Kuwait market extends losses; volume ticks up

Commercial Bank dips 25 fils; Zain flat

KUWAIT CITY, April 3: Kuwait stocks tripped further following Sunday’s downtick. The price index pared back steep early session losses to close 22.14 points down at 6,999.23 pts amid selling in some of the heavyweights. The broader trend however remained mixed.

The KSX 15 benchmark slipped 2.1 pts to 9,343.23 points while weighted index inched 0.69 pts up to 414.72 points. The volume turnover rose for the third straight session to push past the 300 million mark. 318.81 million shares changed hands — a 14 pct rise from the day before.

The sectors closed mixed. Healthcare outperformed the rest with 1.81 pct gain whereas technology shed 1.97 percent, the biggest loser of the day. In terms of volume, financial services garnered the highest market share of 36.9 percent while real estate followed with 35.12 pct contribution.

Among notable losers, Commercial Bank of Kuwait dipped 25 fils to 425 fils erasing last session’s gains while Boubyan Bank gave up 5 fils to settle at 405 fils. Kuwait Food Co (Americana) dived 60 fils to KD 2.500 with thin trading.

Zain vacillated narrowly before closing unchanged at 460 fils with a volume of 2.5 million shares and Ooredoo too did not budge from its earlier close of KD 1.120. Kuwait Telecommunications Co (VIVA) stood pat at 910 fils and Agility followed suit to close at 640 fils.

Sector bellwether National Bank of Kuwait paused at 680 fils and Kuwait International Bank followed suit. KIB’s fourth quarter earnings stood at KD 4.72 million in last quarter of 2016 and the board has recommended a cash dividend of 10% or 10 fils per share for FY16.

The market opened weak and fell sharply in early trade. The price index held steady for nearly an hour before slipping further to plumb the day’s lowest level of 6,934.46 pts. It rebounded thereafter amid renewed buying in select counters and wound up with moderate losses.

Top gainer of the day Educational Holding Group jumped 7.4 pct to 290 fils while FTI climbed 6.9 percent to stand close behind. Alshamel tumbled 12.9 pct, the steepest decliner of the day and Ithmaar Bank topped the volume with over 49 million shares.

Despite the day’s drop, the winners outnumbered the losers. 46 stocks advanced whereas 39 closed lower. Of the 130 counters active on Monday, 45 closed flat. 6,155 deals worth KD 25.38 million were transacted — a 0.43 pct rise in value from the day before.

National Industries Group rose 2 fils on back of over 2 million shares to 122 fils while Gulf Cable was unchanged at 470 fils. Heavy Engineering Industries and Shipbuilding Co gained 4 fils and Kuwait Foundry Co was flat at 310 fils.

Kuwait Cement Co fell 5 fils to 485 fils and Kuwait Portland Cement Co climbed 10 fils partly paring last session’s losses. Metal and Recycling Co was up 3 fils at 77 fils while ACICO gave up 5 fils. KBMMC rose 8 fils to 126 fils.

Gained

Kuwait National Cinema Co was unchanged at KD 1.380 and Equipment Holding Co dialed up 1 fil. Boubyan Petrochemical Company gained 10 fils and Al Qurain Petrochemical Co added 5 fils. Independent Petroleum Group stood pat at KD 1.120.

NAPESCO gained 20 fils and Humansoft Holding climbed 40 fils to KD 3.100. Automated Systems Co dropped 15 fils and PAPCO was up 6 fils at 110 fils. Mowasat Hospital rose 15 fils to 385 fils and Yiaco gave up 5 fils.

Kuwait and Gulf Link Transport Co clipped 2 fils after trading 1.4 million shares and KGL Logistics Co inched 1 fil into green. AWJ Holding and Oula Fuel were down 4 fils each at 95 fils and 126 fils respectively. Jazeera Airways shed 10 fils and ALAFCO paused at 244 fils.

Zimah Holding dialed down 2 fils and Mezzan Holding closed flat. The company ’s net profits jumped 23.1 pct to to KD 4.0 mln in Q4 while profits for the 2016 profit slipped 11.6 pct to KD 17.1 million. The board has recommended a cash dividend of 28 fils per share to shareholders.

In the banking sector, Gulf Bank eased 2 fils to 246 fils while Al Ahli Bank and Burgan Bank were unchanged at 305 fils and 335 fils respectively.

Ahli United Bank fell 5 fils and Kuwait Finance House did not budge from its earlier close of 530 fils after trading over 7 million shares. Warba Bank stagnated at 255 fils.

KIPCO was unchanged at 500 fils with thin volume and Kuwait Investment Co inched 1 fil into green. Coast Investment Co and was flat at 48 fils while Al Mal Investment Co and Unicap gave up 0.5 fils each. Aayan Investment Co closed 1 fil higher at 49 fils with brisk trading.

Securities House Co and Securities Group Co stalled at 50 fils and 99 fils respectively while Sokouk Holding inched 0.5 fil into green. Bayan Investment Co eased 1 fil and Ektittab Holding inched 1 fil higher.

Kuwait Real Estate Co and National Real Estate Co were flat at 67 fils and 102 fils respectively whereas United Real Estate Co took in 2 fils. Mazaya Holding Co gave up 2 fils to end at 120 fils.

The market has been retreating so far during the week and has dipped 30 pts in last two sessions. It had gained 238 points during whole of March and is trading 21.77 pct higher year-to-date. KSE, with 208 listed companies, is the second largest bourse in the region.

In the bourse related news, Al Mazaya Holding net profits soared 31.7 pct to KD 2.59 million in last quarter of 2016 while profits rose 10 pct to KD 10.25 million during the fiscal year of 2016. The board has recommended an annual cash dividend of 8% or 8 fils per share.

Gulf Glass Manufacturing Co’s fourth quarter net profit dipped 64% in KD 14,000 from KD 39,000 in same period last year. During the fiscal year of 2016, profits was down 48 percent to KD 1.21 million from KD 2.34 mln in the previous year.

Al Mowasat Health Care has posted KD 1.8 million profits during the fourth quarter of 2016 and for the fiscal year of 2016, earnings rose 35.3 pct to KD 4.52 million from the year before. The board of directors has recommended a dividend payout of 20% or 20 fils per share.

Injazzat Real Estate Development has posted a net profit of KD 550,000 in the last quarter of 2016 and during the fiscal year of 2016, the bank earned KD 3.2 million. The board has recommended a cash dividend of 5% or 5 fils per share for FY 2016.

Ajial Real Estate Entertainment Company (AREEC) net losses narrowed by 22.7 pct to KD 888,620 from KD 1.15 million in Q4 of 2115. The annual profits in 2016 clocked KD 1.5 million and the board has recommended the distribution of cash dividends at 5% of capital.