Daily Market Highlights (16.11.2022)

HSBC registers significant increase in profits


The MSE Equity Price Index extended yesterday’s uplift by a further 0.33% to 3,573.480 points. The gains in HSBC, BOV and MIDI outweighed the declines in GO, Lombard and MaltaPost whilst a further four companies closed the day unchanged. Trading activity improved to €0.15 million largely on the back of heightened volumes in BOV. Download today’s Equity Market Summary.

Bank of Valletta plc added 2.2% to recapture the €0.91 level across 117,000 shares having a market value of €0.1 million.

Within the same segment, HSBC Bank Malta plc advanced by 1.4% to the €0.74 level on a total of 7,680 shares. Today, HSBC issued an Interim Directors’ Statement updating the market on its performance during the nine-month period ended 30 September 2022. The Bank explained that pre-tax profits rose considerably to €33.5 million compared to €25.2 million in the same period in 2021 as the growth in revenues and a material release in expected credit losses offset the increase in costs. The Bank also added that net loans and advances to customers remained at the same level as at 31 December 2021 but customer deposits increased by 6.2%, thus leading to a further deterioration in the loan-to-deposit ratio to 53.5% compared to almost 57% as at the end of 2021. Meanwhile, the Bank’s capital ratios trended lower reflecting adverse movements on financial instruments.

The other positive performing equity today was MIDI plc with a gain of 3.7% to the €0.282 level across 16,000 shares.

Also in the property segment, Trident Estates plc stayed at the €1.48 level after opening at a low of €1.41 (-4.7%). A total of 11,300 shares traded.

Simonds Farsons Cisk plc (318 shares) and the ordinary shares of RS2 Software plc (3,000 shares) traded flat at €7.50 and €1.25 respectively.

Five deals totalling 4,969 shares left the share price of Mapfre Middlesea plc at the €1.50 level.

Meanwhile, GO plc eased by 0.7% to a fresh two-year low of €2.88 albeit on just 1,000 shares.

Low trading activity also took place in the equity of MaltaPost plc which retracted by 0.9% back to the €1.10 level.

Lombard Bank Malta plc slipped by 2% to the €1.48 level across 4,500 shares.

After last week revising higher its key performance targets for 2022, today MedservRegis plc announced that it was awarded a material three-year contract in Iraq by Kuwait Energy Basra Limited (KEBL) which is the operator of the Block-9 Contract Area located in the Basra Governate. As a result, MedservRegis will be providing inspection and machine shop services on a call off basis to support KEBL’s drilling operations.

The RF MGS Index erased most of the declines recorded in the previous two days as it rebounded by 0.41% to 890.418 points. Sovereign bond yields in the euro area trended lower despite slower than expected inflation in Italy as well as better than expected retail sales and trade data in the US.


This report contains public information only and is not to be construed as investment advice or an offer to buy or sell any securities. Information contained herein is based on data obtained from sources considered to be reliable, but no representations or guarantees are made with regard to the accuracy of the data.  Stock markets are volatile and subject to fluctuations which cannot be reasonably foreseen. Past performance is not necessarily indicative of future results. Rizzo, Farrugia & Co. (Stockbrokers) Limited is a company licensed to undertake investment services in Malta by the MFSA under the Investment Services Act, Cap. 370 of the Laws of Malta and a member of the Malta Stock Exchange.