Dubai gains, led by rise in Emaar stocks

dubai — Dubai stocks rose on Thursday as earnings at Emaarlinked companies lifted its battered real estate shares.

In Dubai, the index rose 1.7 per cent, helped by gains in the emirate’s largest listed developer, Emaar Properties and its units, Emaar Development and Emaar Malls.

Emaar Properties, Dubai’s biggest listed property company, gained 6.5 per cent. It beat expectations to post a 27 per cent rise in its fourth-quarter profit after market close.

Emaar Development rose 9.5 per cent after its fourth-quarter profit and revenue more than doubled. Its margins remained steady for the year, suggesting cost efficiencies, as asset prices continue to fall in Dubai, Arqaam Capital said, even as it said outlook for full-year 2019 is “likely not that bright”.

Emaar Malls rose 6 per cent after reporting a 2.1 per cent gain in its fourth-quarter net profit.

“Some good names were punished due to low investor confidence, but since fourth-quarter numbers for blue-chips like Emaar and its units were impressive and above expectations, the negative scenario could be out of investors’ minds,” said Tariq Qaqish, managing director at the asset-management division of Mena Corp Financial Services.

The Abu Dhabi index was up 0.2 per cent. The emirate’s biggest developer, Aldar Properties, climbed 11.5 per cent for its best one-day gain since 2014. It proposed a full-year dividend of 14 fils per share, up from 12 fils a year earlier.