in 2011, while revenue for the period rose by 13.8 per cent over the previous year.

Malta International Airport plc (MIA) increased by a further 3.2 per cent over 50 trades of 99,000 shares, closing at €1.92. Passenger traffic for the first quarter of 2013 resulted in an increase of 8.6 per cent when compared to the same period in 2012. Meanwhile, passenger movements in March 2013 reached 249,360, an increase of 12.3 per cent when compared to March 2012. The other gainers for the month were Middlesea Insurance plc, Plaza Centres plc, MaltaPost plc and Malita Investments plc which advanced by 4.1 per cent, 3.6 per cent, 1 per cent and 1.8 per cent respectively.