Riyad Capital Maintains Marafiq's Buy Rating After Q2 Results

05:07 AM EDT, 08/10/2026 (MT Newswires) -- Riyad Capital reiterated its investment view on The Power and Water Utility Co. for Jubail and Yanbu (SASE:2083), d/b/a Marafiq, following the release of the company's second-quarter results. For the second quarter, the utility company posted a loss of 46 million Saudi riyals, against Riyad Capital's forecast of a 138 million-riyal net profit, according to a Sunday first look note. Revenue rose 7% annually to 1.71 billion riyals, compared with the research firm's estimate of 1.93 billion riyals. "The low operating income (resulting from lower revenues and higher fuel costs) was unable to sustain financial charges and zakat, resulting in a net loss of SAR (46) mln for the quarter versus a net profit of SAR 110 min last year (due to provision reversal of almost SAR 500 mln) and a profit of SAR 128 mln in the preceding quarter. Stock price took a hit post results but has recovered since. We reiterate our target price [of SAR50] and Buy recommendation," analysts wrote.