NBK Capital has stated in a report that Saudi Kayan posted net income of SAR 9.9 million for Q1-14, compared with Q1-13/Q4-13 net income of a negative SAR 154.9 million and a positive SAR 3.4 million, respectively.

The Q1 reported net income came much below NBK Capital and Reuters' consensus estimates of SAR 306 million and SAR 259 million, respectively.

The report issuer expected stock de-rating due to muted Q1-14 earnings and see steep near-term price correction, reiterating its ‘Sell’ recommendation.