Region mostly firm but loss hits Ma’aden

Dubai : Gulf stock markets were mostly firm yesterday but blue chip Saudi Arabian Mining Co (Ma‘aden) fell in response to a surprise fourth-quarter loss.

The Saudi index edged up 0.1pc with gainers outnumbering advancers by 100 to 76. Ma‘aden slipped 4.9pc to 53.80 riyals in its heaviest trade since November, although it closed well off the day’s low of 52.70 riyals.

It posted a net profit of 714.84 million riyals ($190.6 million) in 2017 versus a loss of 10.74 million riyals in 2016; it did not publish fourth-quarter earnings, but Reuters calculations show it made quarterly loss of 104.74 million riyals versus a year-ago profit of 15.67 million riyals.

SICO Bahrain had projected a quarterly profit of 374 million riyals. Ma‘aden’s earnings statement gave no reason for the fourth-quarter loss and company officials could not be reached for comment.

Cement shares remained strong and actively traded after a media report earlier this week said the government had started awarding contracts to build its huge NEOM business zone project in the northwest of the country.

Tabuk Cement, which is located near the site of NEOM, rose 1.7pc while Tabuk Agricultural Development , also located nearby, gained 1.0pc in its heaviest trade for a month.

In Dubai, the index rose 0.5pc as shipper Gulf Navigation, which has been trading at 18-month lows, surged 7.9pc after saying it had appointed a bookrunner to raise its capital to 1 billion dirhams ($272 million) through a rights issue this month.

Abu Dhabi’s index gained 0.3pc and Qatar edged up 0.03pc as Qatar Commercial Bank rose 1.6 after its chief executive said on Wednesday that it would deploy more capital to Turkey to benefit from closer political ties with that country.