RS2 Software share price hits 20-month high as profits climb

Yesterday evening, RS2 Software plc published its 2011 half-year results showing a substantial increase in pre-tax profits to €1.6 million. This was mainly due to the 67% growth in revenue to €4.7 million (the highest 6-month revenue figure since the first half of 2008) on the back of increased licence sales which have already exceeded the Directors’ expectations for the whole of 2011. The improved financial performance lifted the equity by 5.3% to a new 20-month high of €0.579 across three trades totalling 8,700 shares.

Elsewhere in the local equity market, Bank of Valletta plc initially moved into positive territory as it touched an intra-day high of €2.531 but subsequently slid back to the €2.50 level representing a 0.4% drop from the previous close. Fourteen trades totalling over 13,300 shares were transacted today. Meanwhile, HSBC Bank Malta plc held on to the €2.66 level on volumes of 7,500 shares.

A single trade of 400 Lombard Bank Malta plc shares was executed at the €2.70 level, representing a 0.8% rise from yesterday’s close. Similarly, the share price of the Bank’s postal subsidiary, MaltaPost plc, edged 0.9% higher to regain the €0.979 level on low volumes of 1,700 shares.

This morning, 6pm Holdings plc also issued its 2011 half-year results revealing an increased loss of GBP343,314 despite a 20.6% increase in revenue to GBP2.1 million. The Directors explained that the increase in the loss was mainly due to the costs of the rights issue which amounted to GBP 132,190. The Directors also stated that the company is now fully focused on achieving the results outlined in the overall strategic business plan prepared in 2010.

MIDI plc continued the reporting season this afternoon when it published its 2011 interim report revealing an improvement in pre-tax profits to €1.79 (June 2010: €0.84 million) during the first six months of 2010. This rise in profitability was due to an increase of €13.5 million in revenue to €22.6 million mainly arising from the delivery of 23 apartments to owners in the development referred to as ‘T10’. Moreover, MIDI plc also benefitted from the full six months of operations of the ‘The Point’ shopping mall and the underlying car park. Revenue from these operations amounted to €2 million in the first half of the year.