The Group Securities: Weekly Report on QSE Performance, 19-23 Mar 2017

 

QSE General index managed to withstand and gain 84 points, or 0.81% to the level of 10445 points. Other key indices also increased, including five sectoral indices; namely telecommunications, banking, and real estates. This rise came to happen despite the falling oil prices which continued to dip down to 48.28 dollar per barrel. Meanwhile, this rise coincided with the AGMs held by Ooreedo, Qatar General Insurance, and Al Meera, which approved the proposed distribution of dividends. Doha Bank invited its shareholders to participate in the rise of its share capital through rights issue. Cinema share was the biggest gainer, followed by Qatar commercial Bank, Ahli, Al Rayan; while the share of Qatar General Insurance was the biggest loser. Daily trading volume dropped to QR362.1 million. The most actively traded shares were those of QIIB and Al Rayan which both held their AGMs at the beginning of April. Qatari portfolios sold net worth QR 414.9 million; while foreign portfolios bough net worth QR 501.3 million. Qatari individual investors sold net worth QR 89.2 million. Total capitalization increased by 3.4 billion to stand at QR 559.6 billion. Price earnings ratio increased to the level of 14.66 compared to 14.64 double the original price in the last week. The Group reviews QSE performance in this week with illustrative charts combined with corporate business news, and a list of the affecting economic factors.

Corporate News

1-- Net profit of Aamal in 2016 declined 23% to about QR 462.3 million compared to QR 601 million in the corresponding period in the previous year. Earnings per share stood at QR 0.73 compared to QR 0.95 in the corresponding period in 2015. The Board of Directors recommended distributing a cash dividend of QR 0.60 per share. Aamal gross profit from its operations in 2016 rose by 6.4% to QR 683.4 million and the company achieved a profit worth QR 16.5 million riyals as other income and QR 60.2 million stake of profits from companies in which it invests. In contrast, the total expenses of all kinds, including financing cost, marketing, depreciation and general and administrative expenses increased by 6.9% to QR 200.8 million. As a result, net profit attributable to shareholders decreased by 13.1% to QR 462.3 million.

 

2-- Ezdan Holding Group has mandated HSBC and Mashreqbank as Joint Global Coordinators, and Dubai Islamic Bank, Emirates NBD Capital, HSBC, Mashreqbank, Natixis and Standard Chartered Bank as Joint Lead Managers and Bookrunners to arrange a series of fixed income investor meetings in Asia, the UAE and the UK commencing on 23rd March 2017. A benchmark USD Regulation S Senior Unsecured Sukuk offering under Ezdan Sukuk Company Limited’s USD 2 billion Trust Certificate Issuance Programme may follow subject to market conditions. FCA/ICMA stabilization applies.

 

3-- Doha Bank's board invited shareholders to subscribe in its capital increase shares through a rights issue. Doha Bank recommended raising the current paid-up capital by 20%. Shares will be offered at a price of QAR 25. The subscription period for shareholders and holders of subscription rights will start on 25 April and end on 9 May.

 

4-- Mazaya Qatar Real Estate Development Company announced opening nominations for its Board of Directors membership for the next three years 2017, 2018 and 2019. Nominations will open on Monday, March 20, 2017 morning until 02:00 PM on Thursday, March 30, 2017.
 
The Board of Directors also invited for  the company’s AGM and EGM to be held on Wednesday, April 12, 2017 at 5:00 PM at Doha Sheraton Hotel, Salwa Hall 2. In the event of lack of quorum, a second meeting will be held on Monday 17 April 2017 at the same time and venue.

 

5-- QNB announces its intent to disclose its first quarter Financial Statements results for the year 2017 on Tuesday 11 April, 2017. Doha Bank also said it would do the same on 19 April 2017.

 

 

Economic Developments

 

1-- -- Banks consolidated balance sheet for February has been released; it shows a rise in total assets by about QR 2.5 billion to stand at QR 1264.4 billion.  The total domestic public debt, including bonds, increased by about QR 18.1 billion to QR 436.9 billion, while the total domestic private sector deposits fell by QR 2.1 billion to the level of QR 438.5 billion.

 

2-- Last week, Opec oil prices lost around 1.35 dollars and closed at $ 48.35 per barrel on Thursday.

 

3-- Last week, Dow Jones index lost 318 points to reach the level of 20597 points. US Dollar exchange rate decreased to the level of 111.34 yen, and $ 1.08 per Euro. Gold price increased by 14 dollars to the level of $ 1243.3 per ounce.