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

 


MARKET CLOSE: NZ shares fall as earnings dominate

MARKET CLOSE: NZ shares fall in session dominated by earnings; Fletcher, Nuplex disappoint

By Suze Metherell

Feb. 20 (BusinessDesk) – New Zealand stocks fell after Fletcher Building and Nuplex Industries posted earnings disappointed investors. Trade Me Group rebounded after dropping in the wake of its results yesterday.

The NZX 50 Index fell 4.315 points, or about 0.1 percent, to 4909.827. Within the index, 19 stocks fell, 20 rose and 11 were unchanged. Turnover was $144 million.

In one of the biggest days of earnings season six NZX 50 listed companies reported.

New Zealand’s biggest listed company Fletcher fell 1.9 percent to $9.54, paring an earlier decline to as low as $9.39. Nuplex, the specialty chemicals maker, sank 2.9 percent to $3.38. Both companies reported first-half earnings constrained by the high kiwi against the Australian dollar.

“Because of the weight of Fletcher in the New Zealand index it’s leading the market lower as they count for about 10 points of the index,” said Bryon Burke head of equities Craigs Investment Partners. “Again, they’re companies which had issues with the New Zealand dollar.”

“The Nuplex result was slightly below our forecast, but the outlook is positive, except in Australia,” he said.

Trade Me gained about 5 percent to $4.02, leading the day’s gainers. The online auction site slid to an 18-month low yesterday after its first-half earnings showed subdued growth.

“There was plenty of selling around yesterday and it’s sometimes the case that with some results there can be a kneejerk reaction to announcements and obviously people have looked at it closer and said well actually it’s not so bad,” he said.

Port of Tauranga slipped 0.4 percent to $13.79. New Zealand’s largest port operator reported moderate growth in its first-half, but a drop in container volumes as shippers returned to rival Ports of Auckland which lost ground during its 2012 industrial action.

“Their clients in the shipping companies probably quite like the competitiveness of the two in driving prices as cheap as they can,” Burke said. “Port of Tauranga is pretty solid, it was in line with market expectations and it doesn’t have to worry about the dollar too much.”

Skellerup Holdings climbed 5 percent to $1.79. The industrial rubber goods maker lifted first-half earnings 14 percent and hiked its expectations for annual profit.

Auckland International Airport rose 1.4 percent to $3.69. The nation’s busiest gateway reported a 12 percent boost in first half earnings. Steel & Tube, which reported a 10 percent first-half earnings boost, rose 3.2 percent to $3.20.

“With so many results coming at once it’s hard for both investors and analysts to go through them with a fine tooth comb and adjust portfolios accordingly - we’d expect to see more stock movements in the market in the next few days,” Burke said.

Telecom fell 0.6 percent to $2.415. Casino operator SkyCity Entertainment Group climbed 1.3 percent to $3.79 and Sky Network Television lifted 0.9 percent to $5.89. Xero gained about 1 percent to $39.98.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

BusinessDesk: Weak Dairy Prices Prompt Pull Back In Fonterra Forecasts

Weak global dairy prices have prompted analysts to pull back their expectations for Fonterra Cooperative Group's payout to farmers for next season. More>>

Broadband Network: Spark Launches New, Competitive Ultra Fibre Plan Line-Up

Spark is giving customers an even more compelling reason to switch to its Ultra Fibre plans from today with the introduction of new competitive pricing for the majority of its plans (details below) and Fibre Landline (voice-over-fibre technology) for ... More>>

Employment: ANZ Proposes Casualisation In Whangarei Stores

ANZ workers in Whangarei could see their incomes drop by 20 to 40 percent if the bank’s proposal to reduce the number of full-time positions goes ahead says FIRST Union national organiser Tali Williams. More>>

Finance: BNZ Develops Specialist Tāmaki Māori Banking Team

BNZ develops specialist Tāmaki Māori Banking Team to support Māori as Auckland grows More>>

Pharmaceuticals: Commerce Commission To Consider Pharmaceuticals Merger

The Commerce Commission has received an application from Pfizer Inc. seeking clearance to acquire all of the shares in Hospira Inc. More>>

Real Estate: Housing Unaffordability Issues Spread

Surging house prices in Auckland and Queenstown last month pushed home ownership even further beyond the reach of first home buyers in the two districts, according to the AMP360 Home Loan Affordability Report for March. More>>

Statistics NZ: Annual Exports To China Dip Below Australia

The value of goods exports to Australia ($8.7 billion) surpassed those to China for the year ended March 2015, Statistics New Zealand said today. More>>

Science: Hookworm Discovery At Malaghan Institute

Professor Graham Le Gros has led a team which has stimulated both innate and memory responses to the parasite, discovering along the way the unexpected behaviour of one particular immune cell, in Hookworm, one of the world’s most devastating tropical ... More>>

Business: Provinces Urged To Make Full Use Of New Air Services

Provincial New Zealand has been urged to use new air services to Auckland or risk losing them either partially or completely. The stark warning was issued today by Far North mayor John Carter at a ceremony at Kaitaia airport to mark the final Air ... More>>

Mobile: 2degrees To Credit All Calls And SMS To Nepal

In the wake of the devastating earthquake in Nepal in the weekend, 2degrees will be crediting all calls and SMS messages made to mobiles and landlines in Nepal from Friday 24th April until midnight Wednesday 29th April. More>>

Scoop Business: Alex Swney Pleads Guilty To $2.5M Fraud Charge

Alex Swney, former chief executive of the Auckland city centre business association Heart of the City, has pleaded guilty to dishonestly using documents to obtain $2.5 million. More>>

ALSO:

Petrol Burns Prices: Second Consecutive Quarterly Fall For CPI

The consumers price index (CPI) fell 0.3 percent in the March 2015 quarter, following a 0.2 percent fall in the December 2014 quarter, Statistics New Zealand said today. The last time the CPI showed two consecutive quarterly falls was in the December 1998 and March 1999 quarters. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news