Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


MARKET CLOSE: NZ shares fall ahead of MRP sale close

MARKET CLOSE: NZ shares fall ahead of MRP sale close; Skellerup drops on guidance

May 2 (BusinessDesk) – New Zealand shares fell ahead of the close of the MightyRiverPower offer as investors free up funds to participate in the government sale. Skellerup Holdings dropped after cutting its annual profit guidance a second time.

The NZX 50 Index dropped 28.55 points, or 0.6 percent, to 4574.46. Within the index, 31 stocks fell, 12 rose and seven were unchanged. Turnover was $149.5 million.

Stocks were generally weaker across Asia, with the Nikkei 225 Index down 1 percent, after a second reading on China’s HSBC Flash PMI came in weaker.

Skellerup, the industrial rubber goods maker, tumbled 10 percent to $1.33 after saying net profit would be $17 million in the year ended June 30, from a $20 million forecast in February, because drought had hurt local demand and North American and European sales were tracking below forecast.

“Whilst the very recent rain is a welcome relief for our customers and Skellerup, we will not fully recover the deferred sales within the current financial year as farmers will delay some of their buying till the new season,” chief executive David Mair said.

Diligent Board Member Services fell 6.1 percent to $6.81 and Xero declined 6 percent to $12.50 as the two tech darlings extended their retreat from record highs.

Fisher & Paykel Healthcare declined about 3 percent to $2.61 and SkyCity Entertainment Group fell 2.9 percent to $4.40. Sky Network Television fell 2.2 percent to $5.67.

Kathmandu, the outdoor equipment chain, rose 9.4 percent to $2.69, adding to its 9.3 percent jump yesterday, when the company said sales rose 13 percent to $89.7 million in the 13 weeks ended April 28, maintaining the momentum in revenue growth from the first half of the financial year.

Ryman Healthcare, the retirement village operator that has recorded a decade of profit growth, rose 4.3 percent to a record $6.26.

“We are seeing increased interest from overseas investors as Ryman builds its first village in Australia and appoints its first Australian director,” said James Schofield, vice president, equity research, at First NZ Capital. “As baby boomers retire, Ryman will benefit from demographic trends on both sides of the Tasman.”

Rival retirement village company Summerset Group gained 1.3 percent to $3.20.

TrustPower rose 2.7 percent to $6.26 and Contact Energy gained 0.4 percent to $5.27 after business lobbyists called on the opposition Labour and Green parties to abandon a policy to regulate electricity.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Hepatitis A Link: Increased Surveillance Of Imported Frozen Berries

The Ministry for Primary Industries (MPI) Director General has issued a statement warning of a potential risk associated with imported frozen berries following four human cases of Hepatitis A thought to be linked to packaged imported frozen berries. More>>


Shocking Dairy Footage: MPI Failing Our Animals And Damaging Our Reputation

Greens “Nathan Guy needs to urgently look into how his ministry is enforcing animal welfare standards, how these appalling incidents happened under its watch and what it’s going to do prevent similar incidents happening again in the future." More>>


Land & Water Forum: Fourth Report On Water Management

The Land and Water Forum (LWF) today published its fourth report, outlining 60 new consensus recommendations for how New Zealand should improve its management of fresh water and calling on the Government to urgently adopt all of its recommendations from earlier reports. More>>



Welcome Home: Record High Migration Stokes 41-Year High Population Growth

New Zealand annual net migration hit a new high in October as more people arrived from than departed for Australia for the first time in more than 20 years. More>>


Citizens' Advice Bureau: Report Shows Desperate Housing Situation Throughout NZ

CAB's in-depth analysis of over 2000 client enquiries about emergency accommodation shows vulnerable families, pregnant women and children living in cars and garages, even after seeking assistance from the Ministry of Social Development and Housing New Zealand. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news