Login Get Started
HelpDesk
 Embed  Download
  of  

or
Sign in to continue reading...

Results Summary of Listed Companies in the Saudi Market - 2Q 2017

Adnan Borras
By Adnan Borras
7 years ago
Results Summary of Listed Companies in the Saudi Market - 2Q 2017

Ard, Mal, Takaful , Zakat, Sales

Sukuk

Social Finance

Islamic Wealth Management Zero

Show more

Organisation Tags (9)


Create FREE account or Login to add your comment
Comments (0)


Transcription

  1. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Top 15 Companies Please read Disclaimer on the back Top 15 Companies Lowest P /E Company United Cooperative Assurance Co. Al-Babtain Co. Trade Union Cooperative Insurance Co. Arabian Shield Cooperative Insurance Co. Saudi United Cooperative Insurance Co. Buruj Cooperative Insurance Co. Arab National Bank Solidarity Saudi Takaful Co. Bank Aljazira Zamil Industrial Investment Co. Gulf Union Cooperative Insurance Co. Saudi Investment Bank United International Transportation Co. Samba Financial Salama Cooperative Insurance Co. P/E TTM (x) P/BV (x) D/Y (%)* 7.63 7.76 7.84 7.93 8.02 8.11 8.46 8.63 8.71 9.03 9.12 9.21 9.22 9.79 9.98 1.67 1.54 1.66 2.42 2.14 2.46 1.04 1.80 0.78 0.93 1.72 0.80 1.50 1.10 2.19 -3.65 -4.69 -1.44 4.00 -3.06 7.44 -3.13 5.05 --- Company Saudi Cement Co. Hail Cement Co. Yanbu Cement Co. Arabian Cement Co. Al Yamamah Steel Industries Co. National Shipping Qassim Cement Co. Zamil Industrial Investment Co. Al Sagr Cooperative Insurance Co. Saudi Chemical Co. Arriyadh Development Co. Saudi Airlines Catering Co. Southern Province Cement Co. Aseer Trading Co. Eastern Province Cement Co. Source: Bloomberg, AlJazira Capital, Prices as of 27 of August. * Trailing 12 months (TTM) United Cooperative Assurance Co., Al-Babtain Power and Telecommunication Co., and Trade Union Cooperative Insurance Co., posted the lowest P/E (7.63x-7.84x) in the Saudi market for the trailing 12 months (TTM), followed by Arabian Shield Cooperative Insurance Co.(7.93x). Lowest P/BV Company Dar Al Arkan Al Jouf Cement Co. Saudi Real Estate Co. Methanol Chemicals Co. Saudi Ceramic Co. Najran Cement Co. Bank Aljazira Al Hassan Ghazi Ibrahim Shaker Co. Abdullah A. M. Al-Khodari Sons Co. Saudi Arabian Amiantit Co. Saudi Investment Bank Saudi Re for Cooperative Reinsurance Co. Tabuk Cement Co. Northern Region Cement Co. Saudi Advanced Industries Co. P/Bv (x) P/E TTM (x) 11.13 9.69 9.65 9.50 9.19 7.67 7.66 7.44 7.40 7.07 6.83 6.81 6.40 6.29 6.22 2.50 0.88 1.37 1.01 1.86 1.36 2.34 0.93 1.43 1.50 1.34 5.34 2.22 0.91 0.93 10.41 16.58 11.31 12.33 10.25 10.72 13.90 9.03 16.20 16.78 15.35 13.79 13.20 NM 11.17 Source: Bloomberg, AlJazira Capital, Prices as of 27 of August. * Trailing 12 months (TTM) Saudi Cement Co. had the highest dividend yield (11.13%) in the Saudi market. The Materials sector dominated the market in terms of dividend yield, with 9 companies ranking among the top 15 companies. Highest 15 Companies P/Bv (x) P/E TTM (x) D/Y (%)* 0.36 0.62 0.70 0.73 0.75 0.76 0.78 0.78 0.79 0.79 0.80 0.81 0.82 0.84 0.84 38.92 19.79 20.62 NM NM 42.83 8.71 NM NM NM 9.21 10.17 39.48 23.74 41.55 --4.89 -3.70 -5.97 3.06 --3.13 --4.74 1.90 Source: Bloomberg, AlJazira Capital, Prices as of 27 of August. 1 D/Y(%)* Overall, the dividend yield in the Saudi market stood at 3.30% The average P/E for the Saudi market on a TTM basis stood at 17.12x. Lowest 15 Companies Highest D/Y Accumulated Loss to Capital Company The Mediterranean and Gulf Insurance Co. Etihad Atheeb Telecommunication Co. Mobile Telecommunications Co. Al Sorayai Trading and Industrial Group Saudi Paper Manufacturing Co. MetLife AIG ANB Cooperative Insurance Co. Al-Ahlia Insurance Co. Allied Cooperative Insurance Group Saudi Fisheries Co. Middle East Specialized Cables Co. Tihama Advertising and Public Relations Co. Saudi Cable Co. Anaam International Holding Group Nama Chemicals Co. Saudi Enaya Cooperative Insurance Co. L /C refers to accumulated losses to capital Bk Value P/Bv (x) L/C (%) 4.2 6.0 6.2 7.3 7.4 6.5 6.7 6.7 7.1 7.7 7.0 7.8 11.7 8.0 3.08 1.33 1.41 1.12 1.12 3.06 1.66 2.26 4.48 1.11 6.48 2.03 1.56 2.52 -73.4% -40.3% -38.1% -36.3% -36.2% -35.5% -33.8% -31.6% -29.3% -28.6% -24.6% -23.7% -21.9% -21.9% -19.8% Source: Bloomberg, AlJazira Capital, Prices as of 27 of August. Dar Al Arkan Co. had the lowest P/BV (0.36x) in the Saudi market, followed The Mediterranean and Gulf Insurance and Reinsurance Co., Etihad by Al Jouf Cement Co. (0.62x). Atheeb Telecommunication Co., and Mobile Telecommunications Co. lost The TTM P/BV for the Saudi market stood at 1.74x 73.4%,40.3%, and 38.1% of capital (since inception), respectively. © All rights reserved
  2. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Best 15 Companies Please read Disclaimer on the back Worst 15 Companies Top price performers Company YTD % P/Bv (x) P/E TTM (x) Saudi Research and Marketing United Electronics Co. Salama Cooperative Insurance Co. Jazan Development Co. Buruj Cooperative Insurance Co. Arabia Insurance Cooperative Co. Al-Rajhi Company for Cooperative Insurance Jarir Marketing Co. Saudi Arabian Mining Co. Saudi Company for Hardware Abdullah Al Othaim Markets Co. Fawaz Abdulaziz Alhokair Co. Al-Baha Investment and Development Co. Saudi United Cooperative Insurance Co. Wataniya Insurance Co. 108.7% 108.4% 60.10 %  47.88 %  46.83 %  43.54 %  42.08 %  32.35 %  28.49 %  27.21 %  25.49 %  23.91 %  23.83 %  23.38 %  23.14 %  5.74 3.69 2.19 1.43 2.46 1.72 4.34 9.22 2.23 4.49 4.37 2.87 3.39 2.14 3.15 NM 20.77 9.98 89.08 8.11 36.21 16.11 16.95 79.37 19.54 21.22 20.88 NM 8.02 12.67 Worst price performers Company YTD % P/Bv (x) P/E TTM (x) The Mediterranean and Gulf Insurance Co. Nama Chemicals Co. Southern Province Cement Co. Red Sea International Co. Saudi Ground Services Co. Saudi Vitrified Clay Pipes Co. National Medical Care Co. Saudi Cement Co. Al Sagr Cooperative Insurance Co. Qassim Cement Co. Eastern Province Cement Co. Tihama Advertising and Public Relations Co. Yanbu Cement Co. United Wire Factories Co. Arabian Cement Co. -52.2% -45.4% -38.5% -37.7% -35.7% -34.6% -34.2% -33.6% -32.8% -31.7% -30.7% -30.7% -29.4% -29.0% -28.5% 3.08 1.56 2.22 1.23 2.74 2.00 1.97 2.50 1.43 2.34 0.93 6.48 1.37 1.53 1.01 NM NM 13.20 40.09 13.88 17.01 NM 10.41 16.20 13.90 11.17 NM 11.31 22.94 12.33 Source: Bloomberg, AlJazira Capital, Prices as of 27 of August. Saudi Research and Marketing Group Company has been the best The Mediterranean and Gulf Insurance and Reinsurance Co. has been the performing stock since the beginning of 2017 (up 108.7% YTD), followed worst performer (down 52.2% YTD), followed by Nama Chemical Co. (down by United Electronics Co. (up 108.4% YTD). 45.4% YTD). The list indicates that just 15 companies have provided returns of 23.0% or The list indicates that 15 companies lost 28.5% or more of their value since more, since the start of 2017 the start of the year. Top 15 Companies Weight to the market index Company Al Rajhi Bank Saudi Basic Industries Corp. Jabal Omar Development Co. National Commercial Bank Almarai Co. Samba Financial Group Saudi Telecom Co. Savola Group Banque Saudi Fransi Saudi Arabian Mining Co. Saudi Electricity Co. Riyad Bank Alinma Bank Saudi British Bank Jarir Marketing Co. Least 15 Companies % of TASI No. of Free Shares (mn) P/E TTM (x) 13.2% 8.6% 5.6% 5.1% 3.8% 3.5% 3.3% 2.7% 2.7% 2.7% 2.4% 2.3% 2.3% 1.8% 1.7% 1,625.0 3,000.0 929.4 2,000.0 800.0 2,000.0 2,000.0 534.0 1,205.4 1,168.5 4,167.0 3,000.0 1,500.0 1,500.0 90.0 12.69 15.79 70.46 11.14 30.59 9.79 16.31 NM 10.70 79.37 10.51 11.50 15.61 10.25 16.95 Source: Bloomberg, AlJazira Capital, Prices as of 27 of August. Al Rajhi Bank, at 13.2%, has the highest share of the Saudi market, followed by Saudi Basic Industries Corp (8.6%), and Jabal Omar Development Co (5.6%). These three companies account for more than 27.4% of the market index. The most influential stocks in the Saudi market are from the Banking. 2 Source: Bloomberg, AlJazira Capital, Prices as of 27 of August. © All rights reserved Ratio of free to issued shares Company Kingdom Holding Co. Saudi Telecom Co. Saudi Electricity Company National Petrochemical Co. Saudi Basic Industries Corp Rabigh Refining and Petrochemical Saudi Airlines Catering Co.  Alawwal Bank Middle East Healthcare Co. Saudi Ground Services Co. Al Hammadi Co. L’Azurde For Jewelry Co. Aljazira Takaful Taawuni Co. Al Alamiya Cooperative Insurance Co. Al Yamamah Steel Industries Co. Issued Free Shares Shares (mn) (mn) 3705.9 2000.0 4167.0 480.0 3000.0 876.0 82.0 1143.1 92.0 188.0 120.0 35.0 43.0 40.0 50.8 185.3 322.9 712.0 82.3 629.8 190.2 19.8 314.4 27.2 56.0 35.9 10.5 12.9 12.0 15.3 F/I (%) 5.0% 16.1% 17.1% 17.1% 21.0% 21.7% 24.2% 27.5% 29.5% 29.8% 29.9% 30.0% 30.0% 30.0% 30.0% Source: Bloomberg, AlJazira Capital, Prices as of 27 of August. F/I refers to free to issued shares Kingdom Holding Co. has the lowest ratio of free-to-issued shares, with just 5.0% of the shares issued being traded in the market. According to the data, four companies have less than 21.0% of free floats
  3. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Best 15 Companies Please read Disclaimer on the back Best15 Companies Return on Equity (ROE) Company YTD % P/Bv (x) Jarir Marketing Co. Saudi Airlines Catering Co. Buruj Cooperative Insurance Co. The Company for Cooperative Arabian Shield Cooperative Co. Al-Rajhi Company for Insurance Herfy Food Services Co. Advanced Petrochemical Co. Saudi United Insurance Co. Bupa Arabia for Insurance Co. Saudia Dairy and Foodstuff Co. Saudi Cement Co. Wataniya Insurance Co. Saudi Company for Hardware Middle East Healthcare Co. 21.0% -15.0% 12.9% 31.3% 20.2% 23.5% 7.2% 0.9% 26.2% -13.1% -6.3% -1.9% 17.9% -25.9% 4.7% 9.22 5.34 2.46 4.18 2.42 4.34 3.90 3.13 2.14 4.62 3.19 2.50 3.15 4.49 3.83 ROE (%) 54.4% 38.8% 28.9% 28.9% 27.0% 26.4% 25.4% 25.4% 25.1% 24.2% 24.2% 24.1% 23.8% 23.0% 21.7% Return on Assets (ROA) Company YTD % P/Bv (x) Jarir Marketing Co. Saudia Dairy and Foodstuff Co. Advanced Petrochemical Co. Saudi Cement Co. Thob Al Aseel Co. Herfy Food Services Co. Qassim Cement Co. Saudi Ground Services Co. Saudi Company for Hardware Middle East Healthcare Co. Saudi Arabia Fertilizers Co. Mouwasat Medical Services Co. Southern Province Cement Co. Dallah Healthcare Co. Al-Samaani 21.0% -15.0% -25.9% 4.7% -25.8% -28.2% -37.8% -1.9% 0.9% -12.5% 6.2% -6.3% -31.9% 1.7% 2.5% 9.22 3.19 3.13 2.50 1.78 3.90 2.34 2.74 4.49 3.83 3.74 6.05 2.22 4.05 1.75 Source: Bloomberg, AlJazira Capital, Prices as of 27 of August. Jarir Marketing Co. has the highest return on equity (RoE) at 54.4% on a TTM basis, followed by Saudi Airlines Catering Co. at 38.8%. ROA (%) 30.0% 17.8% 16.7% 16.4% 16.1% 15.4% 14.9% 14.9% 13.9% 13.7% 13.1% 13.1% 12.7% 11.8% 11.7% Source: Bloomberg, AlJazira Capital, Prices as of 27 of August. Jarir Marketing Co. and Saudia Dairy and Foodstuff Co. registered the highest return on assets (RoA) in the Saudi market at 30.0% and 17.8% on a TTM basis, followed by Advanced Petrochemical Co. at 16.7%. The top 6 companies have RoE of over 26.0%. The top 5 companies have RoA of over 16.0% Total net profit for listed companies in the Saudi Market 40,000 -1.1% -10.8% -7.3% 50.0% 40.0% 30.0% 20.0% (SAR Mn) 30,000 38.9% 20,000 10.0% 0.0% 10,000 -10.0% 0 3Q2015/2016 4Q2015/2016 Earnings (Prior Year TTM) 1Q2016/2017 2Q2016/2017 Earnings (Current Year TTM) -20.0% % YoY (RHS) Source: Bloomberg, AlJazira Capital The overall net earnings of the companies listed on the TASI decreased 10.8% YoY to SAR 25.8bn in 2Q2017 from SAR28.9bn in 2Q2016. Banks and Materials accounted for 67.3% of total earnings. SABIC, National Commercial Bank, and Saudi Telecom Company were major growth drivers, accounting for 14.4%,9.4%, and 9.2% share of earnings, respectively, in 2Q2017. 3 © All rights reserved
  4. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Please read Disclaimer on the back Sectors Performance Total Saudi Market 1 ,819.1 0.53 2,250.7 2,265.0 0.53 2,269.8 663.1 0.17 288.1 28,939.1 0.56 25,823.6 Sector profit to Total 0.37 0.51 0.05 0.83 0.54 -0.03 0.66 0.10 0.93 0.74 0.60 0.65 0.45 0.67 0.06 0.27 -21.0% -29.8% -81.0% -16.8% -14.5% -116.4% -19.3% -113.6% 0.0% 6.1% -5.7% -13.2% 35.8% -2.4% -518.3% -34.7% 1.89% 23.43% 0.11% 0.46% 1.03% -0.03% 1.22% 0.03% 1.74% 0.34% 3.93% 1.07% 0.21% 43.86% 0.88% 1.20% 0.66 0.54 0.07 0.50 23.7% 0.2% -56.6% -10.8% 8.72% 8.79% 1.12% 100.0% Jul 2017 (SAR) Jun 2017 487.2 6,050.4 29.3 118.2 266.7 -6.6 314.5 8.5 449.4 89.0 1,015.0 277.1 53.4 11,325.5 227.6 309.8 EPS May 2017 0.46 0.73 0.26 1.00 0.64 0.16 0.81 -0.72 0.93 0.70 0.64 0.74 0.33 0.69 -0.01 0.41 (SARmn) Apr 2017 616.4 8,613.6 154.2 142.2 312.0 40.1 389.6 -62.7 449.5 83.9 1,075.8 319.2 39.4 11,599.0 -54.4 474.3 Net Profit Mar 2017 Energy Materials Capital Goods Commercial & Professional Svc. Transportation Consumer Durables & Apparel Consumer Services Media Retailing Food & Staples Retailing Food & Beverages Health Care Equipment & Svc. Pharma, Biotech & Life Science Banks Diversified Financials Insurance Telecommunication Services Utilities Real Estate Mgmt & Dev't. (SAR) Feb 2017 (SARmn) EPS 0.0% YTD 7600 7400 7200 7000 6800 6600 6400 Jan 2017 Net Profit YoY Change Dec 2016 Sector 2Q2017 YTD TASI Index Performance YTD 2017 Sector Performance 80.0% 60.0% 40.0% 20.0% 0.0% Banks Capital Goods Comm & Prof Svc Consumer Svc Cons Dura & App Diversified Fin Energy Food & Beverages Food & Stapl Ret HC Equip & Svc Insurance Media Materials Phar, Bio & LS Retailing RE Mgmt & Dev Transportation Tel Svc Utilities 2Q2016 -20.0% -40.0% Source: Bloomberg, AlJazira Capital. hh The Saudi market’s net profit declined 10.8% YoY to SAR25.8bn in 2Q2017 from SAR 28.9 in 2Q2016. hh The market’s weighted-average earnings per share (EPS) in 2Q2017 stood at SAR 0.50. hh Index heavyweights Banks and Materials contributed the most to total earnings (43.9% and 23.4%, respectively), while Consumer Durables & Apparel contributed the least. hh The Pharma, Biotech & Life Science sector was the best performer in the Saudi market, with a 35.8% YoY increase in net profit at SAR 53.4mn in 2Q2017, compared with a net profit of SAR39.4mn in 2Q2016. hh In 2Q2017, 14 sectors witnessed YoY decline, while 4 sectors registered YoY increase in profit. The combined profit after tax (PAT) of the 19 sectors declined 10.8%YoY, led by higher weightage of the Banks and Materials. 4 © All rights reserved
  5. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Please read Disclaimer on the back Energy Sector P /E TTM (x) P/Bv (X) D/Y (%)* Saudi Arabia Refineries -0.2 Rabigh Refining 101.0 National Shipping 487.1 Aldrees 28.5 -0.01 0.12 1.24 0.57 -1.0 316.0 153.9 18.3 -0.07 0.36 0.39 0.37 -410.0% 212.9% -68.4% -35.8% NM NM 10.72 19.60 1.31 1.32 1.36 2.09 --7.7 3.1 Total 0.46 487.2 0.37 -21.0% 19.44 1.37 4.0% 616.4 Jul 2017 (SAR) Jun 2017 YoY Change May 2017 (SARmn) EPS Apr 2017 (SAR) Net Profit Mar 2017 (SARmn) EPS -14.2% YTD Feb 2017 Net Profit 5200 5000 4800 4600 4400 4200 4000 3800 Jan 2017 Company Name 2Q2017 Dec 2016 2Q2016 Energy Sector Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) YTD 2017 Energy Sector Net earnings of Saudi Arabia’s Energy sector declined to SAR487.2mn in 2Q2017 compared to SAR616.4mn in 2Q2016. The sector’s EPS stood at SAR 0.37. hh Saudi Arabia Refineries was the worst performer during the quarter, reporting a net loss of SAR 1.0mn in 2Q2017. 10.0% 5.0% 0.0% RABIGH REFINING -5.0% -10.0% -15.0% -20.0% -25.0% 5 © All rights reserved NATIONAL SHIPPIN ALDREES SAUDI ARABIA PETROLEU REF
  6. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Please read Disclaimer on the back Materials Sector 4700 Aug 2017 Jul 2017 Jun 2017 May 2017 4500 Apr 2017 4600 Materials Sector % YTD 2017 Materials Sector 30.0% 40.0% Saudi Basic Industries Corp Saudi Arabian Mining Co Yanbu National Petrochemical Co Saudi Arabian Fertilizer Co Saudi Kayan Petrochemical Co Advanced Petrochemical Co National Industrialization Co Saudi Industrial Investment Group Saudi Cement Co Sahara Petrochemical Co Saudi International Petrochemical Co Yanbu Cement Co Yamama Cement Co Arabian Cement Co/Saudi Arabia Southern Province Cement Co Qassim Cement Co/The Eastern Province Cement Co Northern Region Cement Co Alujain Corp National Petrochemical Co Zamil Industrial Investment Co Najran Cement Co City Cement Co Al Jouf Cement Co Hail Cement Co Methanol Chemicals Co United Wire Factories Co Tabuk Cement Co Takween Advanced Industries Co Arabian Pipes Co National Co for Glass Manufacturing/The UMM AL-QURA Cement Co Basic Chemical Industries Ltd Nama Chemicals Co Middle East Paper Co National Metal Manufacturing & Casting C Filing & Packing Materials Manufacturing Al Yamamah Steel Industries Co Saudi Paper Manufacturing Co National Gypsum Saudi Steel Pipe Co 20.0% Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM), **3Q Ending in June 31st 4800 0.0% 5.64 5.38 4.05 6.20 4.54 2.96 -2.50 1.60 ----6.40 11.13 9.69 2.30 9.50 --4.74 7.66 9.65 3.07 6.22 ---4.44 4.83 -3.70 9.19 -4.05 6.03 1.43 -2.29 7.44 -4.9% 4900 10.0% 1.13 2.04 1.88 3.13 1.31 1.22 1.45 3.74 0.96 0.92 0.73 1.56 2.22 2.50 0.88 0.99 1.01 0.62 0.82 0.84 2.34 1.37 0.97 0.93 0.76 1.79 1.24 1.27 1.22 2.23 1.53 1.86 1.16 0.88 1.06 2.15 0.87 1.57 0.93 1.12 1.79 5000 -10.0% -14.3% 12.94 -53.7% 14.50 -25.2% 15.79 1.3% 12.33 -36.4% 22.47 7.0% 21.15 -53.6% 16.03 -32.4% 23.64 424.6% 36.26 148.7% 16.56 NM 92.3% NM -64.6% 13.20 -62.2% 10.41 -90.1% 16.58 -80.7% 16.18 -74.8% 12.33 -53.7% 19.79 -93.9% 39.48 -83.0% 23.74 -53.3% 13.90 -49.5% 11.31 -89.5% 20.34 -25.8% 11.17 42.83 41.15 NM -79.4% NM -5.3% 14.38 108.2% 79.37 -98.7% 22.94 -74.7% 10.25 153.0% NM 71.67 223.1% 13.35 -89.7% 55.48 -72.1% 114.55 NM -28.8% 9.03 47.2% NM -29.8% 17.55 5100 -20.0% 0.20 0.61 1.24 0.99 NM 0.28 0.14 0.16 0.49 0.16 0.16 0.02 -0.11 0.68 0.61 0.03 0.07 0.36 0.07 0.01 0.05 0.59 0.51 0.06 0.41 -0.02 0.15 -0.13 0.36 0.45 0.31 0.01 0.34 0.15 -0.08 1.14 0.03 0.08 -0.23 0.61 -0.08 0.51 D/Y (%)* -30.0% 0.24 88.6 1.33 345.7 1.65 3710.0 0.98 194.5 NM 208.0 0.43 132.3 87.5 0.13 93.6 151.0 0.34 70.0 302.3 0.73 204.3 11.4 0.03 59.8 97.3 0.06 242.0 0.1 0.00 2.6 -33.4 -1.42 -2.6 268.0 1.91 95.0 249.0 1.63 94.0 26.8 0.27 2.7 64.2 0.34 12.4 141.0 1.41 35.5 22.7 0.16 10.5 21.1 0.23 1.3 48.7 0.27 8.3 113.9 1.27 53.2 159.2 1.01 80.5 116.3 0.57 12.2 47.3 0.55 35.1 33.9 0.20 -4.2 -4.4 -0.08 8.5 12.5 0.13 -12.7 88.3 1.77 18.2 13.2 0.48 12.5 171.2 0.15 356.5 38.6 0.88 0.5 67.9 1.34 17.2 3.0 0.06 7.7 2.3 0.07 -2.5 11.6 0.35 37.6 3.9 0.34 0.4 11.2 0.28 3.1 11.0 0.39 -6.4 51.2 0.85 36.5 -7.2 -0.16 -3.8 8,613.6 0.7 6,050.4 P/Bv (X) -40.0% Total 103.4 747.3 4960.0 192.1 (SAR) P/E TTM (x) -50.0% Sahara Petrochemical Yanbu National Petro Saudi Basic Industries Advanced Petrochemical Alujain Corporation National Petrochemical National Industrialization Saudi Industrial Investment Group Saudi Arabia Fertilizers Saudi International Petrochemical Saudi Kayan Methanol Chemicals Nama Chemicals Southern Province Saudi Cement Hail Cement City Cement Arabian Cement Al Jouf Cement Tabuk Cement Northern Region Qassim Cement Yanbu Cement Yamamah Saudi Eastern Province Najran Cement Umm Al-Qura Cement Takween Advanced Middle East Paper Basic Chemical Saudi Arabian Mining United Wire Factories Al Yamamah Steel ** Saudi Steel Pipe National Gypsum The National Glass FIPCO Arabian Pipes MAADANIYAH Zamil Industrial Saudi Paper (SARmn) YoY EPS Change Mar 2017 (SARmn) Net Profit Feb 2017 Net Profit EPS (SAR) 5200 Jan 2017 Company Name 0.2% YTD 2Q2017 Dec 2016 2Q2016 The net profit of Saudi Arabia’s Materials sector declined 29.8% YoY to SAR 6.0bn in 2Q2017 from SAR 8.6bn in 2Q2016. Index heavyweight Saudi Basic Industries Corp recorded a decrease of 25.2%. Saudi Arabia Fertilizers Company reported a decline of 32.4% YoY. The sector’s EPS stood at SAR 0.51. hh All cement companies in this sector registered a YoY decline in profit expect for Umm AlQura which recorded net income of SAR 8.5mn. Tabuk Cement Company’s profit (down 93.9% YoY) declined the most, followed by Hail Cement (down 90.1% YoY). 6 © All rights reserved
  7. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Please read Disclaimer on the back Capital Goods Sector Source : Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) Jul 2017 30% 20% 10% 0% -10% -20% -30% -40% ABDULLAH A.M. AL 0.05 -81.0% 15.92 1.18 4.3% YTD 2017 Capital Goods Sector ELECTRICAL INDUS 29.3 Jun 2017 0.26 Capital Goods Sector SAUDI INDUS EXPO 154.2 May 2017 2.7 -14.5 41.2 16.0 0.4 -13.2 10.9 SAUDI CABLE CO 5.25 3.06 -3.70 0.00 --3.65 5.34 --4.33 SAUDI VITRIFIED -12.3 1.6 39.9 23.9 76.8 -0.5 9.8 0.15 0.09 -0.45 -0.10 0.06 -0.13 0.97 1.07 0.01 -1.22 0.24 Apr 2017 1.27 1.06 0.79 0.75 1.25 0.79 1.54 2.00 1.11 3.22 1.50 8.9 7.0 -25.0 -5.2 BAWAN CO 15.46 41.44 NM NM NM NM 7.76 17.01 40.89 NM 17.97 0.89 -0.13 -1.01 0.57 -0.25 0.01 0.94 1.59 1.28 -0.04 0.22 Mar 2017 P/Bv D/Y (X) (%)* MIDDLE EAST SPEC -83.3% 55.5% 3.3% -33.1% -99.4% 11.7% P/E TTM (x) Al-Ahsa Development Co (SAR) Feb 2017 YoY Change ASTRA INDUSTRIAL Total 53.2 -10.6 -56.2 28.6 (SARmn) EPS Jan 2017 Bawan Company Astra Industrial Group ALKHODARI Saudi Ceramic Co. Saudi Cable Company Al-Ahsa Development Saudi Arabian Amiantit Al-Babtain Saudi vitrified clay Pipes Middle East Specialized Cables Saudi Industrial Export Electric Industries (SAR) Net Profit Saudi Arabian Amiantit (SARmn) EPS SAUDI CERAMIC CO Net Profit 5500 5300 5100 4900 4700 4500 4300 4100 3900 3700 3500 Dec 2016 Company Name -11.5% YTD 2Q2017 AL BABTAIN POWER 2Q2016 Net earnings of Saudi Arabia’s Capital Goods sector decreased by 81.0% YoY stood at SAR29.3mn during 2Q2017 compared to SAR 154.2mn. The sector’s EPS stood at SAR 0.05. The decrease in sector’s profitability was due to non-recurring returns of Middle East Specialized Cables during 2Q2017. 7 © All rights reserved
  8. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Please read Disclaimer on the back Commercial & Professional Svc Sector 0.4 0.01 -12.8 -0.21 - NM 1.57 -- Saudi Airlines Catering 141.8 1.73 131.0 1.60 -7.6% 13.79 5.34 6.81 Total 142.2 1.00 118.21 0.83 -16.8% 13.79 3.84 5.9% Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) Jul 2017 D/Y (%)* Jun 2017 P/Bv (X) May 2017 (SARmn) YoY P/E EPS Change% TTM (SAR) (x) Apr 2017 Saudi Printing and Packaging (SAR) Net Profit Mar 2017 (SARmn) EPS Feb 2017 Net Profit 5300 5100 4900 4700 4500 4300 4100 3900 3700 3500 Jan 2017 Company Name -7.3%YTD 2Q2017 Dec 2016 2Q2016 Commercial & Professional Services Sector YTD 2017 Commercial & Professional Svc Sector 15.0% 10.0% Saudi Arabia’s Commericial & Professional Services sector recorded a 16.8% decline in net 5.0% profit of SAR 118.2mn in 2Q2017, as compared to net profit of SAR 142.2mn in 2Q2016. 0.0% Saudi Printing and Packaging Co. -5.0% The sector’s EPS for the quarter stood at SAR 0.83. -10.0% -15.0% Saudi Airlines Catering Transportation Sector (SAR) Saudi Ground Services 195.8 Saudi Public Transport 6.1 United International Transportation 46.2 Saudi Industrial Services 53.2 Batic Investments and Logistics 10.7 1.04 0.05 0.65 0.65 0.45 122.3 39.5 42.7 46.2 16.1 0.65 0.32 0.60 0.57 0.67 -37.6% 550.1% -7.7% -13.2% 49.6% Total 0.64 266.7 0.54 -14.5% 14.27 2.01 3.7% 312.0 13.88 13.67 9.22 11.89 107.24 2.74 1.12 1.50 0.94 4.70 4.60 3.50 5.05 -0.39 Jul 2017 EPS Jun 2017 (SARmn) May 2017 Net Profit Apr 2017 (SAR) Mar 2017 (SARmn) EPS -20.0% YTD 5500 5300 5100 4900 4700 4500 4300 4100 3900 3700 3500 Feb 2017 Net Profit YoY Change P/E D/Y % TTM P/Bv (X) (%)* (x) Jan 2017 Company Name 2Q2017 Dec 2016 2Q2016 Transport Sector Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) 8 © All rights reserved Saudi Industrial Services Co the highest increase of 550.1% YoY. Batic Investments and Logistic Co Saudi Ground Services showed a decrease of 37.6% YoY, while Saudi Public Transport showed United International Transportation Co SAR312.0mn in 2Q2016. The sector’s EPS stood at SAR 0.54. Saudi Public Transport Co The Transportation sector’s net profit declined 14.5% YoY to SAR266.7mn in 2Q2017 from 10.0% 5.0% 0.0% -5.0% -10.0% -15.0% -20.0% -25.0% -30.0% -35.0% -40.0% Saudi Ground Services Co YTD 2017 Transportation Sector
  9. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Please read Disclaimer on the back Consumer Durables & Apparel Sector 8.5% -50.2% - P/Bv (X) D/Y(%)* NM NM 35.31 32.07 27.23 31.77 1.12 1.24 0.91 2.40 0.98 1.19 --3.67 2.22 -3.1% 5000 4800 4600 4400 4200 4000 Aug 2017 -0.79 -0.26 0.17 0.15 0.24 -0.03 P/E TTM (x) Jul 2017 -29.5 -10.3 13.7 6.4 13.1 -6.6 (SAR) Jun 2017 0.00 0.20 0.16 -0.16 0.48 0.16 YoY Change% May 2017 Total 0.1 8.1 12.6 -7.0 26.3 40.1 (SARmn) EPS Apr 2017 Al Sorayai Trading Group Saudi Industrial Dev. AlAbdullatif Industrial Co Lazurde Co. Fitaihi Holding Group (SAR) Net Profit Mar 2017 (SARmn) EPS Feb 2017 Net Profit 5200 Jan 2017 Company Name -2.4% YTD 2Q2017 Dec 2016 2Q2016 Consumer Durables & Apparel Sector Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) The sector’s net loss was supported by Al Sorayai Trading Group and Saudi Industrial Development Company which registered a loss of SAR 29.5mn and SAR10.3mn, respectively, during 2Q2017. -10.0% -15.0% -20.0% L'AZURDE CO FOR 0.0% -5.0% FITAIHI HOLDING 5.0% ALABDULLATIF compared to net profit of SAR 40.1mn in 2Q2016. The sector’s EPS stood at SAR -0.03. 10.0% SIDC Saudi Arabia’s Consumer Durables & Apparel sector’s showed a loss of SAR6.6mn in 2Q2017 ALSORAYAI GROUP YTD 2017 Consumer Durables & Apparel Sector Consumer Services Sector Total 0.33 1.01 0.02 0.67 0.27 0.27 0.66 15.2% -28.6% -82.5% -12.3% -10.3% -19.3% 18.44 10.59 NM 15.36 13.33 16.49 12.85 D/Y(%)* 1.14 1.20 3.18 3.90 1.43 2.35 1.54 4.15 1.47 -4.08 2.60 4.26 2.5% Jul 2017 33.5 212.0 0.2 43.4 10.7 14.8 314.5 P/Bv (X) Jun 2017 0.29 1.42 0.09 0.76 -0.08 0.30 0.81 (SAR) P/E TTM (x) May 2017 29.1 297.0 0.9 49.5 -3.3 16.5 389.6 (SARmn) EPS Apr 2017 Dur Hospitality Co. Al-Tayyar Travel Group Tourism Enterprise Co. Herfy Food Services Alkhaleej Co. Abdulmohsen Alhokair (SAR) Net Profit Mar 2017 (SARmn) EPS 5100 4900 4700 4500 4300 4100 3900 3700 Feb 2017 Net Profit YoY Change% Jan 2017 Company Name -8.1%YTD 2Q2017 Dec 2016 2Q2016 Consumer Services Sector Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) 9 © All rights reserved SHAMS AL KHALEEJ TRAIN DUR HOSPITALITY ABDUL MOHSEN AL HERFY FOOD SERVI 314.5mn in 2Q2017 from SAR 389.6mn in 2Q2016. The sector’s EPS was SAR 0.66. AL TAYYAR TRAVEL The net earnings of Saudi Arabia’s Consumer Services sector declined 19.3% YoY to SAR 2.0% 0.0% -2.0% -4.0% -6.0% -8.0% -10.0% -12.0% -14.0% -16.0% -18.0% -20.0% - YTD 2017 Consumer Services Sector
  10. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Please read Disclaimer on the back Media Sector P /Bv (X) D/Y (%)* Saudi Research Tihama Adv. & PR** -51.6 -11.1 -0.65 -1.48 6.7 1.8 0.08 0.24 - NM NM 5.74 6.48 --- Total -62.7 -0.72 8.5 0.10 - NM 5.78 0.0% Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) **1Q Ending in June 2017. Jul 2017 (SAR) Jun 2017 EPS 10200 9200 8200 7200 6200 5200 4200 3200 May 2017 (SARmn) P/E TTM (x) Apr 2017 (SAR) YoY Change% Mar 2017 EPS (SARmn) Net Profit Feb 2017 Net Profit Jan 2017 Company Name 72.2% YTD 2Q2017 Dec 2016 2Q2016 Media Sector Saudi Arabia’s Media sector recorded a net profit of SAR 8.5mn in 2Q2017, as compared to a loss of SAR 62.7mn in 2Q2016. YTD 2017 Media Sector 120.0% 100.0% 80.0% The sector’s EPS for the quarter stood at SAR 0.10. 60.0% 40.0% 20.0% 0.0% -20.0% SAUDI RESEARCH -40.0% TIHAMA Retailing Sector 5.97 1.63 1.37 -5.25 -- 287.5% 8.9% 43.4% 16.8% 4.1% NM 14.59 19.15 28.00 16.40 NM Total 0.93 449.4 0.93 0.0% 24.49 5.58 449.5 **1Q Ending in June 2017. Saudi Arabia’s Retailing sector recorded a net profit of SAR449.4mn in 2Q2017. The sector’s EPS stood at SAR 0.93. Fawaz Abdulaziz AlHokair Co. dominated the sector earnings, the net profit was up 4.1% YoY to SAR 232.4mn in 2Q2017. In addition, Jarir Marketing Company registered net profit of 10 © All rights reserved 4500 4000 Retailing Sector 4.8% Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) SAR147.8mn compared to SAR 126.5mn in 2Q2016. 5000 YTD 2017 Retailing Sector 120.0% 100.0% 80.0% 60.0% 40.0% 20.0% 0.0% -20.0% -40.0% Shaker Co. -0.33 1.03 1.68 0.12 1.64 1.11 SASCO -21.1 43.4 40.4 6.5 147.8 232.4 United Electronics 0.75 0.27 1.54 0.08 1.41 1.06 5500 Jul 2017 0.82 2.59 4.40 1.11 8.93 NM Shaker Co. 47.0 Extra 11.2 Saudi Co. for Hardware 37.1 Saudi Automotive 4.5 Jarir Marketing Co. 126.5 Fawaz AlHokair Co.** 223.2 6000 Jun 2017 D/Y (%)* May 2017 P/Bv (X) Apr 2017 P/E TTM (x) Mar 2017 (SAR) Saudi Company for Hardware YoY Change% Feb 2017 (SARmn) EPS Hokair (SAR) Net Profit Jan 2017 (SARmn) EPS - Net Profit 6500 Dec 2016 Company Name 30.9% YTD 2Q2017 JARIR MARKETING 2Q2016
  11. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Please read Disclaimer on the back Food & Staples Retailing Sector 0.70 89.0 1.58 0.45 -0.28 0.30 43.1% -25.1% 50.0% 0.74 6.1% 21.22 15.12 NM NM 4.37 1.98 2.03 3.22 19.76 3.46 1.62 3.58 --- 1.9% Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) 5800 5600 5400 5200 5000 4800 4600 Jul 2017 71.2 20.4 -5.6 3.0 P/Bv D/Y(%)* (X) Jun 2017 1.11 0.60 0.25 0.20 83.9 (SAR) (SARmn) P/E TTM (x) May 2017 Total 49.8 27.2 5.0 2.0 YoY Change% EPS Apr 2017 Abdullah Al Othaim Saudi Marketing Co. Anaam International National Agriculture (SAR) Net Profit Mar 2017 (SARmn) EPS Feb 2017 Net Profit 6000 Jan 2017 Company Name 18.3% YTD 2Q2017 Dec 2016 2Q2016 Food & Staples Retailing Sector % YTD 2017 Food & Staples Retailing Sector Net earnings of Saudi Arabia’s Food & Staples sector increased by 6.1% YoY to SAR 89.0mn in 2Q2017 from SAR 83.9mn in 2Q2016. The sector’s EPS stood at SAR 0.74. Abdullah Al Othaim Co. was the best performer during the quarter, reporting a net profit of SAR71.2mn in 2Q2017. 35.0% 30.0% 25.0% 20.0% 15.0% 10.0% 5.0% 0.0% -5.0% -10.0% -15.0% Abdullah Al Othaim National Agricul Saudi Marketing Anaam Internatio Food & Beverages Sector The sector’s decrease in earnings was due to the decline in the net profit of index heavyweights Savola Group (down 9.5%YoY) and National Agricultural Development Co. (down 27.2% YoY). This decline in the sector’s net earnings was partially offset by stable YoY performance of another major player Almarai Co. (up 2.4% YoY). 11 © All rights reserved Jul 2017 Jun 2017 May 2017 Apr 2017 SAUDI FISHERIES 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% -10.0% -20.0% -30.0% Ash-Sharqiyah % YTD 2017 Food & Beverages Sector AL QASSIM AGRICU compared to SAR 1.07bn in 2Q2016. The sector’s EPS stood at SAR 0.60. Food & Beverages Sector WAFRAH FOR INDUS Saudi Arabia’s Food & Beverages sector recorded a net profit of SAR1.01bn in 2Q2017 4000 TABUK AGRICULTUR **1Q Ending in June 2017. 4500 AL JOUF Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) 5000 Mar 2017 1.87 3.37 -5.25 1.11 3.46 -3.00 1.07 ---1.3% HALWANI BROS CO 1.23 3.19 2.49 2.75 5.62 1.17 1.66 1.43 2.99 1.64 1.08 4.48 3.96 JAZAN DEVELOPMEN -76.7% NM -5.1% 13.18 NM -63.1% 34.54 2.4% 30.59 -66.4% 10.30 -27.2% 34.78 1.1% 89.08 -9.5% NM -94.8% NM 53.4% NM 3.9% NM -5.7% 28.53 5500 Feb 2017 0.02 2.38 -0.03 0.42 0.84 0.26 0.31 0.07 0.43 -0.52 -0.05 -0.46 0.60 6000 SADAFCO 0.10 0.7 2.50 77.2 0.04 -0.5 1.15 12.1 0.82 674.1 0.76 7.7 0.42 25.9 0.07 3.7 0.47 229.3 -0.26 -3.9 -0.10 -2.1 -0.48 -9.3 0.64 1,015.0 P/Bv D/Y(%)* (X) Jan 2017 Qassim Agriculture Co. 3.0 Saudia Dairy and Foodstuff Co.** 81.4 Wafrah for Industry 0.7 Halwani Bros 32.9 Almarai Company 658.4 Al-Jouf Agriculture 22.9 NADEC 35.6 Jazan Development 3.6 Savola Group 253.5 Sharqiya Dev Co. -2.0 Tabuk Agriculture -4.6 Saudi Fisheries Co. -9.7 Total 1,075.8 (SARmn) YoY Change P/E EPS % TTM (SAR) (x) NATIONAL AGRICUL (SARmn) Net Profit SAVOLA Net Profit EPS (SAR) 6500 Dec 2016 Company Name 21.3% YTD 2Q2017 ALMARAI CO 2Q2016
  12. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Please read Disclaimer on the back Health Care Equipment & Svc Sector Dallah Healthcare National Medical Care Mouwasat Medical Middle East Healthcare Al Hammadi Saudi Chemical 54.1 59.3 63.7 74.1 20.6 47.4 0.92 1.32 1.27 0.80 0.17 0.75 70.0 19.5 76.3 57.1 25.7 28.5 Total 319.2 0.74 277.1 D/Y (%)* 1.19 0.43 1.53 0.62 0.21 0.45 29.4% -67.1% 19.8% -22.9% 24.4% -39.8% 23.46 NM 28.02 17.66 48.49 16.78 4.05 1.97 6.05 3.83 2.92 1.50 1.86 -1.56 3.03 -7.07 0.65 -13.2% 23.97 3.44 3.1% Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) 4900 4800 4700 4600 4500 Jul 2017 (SARmn) P/Bv (X) Jun 2017 (SAR) P/E TTM (x) May 2017 (SARmn) EPS Apr 2017 (SAR) Net Profit Mar 2017 EPS Feb 2017 Net Profit YoY Change% Jan 2017 Company Name 5000 2Q2017 Dec 2016 2Q2016 -3.4% YTD 5100 Health Care Equipment & Services Sector % YTD 2017 Health Care Equipment & Svc Sector 20.0% Mouwasat 10.0% Medical 0.0% The Health Care Equipment & Services sector’s net profit decreased 13.2% YoY to SAR 277.1mn in 2Q2017 compared to SAR 319.2mn in 2Q2016. The sector’s EPS stood at SAR 0.65. -10.0% National Medical Care Company’s profit (down 67.1% YoY) declined the most. While Dallah Healthcare increased the most 29.4%YoY. -30.0% Middle East Healthcare Dallah Healthcare Saudi Chemical Co -20.0% National Medical Care AlHammadi -40.0% Pharma, Biotech & Life Scie. Sector 0.33 53.4 0.45 35.8% 10.81 1.55 2.98 Total 39.4 0.33 53.4 0.45 35.8% 10.81 1.56 3.0% Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) 4800 4600 4400 Pharma, Biotech & Life Science Sector % YTD 2016 Pharma, Biotech & Life Science Sector 0.0% -2.0% -4.0% Saudi Arabia’s Pharma, Biotech & Life Science sector increased 35.8% YoY to post a net profit of SAR53.4mn in 2Q2017 compared to SAR 39.4mn in 2Q2016. The sector’s EPS was SAR 0.45. -6.0% -8.0% -10.0% -12.0% -14.0% -16.0% 12 © All rights reserved Jul 2017 39.4 5000 Jun 2017 Saudi Pharmaceutical 5200 May 2017 (SAR) Apr 2017 (SARmn) EPS 5400 Mar 2017 (SAR) YoY Change% P/E TTM P/Bv D/Y (%)* (x) (X) Feb 2017 (SARmn) EPS Net Profit Jan 2017 Company Name Net Profit -14.8% YTD 5600 2Q2017 Dec 2016 2Q2016 SAUDI PHARMACEUT
  13. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Please read Disclaimer on the back Banks Sector 1 .26 2182.0 1.34 6.3% 12.69 2.00 4.52 NCB 2438.0 1.22 2417.0 1.21 -0.9% 11.14 1.74 3.97 Banque Saudi Fransi 1048.0 0.87 1005.0 0.83 -4.1% 10.70 1.18 5.01 Riyad Bank 1146.0 0.38 848.0 0.28 -26.0% 11.50 0.91 5.81 Saudi British Bank 1151.0 0.77 1129.0 0.75 -1.9% 10.25 1.18 4.06 Alawwal Bank 539.7 0.47 322.1 0.28 -40.3% 22.33 1.13 -- Samba Financial 1314.0 0.66 1271.0 0.64 -3.3% 9.79 1.10 5.11 Arab National Bank 818.0 0.82 849.0 0.85 3.8% 8.46 1.04 4.00 AlBilad Bank 183.9 0.31 238.8 0.40 29.9% 12.56 1.57 2.61 Saudi Investment Bank 321.4 0.43 355.7 0.47 10.7% 9.21 0.80 3.13 Bank AlJazira 178.0 0.34 220.0 0.42 23.6% 8.71 0.78 3.06 11,599.0 0.7 11,325.5 0.67 -2.4% 11.30 1.35 4.3% Total Jul 2017 2052.0 Banks Sector % YTD 2017 Banks Sector 30.0% 25.0% 20.0% 15.0% 10.0% 5.0% 0.0% -5.0% -10.0% BANK AL JAZIRA Al Rajhi Bank ALAWWAL BANK 2.96 Jun 2017 1.29 BANK ALBILAD 15.61 May 2017 19.3% SAUDI INVESTMENT 0.33 ARAB NATL BANK 488.0 Apr 2017 0.27 SAUDI BRITISH BK 409.0 RIYAD BANK Alinma Bank Mar 2017 P/E P/Bv TTM (x) (X) D/Y(%)* ALINMA BANK (SAR) Feb 2017 YoY Change% BANQUE SAUDI FR (SARmn) EPS Jan 2017 (SAR) Net Profit SAMBA (SARmn) EPS NATIONAL COMM Net Profit 10.1% YTD 5600 5500 5400 5300 5200 5100 5000 4900 4800 4700 4600 Dec 2016 Company Name 2Q2017 AL RAJHI BANK 2Q2016 Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) The Banking sector’s net profit declined 2.4% YoY to SAR11.3bn in 2Q2017. The sector’s EPS stood at SAR 0.67. AlBilad Bank registered the highest growth of 29.9%YoY while Alawwal Bank showed the worst performance with decline of 40.3%YoY during 2Q2017. 13 © All rights reserved
  14. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Please read Disclaimer on the back Diversified Financials Sector 2Q2016 Company Name Net Profit (SARmn) Saudi Adv. Ind. Co. AlBaha Kingdom Holding Co. Aseer Trading Co. Total 10.0 0.0 -80.0 15.6 -54.4 EPS (SAR) 0.20 0.00 -0.02 0.12 -0.01 2Q2017 Net Profit (SARmn) 7.6 0.0 216.3 3.7 227.6 EPS YoY Change% (SAR) 0.15 0.00 0.06 0.03 0.06 3.7% YTD 5400 -24.1% -76.3% - 5200 P/E TTM (x) P/Bv (X) D/Y (%)* 41.55 NM 67.44 NM 0.84 3.39 1.28 0.91 1.90 -4.86 6.29 66.74 1.26 4.8% 5000 4800 4600 4400 4200 4000 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Diversified Financials Sector Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) Saudi Arabia’s Diversified Financials sector recorded a net profit of SAR227.6mn in 2Q2017 compared to a loss of SAR54.4mn in 2Q2016. The sector’s EPS stood at SAR 0.06 in 2Q2017. 10.0% 5.0% 0.0% -5.0% -10.0% -15.0% 14 © All rights reserved Al-Baha Development 15.0% Saudi Advanced 20.0% Aseer 25.0% Kingdom Holding Co % YTD 2017 Diversified Financials Sector
  15. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Please read Disclaimer on the back Insurance Sector 4800 4600 4400 4200 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Insurance Sector % YTD 2017 Insurance Sector 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% -10.0% -20.0% -30.0% Solidarity Saudi Takaful Al Alamiya Salama Insurance AXA 80.0% 60.0% 40.0% 20.0% 0.0% -20.0% -40.0% -60.0% Trade Union % YTD 2017 Insurance Sector Al Sagr -7.40 -4.69 --1.44 ------1.74 -4.25 -1.35 1.26 --------------3.2% MEDGULF 2.26 1.43 1.72 2.42 1.54 1.67 2.46 4.34 2.19 1.97 2.26 3.47 1.80 2.64 1.76 4.18 3.12 2.76 4.62 2.55 1.66 3.29 1.74 3.15 3.08 2.75 0.81 1.66 2.52 2.64 1.72 2.14 3.06 2.99 5000 Buruj 11.18 16.20 36.21 7.93 9.46 7.63 8.11 16.11 9.98 11.34 25.91 29.90 8.63 33.07 18.13 13.23 26.42 16.81 14.88 101.22 7.84 21.95 12.93 12.67 NM NM 10.17 NM NM NM 9.12 8.02 NM 13.62 5200 United Assurance - -34.8% -88.1% 73.0% 121.9% -46.8% -36.4% 22.9% 68.2% 433.3% -16.9% 49.9% -47.2% 36.3% 41.2% 55.6% 2.0% 23.8% 18.8% 39.9% -36.8% 310.8% 79.1% -2.9% 81.1% 36.8% 30.9% -9.9% 16.3% 57.3% -34.7% D/Y (%)* Saudi Re 0.24 0.28 0.14 1.12 0.46 0.56 1.11 1.03 0.65 0.98 0.33 0.18 0.52 0.25 0.33 1.99 0.39 0.66 1.82 0.05 0.91 -0.13 0.56 0.38 -4.17 0.42 0.13 0.26 -0.17 -0.25 0.39 0.89 -0.09 0.27 P/Bv (X) Arabian Shield (SAR) 5400 P/E TTM (x) Walaa 2.9 6.9 3.7 22.4 11.5 27.4 27.8 41.1 16.2 9.8 6.6 7.1 12.9 8.9 14.8 248.8 7.8 11.1 145.8 1.8 25.1 -1.8 11.3 7.7 -417.3 5.0 13.4 4.1 -3.5 -7.5 5.8 35.6 -3.2 309.8 YoY Change% Al Rajhi Takaful 0.37 2.32 0.08 0.50 0.86 0.88 0.90 0.61 0.12 1.18 0.22 0.34 0.38 0.18 0.21 1.95 0.31 0.56 1.30 0.08 0.22 -0.61 0.58 0.21 -0.20 -10.80 -0.09 -0.31 -0.28 -0.36 0.43 0.76 -0.22 0.41 EPS Saudi Arabian Cooperative Total 4.5 58.0 2.1 10.1 21.6 43.2 22.6 24.4 3.0 11.8 4.4 13.5 9.5 6.3 9.5 243.9 6.3 9.3 104.2 2.8 6.1 -8.6 11.6 4.2 -19.7 -129.6 -8.9 -5.0 -5.5 -10.8 6.4 30.6 -7.6 474.3 (SAR) Net Profit Before Zakat(SARmn) SABB Takaful Alinma Tokio Marine Alahli Takaful AlJazira Takaful Amana Arabia Insurance Wataniya Saudi Enaya ACE Arabia Allianz Malath Wafa Gulf General AIG-ANB Gulf Union Allied Group Al-Ahlia Saudi Indian Co. Al Sagr Co-op Ins Arabia Insurance Arabian Shield Saudi Arabian United Cooperative Buruj Insurance Co. Al-Rajhi Company Salama Cooperative CHUBB Arabia Co. Allied Insurance Co. Al Alamiya Solidarity Saudi Aljazira Takaful AXA Cooperative Tawuniya Co. Allianz Saudi Fransi Alahli Takaful Co. Bupa Arabia SABB Takaful Trade Union Amana Cooperative Gulf General Co-op Wataniya Insurance MEDGULF Malath Co-op Ins Saudi Re Al-Ahlia Co. Saudi Enaya Alinma Tokio Marine Gulf Union Walaa Insurance Co. MetLife AIG ANB EPS 2.2% YTD 5600 Bupa Arabia Company Name Net Profit Before Zakat(SARmn) 2Q2017 Coop for Insurance 2Q2016 Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) The Insurance sector’s net profit decreased 34.7% YoY to SAR 309.8mn in 2Q2017 from SAR 474.3mn in 2Q2016. The sector’s EPS stood at SAR 0.27 during the quarter. Sector heavyweights, Bupa Arabia for Cooperative Insurance’s net profit (before zakat) increased 39.9% YoY to SAR145.8mn in 2Q2017 from SAR 104.2mn in 2Q2016, while The Company for Cooperative Insurance (TAWUNIYA) reported a net profit of SAR 248.8mn in 2Q2017 compared to SAR 243.9mn in 2Q2016. In terms of YoY gain in net profit, Salama Cooperative (up 433.3% YoY), Trade Union Co-op Insurance Co. (up 310.8% YoY), and Arabian Shield Co-op (up 121.9% YoY), were the best performers. 15 © All rights reserved
  16. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Please read Disclaimer on the back Telecommunication Sector 2Q2016 Company Name Net Profit EPS (SAR) (SARmn) Saudi Telecom 2202.0 Mobile Telecomm Co. -328.0 Etihad Atheeb Telecom** -58.1 Etihad Etisalat Co 3.2 1,819.1 Total -2.4% YTD 2Q2017 1.10 -0.56 -0.92 0.00 0.53 Net Profit EPS YoY Change% (SAR) (SARmn) 2377.0 8.0 55.4 -189.7 2,250.7 1.19 0.01 0.88 -0.25 0.66 7.9% 23.7% P/E TTM (x) P/Bv D/Y(%)* (X) 16.31 NM NM NM 16.31 2.45 1.41 1.33 0.91 2.12 5.34 ---4.7% 5200 5100 5000 4900 4800 4700 4600 4500 4400 4300 4200 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Telecommunication Services Sector Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) **1Q Ending in June 2017. % YTD 2017 Telecommunication Sector 15.00% 10.00% -10.00% -15.00% -20.00% -25.00% -30.00% Utilities Sector 2Q2016 Company Name Net Profit (SARmn) National Gas & Industrialization Co. Saudi Electricity Co. Total EPS (SAR) 2Q2017 Net Profit (SARmn) EPS (SAR) 8.2% YTD 5400 YoY Change% P/E TTM (x) P/Bv (X) D/Y (%)* 23.0 0.31 37.8 0.50 64.2% 13.62 2.05 4.16 2242.0 2,265.0 0.54 0.53 2232.0 2,269.8 0.54 0.54 -0.45% 0.21% 10.51 10.57 1.34 1.36 3.02 3.1% Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) Etihad Atheeb Telecommunication Co Saudi Mobile Telecomunication Co. recorded net income of SAR8.0mn during 2Q2017. Mobile Telecommunications Co Saudi Arabi SAR2.2bn in 2Q2017 from SAR 1.8bn in 2Q2016. The sector’s EPS stood at SAR 0.66 per share. 0.00% -5.00% Etihad Etisalat Co Net earnings of Saudi Arabia’s Telecommunication Services sector surged 23.7% YoY to Saudi Telecom Co 5.00% 5200 5000 4800 4600 4400 4200 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Utilities Sector % YTD 2017 Utilities Sector Saudi Arabia’s Utilities sector recorded net income of SAR2.3bn in 2Q2017. The sector’s EPS stood at SAR0.54. 9.0% 8.0% 7.0% 6.0% 5.0% 4.0% 3.0% 2.0% 1.0% 0.0% 16 © All rights reserved SAUDI ELECTRICIT National Gas & Industrialization Co
  17. Results Summary of Listed Companies August 2017 in the Saudi Market 2Q2017 Please read Disclaimer on the back Real Estate Mgmt & Dev’t Sector 4800 4700 4600 Arriyadh Development 132.8 1.00 45.3 0.34 -65.9% 15.35 1.34 6.83 Emaar 239.7 0.28 36.1 0.04 -84.9% NM 1.56 -- Taiba Holding Co. 74.4 0.50 54.4 0.36 -26.9% 25.96 1.68 3.83 Alandalus Property Co. 24.9 0.36 27.6 0.39 10.9% 12.00 1.58 -- Dar Alarkan 43.2 0.04 10.9 0.01 -74.7% 38.92 0.36 -- Saudi Real Estate Co. 42.8 0.36 18.8 0.16 -56.1% 20.62 0.70 4.89 10.0% Makkah Construction** 56.2 0.34 56.1 0.34 -0.2% 50.56 1.77 2.74 0.0% Jabal Omar** Red Sea Housing Knowledge Economic 9.5 31.2 8.5 663.1 0.01 0.52 0.03 0.17 53.8 0.06 -5.6 -0.09 -9.2 -0.03 288.1 0.07 466.8% -56.6% 70.46 40.09 NM 54.65 6.09 1.23 1.49 1.96 -4.10 -3.7% Total 4500 4400 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Real Estate Mgmt & Dev't Sector % YTD 2017 Real Estate Mgmt & Dev’t Sector 20.0% -10.0% -20.0% Source: Bloomberg, AlJazira Capital. * Trailing 12 months (TTM) -30.0% ** Hijri Calender -40.0% Red Sea Intl. D/Y (%)* SRECO P/Bv (X) Alandalus Property P/E TTM (x) Knowledge (SAR) 4900 YoY Change% Arriyadh Dev. (SARmn) EPS Taiba Holding (SAR) Net Profit Emaar (SARmn) EPS Dar Al Arkan Net Profit Makkah Construction Company Name 2Q2017 5000 Jabal Omar 2Q2016 -6.7% YTD 5100 The net profit of Saudi Arabia’s Real Estate Mgmt & Dev’t sector decreased 56.6% YoY to SAR 288.1mn in 2Q2017 from SAR 663.1mn in 2Q2016. The sector’s EPS for the quarter was SAR 0.07. Emaar Co. (down 84.9% YoY), Dar Alarkan (down 74.7% YoY) and Arriyadh Development Co. (down 65.9% YoY) led the decrease in the sector’s net profit during 2Q2017. 17 © All rights reserved
  18. RESEARCH DIVISION Head of Research RESEARCH DIVISION BROKERAGE AND INVESTMENT CENTERS DIVISION Talha Nazar Sultan Al Kadi , CAIA Analyst Jassim Al-Jubran +966 11 2256250 t.nazar@aljaziracapital.com.sa +966 11 2256374 s.alkadi@aljaziracapital.com.sa Analyst Analyst Waleed Al-jubayr Muhanad Al-Odan +966 11 2256146 W.aljubayr@aljaziracapital.com.sa +966 11 2256115 M.alodan@aljaziracapital.com.sa General Manager – Brokerage Services & AGM-Head of international and institutional AGM- Head of Western and Southern Region Investment sales brokerage Centers Alaa Al-Yousef Luay Jawad Al-Motawa Mansour Hamad Al-shuaibi +966 11 2256060 a.yousef@aljaziracapital.com.sa +966 11 2256277 lalmutawa@aljaziracapital.com.sa AGM-Head of Sales And Investment Centers AGM-Head of Qassim & Eastern Province +966 11 2256248 j.aljabran@aljaziracapital.com.sa +966 12 6618443 m.alshuaibi@aljaziracapital.com.sa Central Region Sultan Ibrahim AL-Mutawa Abdullah Al-Rahit +966 11 2256364 s.almutawa@aljaziracapital.com.sa +966 16 3617547 aalrahit@aljaziracapital.com.sa AlJazira Capital, the investment arm of Bank AlJazira, is a Shariaa Compliant Saudi Closed Joint Stock company and operating under the regulatory supervision of the Capital Market Authority. AlJazira Capital is licensed to conduct securities business in all securities business as authorized by CMA, including dealing, managing, arranging, advisory, and custody. AlJazira Capital is the continuation of a long success story in the Saudi Tadawul market, having occupied the market leadership position for several years. With an objective to maintain its market leadership position, AlJazira Capital is expanding its brokerage capabilities to offer further value-added services, brokerage across MENA and International markets, as well as offering a full suite of securities business. 1. RATING TERMINOLOGY Analyst 2. 3. 4. Overweight: This rating implies that the stock is currently trading at a discount to its 12 months price target. Stocks rated “Overweight” will typically provide an upside potential of over 10% from the current price levels over next twelve months. Underweight: This rating implies that the stock is currently trading at a premium to its 12 months price target. Stocks rated “Underweight” would typically decline by over 10% from the current price levels over next twelve months. Neutral: The rating implies that the stock is trading in the proximate range of its 12 months price target. Stocks rated “Neutral” is expected to stagnate within +/- 10% range from the current price levels over next twelve months. Suspension of rating or rating on hold (SR/RH): This basically implies suspension of a rating pending further analysis of a material change in the fundamentals of the company. Disclaimer The purpose of producing this report is to present a general view on the company/economic sector/economic subject under research, and not to recommend a buy/sell/hold for any security or any other assets. Based on that, this report does not take into consideration the specific financial position of every investor and/or his/her risk appetite in relation to investing in the security or any other assets, and hence, may not be suitable for all clients depending on their financial position and their ability and willingness to undertake risks. It is advised that every potential investor seek professional advice from several sources concerning investment decision and should study the impact of such decisions on his/her financial/legal/tax position and other concerns before getting into such investments or liquidate them partially or fully. The market of stocks, bonds, macroeconomic or microeconomic variables are of a volatile nature and could witness sudden changes without any prior warning, therefore, the investor in securities or other assets might face some unexpected risks and fluctuations. All the information, views and expectations and fair values or target prices contained in this report have been compiled or arrived at by Aljazira Capital from sources believed to be reliable, but Aljazira Capital has not independently verified the contents obtained from these sources and such information may be condensed or incomplete. Accordingly, no representation or warranty, express or implied, is made as to, and no reliance should be placed on the fairness, accuracy, completeness or correctness of the information and opinions contained in this report. Aljazira Capital shall not be liable for any loss as that may arise from the use of this report or its contents or otherwise arising in connection therewith. The past performance of any investment is not an indicator of future performance. Any financial projections, fair value estimates or price targets and statements regarding future prospects contained in this document may not be realized. The value of the security or any other assets or the return from them might increase or decrease. Any change in currency rates may have a positive or negative impact on the value/return on the stock or securities mentioned in the report. The investor might get an amount less than the amount invested in some cases. Some stocks or securities maybe, by nature, of low volume/trades or may become like that unexpectedly in special circumstances and this might increase the risk on the investor. Some fees might be levied on some investments in securities. This report has been written by professional employees in Aljazira Capital, and they undertake that neither them, nor their wives or children hold positions directly in any listed shares or securities contained in this report during the time of publication of this report, however, The authors and/or their wives/children of this document may own securities in funds open to the public that invest in the securities mentioned in this document as part of a diversified portfolio over which they have no discretion. This report has been produced independently and separately by the Research Division at Aljazira Capital and no party (in-house or outside) who might have interest whether direct or indirect have seen the contents of this report before its publishing, except for those whom corporate positions allow them to do so, and/or third-party persons/institutions who signed a non-disclosure agreement with Aljazira Capital. Funds managed by Aljazira Capital and its subsidiaries for third parties may own the securities that are the subject of this document. Aljazira Capital or its subsidiaries may own securities in one or more of the aforementioned companies, and/or indirectly through funds managed by third parties. The Investment Banking division of Aljazira Capital maybe in the process of soliciting or executing fee earning mandates for companies that is either the subject of this document or is mentioned in this document. One or more of Aljazira Capital board members or executive managers could be also a board member or member of the executive management at the company or companies mentioned in this report, or their associated companies. No part of this report may be reproduced whether inside or outside the Kingdom of Saudi Arabia without the written permission of Aljazira Capital. Persons who receive this report should make themselves aware, of and adhere to, any such restrictions. By accepting this report, the recipient agrees to be bound by the foregoing limitations. Asset Management | Brokerage | Corporate Finance | Custody | Advisory Head Office: King Fahad Road, P.O. Box: 20438, Riyadh 11455, Saudi Arabia، Tel: 011 2256000 - Fax: 011 2256068 Aljazira Capital is a Saudi Investment Company licensed by the Capital Market Authority (CMA), license No. 07076-37