Markets Wrap: Etisalat jumped to its highest level in two weeks after second-quarter profit exceeded expectations.
Etisalat profits drive gains
Etisalat jumped to its highest level in two weeks after second-quarter profit exceeded expectations.
The company also said it might increase its stake in its Saudi affiliate, Mobily.
Quarterly net income reached Dh1.9 billion, an increase of 17 per cent from the year earlier period.
"Etisalat's gross margins have improved to 45.9 per cent in the second quarter compared to 39.7 per cent last year," said Tariq Qaqish, the deputy head of asset management at Al Mal Capital in Dubai. "This indicates a strong growth of revenues coming from associates and joint ventures."
Etisalat's shares opened 1 per cent higher, the highest level since July 12, in Abu Dhabi. The stock gave up some of its gains during the trading session, closing 0.1 per cent higher to Dh9.17 amid low volumes. The Abu Dhabi Securities Exchange General Index closed 0.2 per cent higher to 2,470.38.
Trading was subdued on the Dubai Financial Market General Index as Ramadan got underway. About five stocks rose, seven declined and 43 were untraded.
Emaar Properties gained 0.9 per cent to Dh3.24. Tabreed, the district cooling company, due to report its second quarter results on Tuesday, was unchanged at Dh1.24.
The index rose 0.5 per cent to 1,509.43.
Elsewhere in the region: Kuwait's measure was little changed, down 0.07 per cent, to 5,746.97; Bahrain's index added 0.3 per cent to 1,113.80; Oman's MSM 30 Index lost 0.2 per cent to 5,387.76; Qatar's QE Index was little changed, down 0.06 per cent, to 8,226.83.
The Saudi Tadawul All-Share Index was closed for the day.