Saudi Electricity Company ended down 3.1% after waiving a 2019 dividend on shares of Public Investment Fund (PIF), the kingdom's sovereign wealth fund that has more than 74% stake in the firm.
Saudi Arabia, the world's biggest oil exporter, announced last month a cut of nearly 5% in its 2020 budget, amounting to 50 billion riyals, and said spending would be reassessed as low oil prices and the coronavirus outbreak threaten growth.
In Dubai, the index slid 3.3%, dragged down by a 4.8% drop in Emirates NBD Bank and a 4.1% fall in Dubai Islamic Bank.
On Monday, Emirates NBD reported a net profit of 2.08 billion dirhams ($566.33 million) for the first three months of 2020, down 24% from the same period a year earlier.
The Abu Dhabi index retreated 2.7%, led by a 4.9% fall in the country's largest bank, First Abu Dhabi Bank.
Qatari index eased 1.4%. Qatar National Bank fell 2.3% and petrochemical maker Industries Qatar was also down 2.3%.
Outside the Gulf, Egypt's blue-chip index traded 2.8% down after a two-session break, with Commercial International Bank dropping 3.8% and tobacco monopoly Eastern Company falling 3.9%.