By Santhosh V Perumal/Business Reporter
The bearish sentiments in the Qatar Exchange continued for the third day yesterday, mainly influenced by the banking, industrial and consumer goods stocks.
Domestic institutions were instrumental in dragging the 20-stock QE Index (based on price data) by 1.24% to 8,532.34 points. The market is, however, up 2.10% year-to-date.
The 20-stock Total Return Index also fell 1.24% to 11,547.34 points, the All Share Index (comprising wider constituents) by 1.20% to 2,049.84 points and the Al Rayan Islamic Index by 1.79% to 2,497.34 points.
All the three indices factored in dividend income as well.
Under the All Share Index category, the insurance segment witnessed the maximum decline of 2.23%, followed by banks and financial services (1.35%), industrials (1.30%), consumer goods (1.21%), telecom (0.96%), realty (0.35%) and transport (0.25%).
About 79% of the stocks were in the red with major shakers being QNB, Doha Bank, Commercialbank, Masraf Al Rayan, National Leasing (NLC), Industries Qatar (IQ), Qatari Investors Group, Gulf International Services, Vodafone Qatar and Nakilat.
Market capitalisation shrank 0.81%, or about QR4bn, to QR469.15bn with micro, large, small and mid cap equities losing 2.24%, 1.05%, 0.45% and 0.40% respectively.
Of the 42 stocks, only seven advanced, while 33 declined and one was unchanged. Another one was not traded.
Domestic institutions turned net sellers to the tune of 1.57% or QR4.13mn. A lower 18.47% of them were into buying against 26.12% on Monday, whereas a higher 20.04% of them into selling compared to 15.27%.
Foreign institutions’ net buying sunk to 12.76% or QR33.58mn. A much lower 29.95% of them bought equities compared to 41.07% the previous day and a lower 17.19% offloaded against 24.75%.
Qatari individual investors’ net selling shrank to 7.35% or QR19.34mn. A much higher 39.78% of them purchased equities compared to 24.14% on Monday, although a marginally lower 47.13% sold against 48.25%.
Non-Qatari retail investors’ net selling rose to 3.84% or QR10.10mn. A higher 11.80% of them were into buying against 8.68% the previous day and a higher 15.64% compared to 11.74%.
Total trading volume rose 38% to 5.12mn shares, value by 7% to QR263.14mn and deals by 17% to 3,365.
The real estate sector’s trading volume more than doubled to 0.64mn shares; so did value to QR15.78mn and transactions to 114.
The insurance sector’s trading volume doubled to 0.10mn shares and value more than doubled to QR5.71mn as deals more than doubled to 114.
The banks and financial services sector’s trading volume surged 41% to 2.83mn shares, while value fell 9% to QR142.07mn but transactions gained 18% to 1,779.
The telecom sector’s trading volume soared 38% to 0.22mn shares and value by 30% to QR11.41mn while deals were down 1% to 195.
The industrials sector’s trading volume expanded 31% to 0.64mn shares, value by 68% to QR62.29mn and transactions by 6% to 455.
The transport sector’s trading volume rose 26% to 0.34mn shares and value by 25% to QR11.24mn, whereas deals shrank 27% to 168.
However, the consumer goods and services sector’s trading volume tanked 18% to 0.36mn shares and value by 44% to QR14.63mn, but transactions were up 10% to 338.
Actively traded stocks (in terms of volume) were NLC (1.17mn shares); Rayan (539,375); Barwa (485,669); Doha Bank (345,168) and IQ (274,759).
In the debt market, there was no trading in treasury bills.
Alijarah profit drops 12% in 2012
Alijarah Holding (National Leasing) has reported a 12% fall in its 2012 net profit to QR190.02mn as expenses grew faster than incomes.
Nevertheless, the company has recommended a 20% cash dividend (QR2 per share) to be approved by shareholders at the annual general assembly to be convened on February 26. It will incur QR98.96mn towards dividend payout.
Although gains from financial leasing more than doubled to QR53.43mn and that from transportation more than tripled to QR3.50mn; Alijarah Holding reported a 20% fall in profit from property development to QR151.15mn. Moreover, it incurred a loss of QR18.05mn from taxi (including limousine) and unallocated businesses, according to its financial statement filed with the Qatar Exchange.
Income from core business grew 1% to QR608mn, said its financial statement.
Revenue from financial leasing rose 24% to QR96.53mn and transportation by 27% to QR75.41mn; while income from property development fell about 1% to QR513.30mn and taxi and unallocated services by 11% to QR2.09mn.
Profit from investments and deposits surged 24% to QR19.93mn, while other income fell 16% to QR0.10mn. Thus, total income rose 2% to QR628.02mn.
Total expenses grew 12% to QR408mn as operating costs rose 10% to QR342.84mn and general and administrative expenses by 24% to QR65.15mn.
With expenses growing faster than incomes, the company’s net operating income shrank 14% to QR220.02mn.
However, there was a 25% decline in allowance for impairment of instalments and dues from customers to QR30mn.
Total assets were valued at QR1.86bn and capital base was QR494.80mn. Earnings-per-share was QR4.21 at the end of December 31, 2012.
The company, which had increased the capital base by 50% through a rights issue, launched its taxi service in 2012 as part of efforts to diversify its income sources.
