Daily Market Highlights (20.12.2022)

MaltaPost reports drop in revenue and profits


The MSE Equity Price rebounded by 2.3% to 3,539.571 points as the gains in the ordinary shares of RS2, IHI, and Medserv outweighed the declines of BOV and HSBC. Meanwhile, three other equities closed unchanged as overall trading activity eased to €0.06 million, compared to €0.12 million yesterday. Download today’s Equity Market Summary.

Yesterday, MaltaPost plc published its annual report for the financial year ended 30 September 2022. Revenues dropped by 16.9% to €31.5 million largely reflecting the decline in postal revenues amid the full impact of Brexit and EU’s Removal of VAT exemption of all non-EU origin low-cost items. Operating costs decreased by 15.7% to €30.8 million as a result of major cost reduction initiatives implemented by the Company notwithstanding increases in international postal tariffs, airfreight costs, and cost of labour. Overall, MaltaPost reported a net profit of €0.29 million compared to the €1.40 million figure reported in the previous financial year. The net profit for FY2021/22 translates into an earnings per share of €0.0076 (FY2020/21: €0.0372) and a return on equity of 1.0% (FY2020/21: 5.0%). The Directors recommended an unchanged final net dividend of €0.04 per share to all shareholders as at close of trading on Friday 13 January 2023. The dividend will be paid on 16 March 2023 subject to shareholders’ approval at the upcoming Annual General Meeting scheduled to be held on 16 February 2023. The Directors are giving shareholders the option to receive the dividend either in cash or by the issue of new shares at the attribution price of €1.09 per share. The equity remained inactive today.

The ordinary shares of RS2 Software plc advanced by 17.6% to €1.20 after recovering from a low of €0.95 (-6.9%). A total of 16,237 shares changed hands.

International Hotel Investments Plc moved 9.4% higher to the €0.70 level across two trades totalling 8,650 shares.

MedservRegis plc was today’s best performing equity as it surged by 33.1% to a two-month high of €0.785 across six trades totalling 13,870 shares.

In contrast, Bank Of Valletta plc erased yesterday’s gain as it eased by 0.6% to the €0.84 level on volumes totalling 25,000 shares.

HSBC Bank Malta plc moved 0.7% lower to €0.715 level across two deals totalling 3,766 shares.

Also within the banking sector, APS Bank plc (2,703 shares) and Lombard Bank Malta plc (2,000 shares) remained at the €0.60 and €1.00 levels respectively.

GO plc traded flat at the €2.78 level across two trades totalling 1,800 shares.

Today, Santumas Shareholdings plc announced that its Board of Directors is scheduled to meet on Wednesday 28 December 2022 to consider and, if deemed fit, approve the interim financial statements for the six-month period ended 31 October 2022.

The RF MGS Index posted a four-day losing streak as it shed a further 0.66% to an eight-week low of 874.972 points as yields across various sovereign bond markets continued to climb. The Bank of Japan changed its yield control policy leading to a surge in the Japan 10-year yield, which also pushed US Treasury yields higher. Elsewhere, yesterday EU ministers agreed to measures to limit the natural gas price in an effort to combat the energy crisis.


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.