Al Othaim’s Q2 earnings miss estimates: Aljazira Cap

Abdullah Al Othaim Markets Co.’s profits of SAR 74.1 million for the second quarter of 2018 came below the estimates of Aljazira Capital and analysts forecasts of SAR 80.6 million and SAR 76.3 million, respectively.

The research firm attributed the miss of the estimates to lower than expected revenues’ growth from the newly added stores.

“Higher ramp-up of previously added stores could back a pick-up in top-line for H2-18,” the review said.

Aljazira Capital maintained its neutral recommendation on the company’s stock, with a target price of SAR 77 per share.