Gulf Markets move little on mixed earnings; Saudi’s Ma’aden dives

Gulf stock markets mostly moved little in early trade Tuesday, restrained by weak oil prices and mixed corporate earnings, while Saudi Arabian Mining Co (Ma’aden) dropped sharply after announcing a plunge in second-quarter profit.

The Saudi stock index dropped 0.3 percent in the first half hour as Ma’aden slid 4.4 percent. It posted a 51 percent year-on-year drop in net profit because sales revenues were hit by low commodity prices, although the profit was at the high end of analysts’ estimates.

Saudi Airlines Catering fell 1.0 percent after announcing a 17 percent decline in quarterly profit.

Al Rajhi Bank, the kingdom’s second-largest lender by assets, reported a 5.7 percent rise in second-quarter net profit that was broadly in line with analysts’ forecasts. Its shares rose 0.4 percent.

Qatar’s index was flat. Qatar Islamic Bank rose 2.0 percent after reporting a second-quarter profit of 562.6 million riyals ($154.5 million); the 13.7 percent year-on-year advance beat the 524.3 million riyals average forecast of analysts polled by Reuters.

But Commercial Bank of Qatar (CBQ) dropped 1.3 percent after saying it would buy the remaining 25 percent of Turkey’s Alternatifbank that it does not already own, because Turkish conglomerate Anadolu Industry Holding had decided to exercise a put option giving it the right to sell the stake to CBQ.

Dubai’s index edged down 0.2 percent although Emaar Properties added 1.0 percent, extending gains on Monday that were encouraged by a local consultancy report suggesting the emirate’s real estate market might start recovering in the second half of this year.

Source: Bloomberg