Masraf shares tumble after Q2 slump
Doha, July 28, 2008
Shares of Qatar's fourth-largest lender by market value, Masraf al-Rayan, tumbled on Monday after its second-quarter profit slumped, falling far short of an analyst's forecast.
Net income in the three months ended June 30 fell to 31.08 million Qatar riyals ($8.54 million) compared with 623.01 million riyals in the year earlier period.
"Last year they sold a piece of land worth about 575 million riyal and it was recognised in the profit instead of breaking it down with regular income and other income," Amro Motasim, chief trader at Ahli Bank said. "People compared the figures with last
year and saw it was very bad."
Chief Executive Adel Mustafawi and Hussain Fakhri, executive manager, marketing & communications were not available for comment.
The stock was down 5.05 percent to 20.6 riyals a share at 0832 GMT, having tumbled almost 8 percent in early trade.
Half-year net profit was 250 million riyals, down from 666.5 million riyals a year earlier, the Islamic lender said in a statement on the bourse website. Discounting the one-off land sale, al-Rayan's second-quarter profit slipped 35.2 percent.-Reuters