Saudi stocks drop despite 9.9% GDP growth in Q1: Closing bell

The main index, TASI, was down 1.2 percent to close at 12,662 and the parallel market, Nomu, dropped nearly 1 percent to 22,329.
The main index, TASI, was down 1.2 percent to close at 12,662 and the parallel market, Nomu, dropped nearly 1 percent to 22,329.
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Updated 07 June 2022

Saudi stocks drop despite 9.9% GDP growth in Q1: Closing bell

Saudi stocks drop despite 9.9% GDP growth in Q1: Closing bell

RIYADH: Saudi stocks fell on Tuesday, despite an above estimated 9.9 percent growth in gross domestic product in the first quarter, according to official data.

The main index, TASI, was down 1.2 percent to close at 12,662 and the parallel market, Nomu, dropped nearly 1 percent to 22,329.

TASI was weighed down by a 1.9 percent drop in its largest player in the banking sector, Al Rajhi Bank, as well as a 2.4 percent loss in Riyad Bank.

Oil giant Aramco also contributed to the fall with a decline of 1.22 percent, amid trading of almost 3.4 million shares.

Al Sagr Insurance added 5.3 percent to lead the gainers, while Saudi insurer Bupa Arabia recorded the biggest drop of 3 percent.

Among the top movers in today’s session, chemical major SABIC was down 1.5 percent, and Saudi Telecom Co., or stc, edged 0.2 percent lower.

Shares of Saudi Real Estate Co., known as AlAKARIA, lost 1.9 percent after the developer announced that the first two phases of Al Akaria Park had been fully reserved.

In energy trading, Brent crude reached $119.19 a barrel and US West Texas Intermediate traded at $118.2 a barrel as of 3:32 p.m. Saudi time.


TASI rises as earnings report wave buoys stocks, Ma’aden leads: Closing bell

TASI rises as earnings report wave buoys stocks, Ma’aden leads: Closing bell
Updated 12 sec ago

TASI rises as earnings report wave buoys stocks, Ma’aden leads: Closing bell

TASI rises as earnings report wave buoys stocks, Ma’aden leads: Closing bell

RIYADH: Saudi Arabia’s benchmark index ended the week’s final session higher on the back of another round of first-half corporate earnings results.

TASI edged 0.8 percent higher to finish at 12,530, while the parallel Nomu market added 0.92 percent to end at 22,023.

This was led by a 9.97 percent leap in Ma’aden, topping the gainers, after its first-half profit soared 232 percent to SR6.2 billion.

The Kingdom’s largest valued bank Al Rajhi added 0.57 percent, while the Kingdom’s oil giant Saudi Aramco gained 2.38 percent.

Astra Industrial Group climbed 5.24 percent, after its first-half profit soared 202 percent to SR318 million ($85 million).

ACWA Power added 0.11 percent, after it recorded a 21 percent jump in profits to SR542 million for the first half of 2022.

Saudi Electricity Co. rose 0.58 percent, after it obtained an international syndicated loan of $3 billion.

Saudi Industrial Services Co. shed 0.61percent, after earning SR3.9 million in the first half of 2022, down 93 percent from the same period last year.

Savola Group slipped 1.76 percent, after it entered an SR459 million agreement to sell its shares in Knowledge Economic City Co.

Following the announcement, shares of  Knowledge Economic City increased by 3.85 percent.

Eastern Province Cement Co. shed 0.33 percent, after posting a 41 percent drop in profit to SR72 million in the first half.

Saudi Vitrified Clay Pipes Co. declined 1.19 percent, after its net losses widened by 661 percent to SR9 million during the first half of 2022.

Saudi Co. for Hardware slipped 3.56 percent to lead the fallers since the opening bell, after it turned into losses of SR19 million during the first half of 2022.

 


Saudi Arabia issues 90 industrial licenses in June

Saudi Arabia issues 90 industrial licenses in June
Updated 17 min 35 sec ago

Saudi Arabia issues 90 industrial licenses in June

Saudi Arabia issues 90 industrial licenses in June

RIYADH: The Saudi Ministry of Industry and Mineral Resources issued 90 new industrial licenses in June, which were distributed over five industrial sectors.

Industries associated with the manufacturing of non-metallic minerals bagged 18 licenses followed by food products with 14 and 12 permits were issued for the manufacturing of fabricated metal products.

Nine licenses were issued to manufacture rubber and plastic products while seven permits were issued for the production of chemicals.

A report issued by the National Center for Industrial and Mining Information indicated that the total number of industrial licenses issued by the ministry since the beginning of this year amounted to 501. 

The number of existing and under construction factories in the Kingdom until the end of the same month reached 10,675, with investments amounting to SR1.361 trillion ($361 billion).

The report also showed that with the issuance of new licenses the volume of investment in June alone amounted to more than SR2 billion.

It also indicated that small enterprises acquired most of the new industrial licenses during the same month with a rate of 83.33 percent, followed by medium enterprises with 14.44 percent, then micro-enterprises with 2.22 percent.

It also showed that the new industrial licenses were distributed over 11 administrative regions, topped by the Riyadh region with 32 licenses.

The number of jobs provided by the industrial sector during the month of June reached 5,706, of which 3,245 went to Saudis, and 2,461 to expatriates, according to the report. 


Saudi SISCO posts 9% rise in quarterly revenue on port and water sector growth

Saudi SISCO posts 9% rise in quarterly revenue on port and water sector growth
Updated 23 min 32 sec ago

Saudi SISCO posts 9% rise in quarterly revenue on port and water sector growth

Saudi SISCO posts 9% rise in quarterly revenue on port and water sector growth

RIYADH: Saudi Industrial Services Co.'s second-quarter revenues jumped 9 percent from the first quarter of 2022, driven by strong performance in the ports and water sectors.

Revenues for the second quarter reached SR213.2 million ($57 million) compared to SR196.2 million last quarter, the company reported.

SISCO posted SR3.1 million in net profit during the second quarter, compared to SR0.8 million in the first quarter, driven by higher profitability at its subsidiary Kindasa Co. coupled with performance improvement from associate companies.  

“Q2 2022 revenues showed promising signs of recovery compared to the previous quarter, which bodes well for the second half of the year,” said Mohammed Al-Mudarres, CEO of SISCO.

With the Kindasa plant back to normal operations after disruption in the first three months of the year, he said revenues for the water segment improved by 50.3 percent from the previous quarter, returning to a normalized contribution.

SISCO's first half profit declined by 92.2 percent despite improving results from associate companies, primarily due to continued pressure on gateway volumes on the ports segment revenue and margins.

“Looking ahead, we anticipate strong local consumption in H2 2022 due to the forecast increase in Umrah activities in the Kingdom. Meanwhile, estimated growth of 4.0% for Saudi Arabia’s non-oil sector in 2022 will provide further support to increased business activity across our portfolio,” the CEO added.


OPEC forecasts lower oil demand growth in 2022

OPEC forecasts lower oil demand growth in 2022
Updated 14 min 50 sec ago

OPEC forecasts lower oil demand growth in 2022

OPEC forecasts lower oil demand growth in 2022

RIYADH: The Organization of the Petroleum Exporting Countries has trimmed its forecast of oil demand growth in 2022 for the third time since April. 

In its “Monthly Oil Market Report,” OPEC noted that the cut in growth forecast is attributed to the economic impact due to Russia’s invasion of Ukraine, along with the effects of high inflation. 

The organization expects oil demand to rise by 3.1 million barrels per day, down 260,000 bpd from the previous forecast of 3.36 million.

OPEC added the demand growth for 2023 will slow further to 2.7 million bpd, leaving its forecast unchanged from last month.

The report further said the global oil market is strongly rebounding to pre-COVID-19 levels.

The monthly report revealed that OPEC output in July rose by 162,000 bpd to 28.84 million bpd.


SAMA launches point-of-sale service between Saudi Arabia and Qatar 

SAMA launches point-of-sale service between Saudi Arabia and Qatar 
Updated 11 August 2022

SAMA launches point-of-sale service between Saudi Arabia and Qatar 

SAMA launches point-of-sale service between Saudi Arabia and Qatar 

RIYADH: The Saudi Central Bank, also known as SAMA, has launched a point-of-sale service between the national payment network Mada and the Qatari national network NAPS, starting from Aug. 1.

The step comes following the success of the pilot technical tests between the two networks, according to a statement.

With the launch of this service, holders of Mada and NAPS cards will be able to implement point-of-sale operations in the two countries through the Gulf Payments Network, known as GCC-Net.

The GCC-Net enables bank customers of the Gulf Cooperation Council’s countries to withdraw cash from automated teller machines, in the local currency of the host country.

In addition to providing the option of payment through direct debit cards to the Gulf network through point-of-sale machines in the countries of the Council.