Mideast Stocks: Saudi, Dubai fall on weak corporate earnings

Saudi Arabia's benchmark index retreated 0.6%, pulled lower by a 2.6% decline in Al Rajhi Bank

  

Most major Gulf stock markets lost ground on Tuesday, with a slew of weak corporate earnings dragging shares in Saudi and Dubai lower.

Saudi Arabia's benchmark index retreated 0.6%, pulled lower by a 2.6% decline in Al Rajhi Bank after the lender missed expectations for full-year profit.

The bank reported an annual profit of 10.16 billion riyals ($2.71 billion), compared with 3.77 billion riyals a year ago. However, the figure was lower than analysts' average estimate of 10.64 billion riyals, according to Refinitiv data.

Mobile Telecommunications Company dropped 5.1%, its biggest intraday fall since August.

On Monday, the telco ended talks with the ministry of finance aimed at converting the debt the company owed to the ministry into the firm's shares.

In Dubai, the index slipped 0.4%, with Emaar Properties losing 1%, while DAMAC Properties dropped 1.8%.

DAMAC swung to a net loss of 36.9 million dirhams ($10.05 million) in 2019 from a profit of 1.15 billion dirhams a year earlier. That was the company's first yearly loss since 2010, according to Refinitiv data.

The index, however, saw some support from Islamic Arab Insurance, which leapt 4.2%. The insurer reported a surge in annual profit to 54.7 million dirhams from 2 million dirhams a year ago.

The Abu Dhabi index was down 0.3% as Aldar Properties eased 0.9% and Abu Dhabi Commercial Bank fell 0.4%.

Financial markets in Qatar were closed for a public holiday.

($1 = 3.6727 UAE dirham)

($1 = 3.7506 riyals)

(Reporting by Ateeq Shariff in Bengaluru; Editing by Aditya Soni) ((AteeqUr.Shariff@thomsonreuters.com; +918067497129;))

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