Dubai: Saudi Arabian stocks outperformed their GCC counterparts with strong corporate earnings rolling in, while other markets offered a mixed performance with no obvious region-wide factors guiding the investors in a particular direction.
Saudi Arabia's benchmark index traded 0.7 per cent higher, bouncing back from two back-to-back losses, with banking stocks leading the way. Samba Financial Group gained 1.7 per cent to trade at SR33.2 after earlier reporting a 5 per cent rise in the full-year profits on the back of higher operating income in addition to uptick in trading, investments and exchange revenues.
Al Moammar Information Systems ended the session up 3.4 per cent ahead of the earnings announcement. After the market closed, It posted nealy 19 per cent jump in full-year profits against higher sales from a year earlier, which, it said, was the result of sticking to its goal to record consistent revenue growth and higher gross margins.
Dubai Financial Market shed 0.3 per cent to 2,568 points with almost all real estate stocks trading lower extending the recent subdued performance arising from disappointing sector earnings and dim prospects for the property markets staging a recovery anytime soon.
Losses piling up
Deyaar Development dropped 1.1 per cent after its accumulated losses reached Dh1.75 billion mainly as it took on provisions for asset impairment charges over the years marred by the real estate market situation. The firm said its ongoing planned projects will contribute to higher revenue in coming years, which, coupled with business diversification, will help address the rising losses.
Abu Dhabi Securities Exchange eked out 0.2 per cent to 5,657 points with most gains coming from its heavyweight stocks. Etisalat, First Abu Dhabi Bank and Abu Dhabi Commercial Bank all traded higher extending their advances seen earlier on the back of more efficient vaccine rollout followed by better-than-expected full-year results.
Oman's 30-company index traded flat but Oman Telecommunications Company advanced 1.1 per cent after appointing Mubarak Bin Sulaiman Al Namani as its new chief financial officer. Oman United Insurance gained 2.6 per cent after its board of directors recommended 35 baizas per shares dividends, up from 30 baizas paid out a year before. The firm earlier reported higher full-year profits.
Bahrain shares eked out 0.3 per cent to trade at 1,486 points with telco Batelco notching up 1.5 per cent ahead of its full-year results. However, Ithmaar Holding plunged 6.3 per cent after turning a loss-maker in 2020 as it reported $41.7 million in losses compared with a preceding profitable year. Its accumulated losses also reached $833.8 million holding its board from recommending any dividends.
Qatar Exchange declined slightly to 10,267 points with Qatar Commercial Bank and Qatar Insurance losing more than 2 per cent.