x Abu Dhabi, UAEWednesday 26 July 2017

Profits climb after markets rally

The Abu Dhabi Securities Exchange and Dubai Financial Market declined on Wednesday as investors booked profits after a strong rally that began in Jan.

Emaar Properties declined 2 per cent to 81 fils a share. Pawan Singh / The National
Emaar Properties declined 2 per cent to 81 fils a share. Pawan Singh / The National

Investors have booked profits after a strong rally by UAE bourses at the start of the year.

Emaar Properties declined 2 per cent yesterday to 81 fils a share. The developer of the Burj Khalifa on Tuesday said net income jumped to Dh716 million in the fourth quarter from Dh274m in the same period a year earlier. Emaar's shares have risen 15 per cent this year.

Analysts expected the company to report a profit of Dh460m.

The Dubai Financial Market (DFM) General Index retreated 1 per cent to 1,522.77. The DFM has outperformed regional markets, rising 12.5 per cent since January 1.

"It's profit-taking, not really a disappointment," said Haissam Arabi, the chief executive at Gulfmena Investments in Dubai.

The Abu Dhabi Securities Exchange (ADX) General Index and DFM General Index lost 11.6 per cent and 16.9 per cent, respectively, last year. Despite the market declines, many held their stocks with the expectation of strong payouts at the end of the year.

Aldar Properties, Abu Dhabi's biggest developer, on Monday recommended a cash dividend of 5 fils per share after it posted a net profit of Dh642.5m for last year. Aldar's shares fell 1.9 per cent to Dh1.02 yesterday. The ADX General Index was little changed at 2,487.99.

Elsewhere in the region: Kuwait's measure declined 0.7 per cent to 5,963.50; Bahrain's was unchanged at 1,142.43; Oman's MSM 30 Index rose 0.5 per cent to 5,636.86; and Qatar's QE Index rose 0.7 per cent to 8,630.28. The Saudi Tadawul All-Share Index was little changed at 6,811.97.

halsayegh@thenational.ae

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