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DUBAI, Feb 9 (Reuters) - Poor fourth-quarter earnings from two United Arab Emirates companies weighed on stock markets there in morning trade on Thursday while Saudi Arabia barely moved.
Dubai's index
.DFMGI
was pulled 0.7 percent lower as Air Arabia
AIRA.DU
dropped 5.8 percent in unusually heavy trade after it made a net loss attributable to owners of 38.6 million dirhams ($10.5 million) versus a net profit of 55.9 million dirhams in the prior-year period.
Analysts at EFG Hermes and SICO Bahrain had forecast a net profit of 131.8 million dirhams and 127.9 million dirhams respectively. The board, citing difficult conditions in the regional aviation industry, recommended a cash dividend of 7 percent for 2016, down from 9 percent for 2015.
Builder Arabtec
ARTC.DU
, which has not yet reported earnings, fell 2.1 percent.
In Abu Dhabi, Dana Gas
DANA.AD
retreated 3.7 percent after its fourth-quarter net profit came in at $7 million, down from $134.2 million in the year-ago period. The sharp drop was partly due to fact that Dana made a one-off gain from an arbitration settlement in the fourth quarter of 2015.
Dana's chief executive said the company continues to face challenges in the collection of receivables, especially from Egypt. Abu Dhabi's stock index
.ADI
edged down 0.1 percent.
Saudi Arabia's index
.TASI
was flat after half an hour. The largest listed stock, Saudi Basic Industries
2010.Se
, rose 0.5 percent as Brent oil
LCOc1
climbed back over $55.50 a barrel.
Shares in Tihama Advertising
4070.SE
jumped 8.3 percent after the securities regulator approved the company's planned share capital reduction.
Other small and mid-sized shares, often traded by day traders, pulled back on profit-taking. Al Ahlia for Cooperative Insurance
8140.SE
dropped 2.9 percent and polymer maker Nama Chemicals fell 3.4 percent.
(Reporting by Celine Aswad; Editing by Andrew Torchia and Tom Heneghan) ((celine.aswad@thomsonreuters.com)(+9715 62247653)(Reuters Messaging: celine.aswad.thomsonreuters.com@reuters.net))
Dubai's index
Analysts at EFG Hermes and SICO Bahrain had forecast a net profit of 131.8 million dirhams and 127.9 million dirhams respectively. The board, citing difficult conditions in the regional aviation industry, recommended a cash dividend of 7 percent for 2016, down from 9 percent for 2015.
Builder Arabtec
In Abu Dhabi, Dana Gas
Dana's chief executive said the company continues to face challenges in the collection of receivables, especially from Egypt. Abu Dhabi's stock index
Saudi Arabia's index
Shares in Tihama Advertising
Other small and mid-sized shares, often traded by day traders, pulled back on profit-taking. Al Ahlia for Cooperative Insurance
(Reporting by Celine Aswad; Editing by Andrew Torchia and Tom Heneghan) ((celine.aswad@thomsonreuters.com)(+9715 62247653)(Reuters Messaging: celine.aswad.thomsonreuters.com@reuters.net))