TASI edges lower; Sipchem up on Q2

A set of weak financial results set the tone for trading on Saudi Arabia’s stock exchange on Wednesday. The Tadawul All Share Index (TASI) declined over the session and closed 0.4 percent lower at 7,199, its third straight day of decline.

Trading volumes amounted to SAR 2.1 billion. Only 54 stocks advanced while there were 116 decliners.

TASNEE was top decliner, down 5 percent to SAR 14.46. The petrochemical firm posted a Q2 net profit of SAR 93.6 million, up nearly 7 percent YoY. CEO Mutlaq Al-Morished told Argaam, the “strong set of earnings” was due to higher titanium dioxide prices. The result, however, was well below the consensus estimate of SAR 123 million.

NADEC dropped 3 percent to SAR 27.60. Its Q2 net profit fell 27 percent YoY to SAR 25.9 million weak market demand. The result missed analysts’ expectations.

Sipchem was among top gainers, rising 4 percent. The company made a Q2 net profit of SAR 59.8 million compared with SAR 11.4 million in the same quarter of 2016. 

Elsewhere, eXtra also added 5 percent to SAR 43.50, a 52-week high.

Write to Brinda Darasha at brinda.d@argaamplus.com