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

 


MARKET CLOSE: NZ shares rise, led by Goodman Property

MARKET CLOSE: NZ shares rise, led by Goodman Property on profit boost; Trade Me, Xero rise

By Suze Metherell

May 14 (BusinessDesk) – New Zealand shares rose, led by Goodman Property Trust, after the property investor said full year net profit rose 72 percent. Trade Me and Xero paced the gains while Ryman Healthcare fell ahead of reporting earnings tomorrow.

The NZX 50 Index rose 14.017 points, or 0.3 percent, to 5213.359. Within the index, 26 stocks rose, 14 fell and 10 were unchanged. Turnover was $83.6 million.

Goodman Property, the largest property investor by market value, climbed 3 percent to $1.035 after saying full-year profit rose to $134 million, driven by a 25 percent increase in rental revenue and accounting adjustments. The trust, which is managed by Goodman (NZ), announced governance changes including paying more of its management fees via units rather than cash and funding new developments through asset sales rather than equity raising.

“There was a good result out of Goodman today,” said Robert Garden, an investment advisor with Craigs Investment Partners. That “provides support to the property sector, which has run up a bit in recent weeks.”

DNZ Property Fund rose 1 percent to $1.595. Property for Industry advanced 0.4 percent to $1.325 ahead of its annual general meeting this Friday. Argosy Property, which is due to report full-year results next week, was unchanged at 95 cents.

Ryman fell 0.2 percent to $8.88 and has advanced 13 percent this year. The retirement village operator reports full-year earnings tomorrow.

“Investors are waiting for a bit more meat in the sandwich to come into the market in terms of earnings,” Garden said. “They’ll be watching Ryman keenly, particularly for some more concrete news out of their Australian operations and how their sales in Melbourne are going.”

Rival retirement village operator Summerset Group Holdings rose 0.6 percent to $3.58. Metlifecare advanced 0.7 percent to $4.25.

Stocks with exposure across the Tasman slipped as investors mulled the impact of spending cuts in the Australian Federal Budget.

Dual-listed lender Westpac Banking Corp was the NZX 50’s worst performer on the day, down 3.4 percent to $37.18. Fletcher Building, which gets 50 percent of its earnings from Australian operations, fell 0.8 percent to $9.32. SkyCity Entertainment Group, which operates Darwin and Adelaide casinos, declined 1.2 percent to $4.11. Brisbane-based jeweller Michael Hill International dropped 1.5 percent to $1.30.

“Most of New Zealand’s big companies have some kind of exposure to the Australian economy,” said Shane Solly, director at Harbour Asset Management. “There have been some elements of the Australian budget which will require belt tightening but not as much as expected.”

Solly and Garden both said they don’t expect surprises out of New Zealand’s budget tomorrow, which will likely affirm the track of economic growth.

Trade Me Group, the online auction site, advanced 2.5 percent to $4.05. Warehouse Group, New Zealand’s largest-listed retailer, climbed 2.1 percent to $3.38.Kathmandu Holdings, the outdoor goods retailer, rose 0.5 percent to $3.90.

Telecom, New Zealand’s largest telecommunications provider, lifted 0.2 percent to $2.69. Xero, the cloud-based accounting software firm, increased 1.4 percent to $31.85. Auckland International Airport, the nation’s busiest gateway, advanced 0.6 percent to $4.135. Port of Tauranga climbed 0.6 percent to $14.43.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: RBNZ Keeps OCR At 3.5%, Signals Slower Pace Of Future Hikes

Reserve Bank governor Graeme Wheeler kept the official cash rate at 3.5 percent and signalled he won’t be as aggressive with future rate hikes as previously thought as inflation remains tamer than expected. The kiwi dollar fell to a seven-month low. More>>

ALSO:

Weather: Dry Spells Take Hold In South Island

Many areas in the South Island are tracking towards record dry spells as relatively warm, dry weather that began in mid-August continues... for some South Island places, the current period of fine weather is quite rare. More>>

ALSO:

Scoop Business: Productivity Commission To Look At Housing Land Supply

The Productivity Commission is to expand on its housing affordability report with an investigation into improving land supply and development capacity, particularly in areas with strong population growth. More>>

ALSO:

Forestry: Man Charged After 2013 Death

Levin Police have arrested and charged a man with manslaughter in relation to the death of Lincoln Kidd who was killed during a tree felling operation on 19 December 2013. More>>

ALSO:

Smells Like Justice: Dairy Company Fined Over Odour

Dairy company fined over odour Dairy supply company Open Country Dairy Limited has been convicted and fined more than $35,000 for discharging objectionable odour from its Waharoa factory at the time of last year’s ”spring flush” when milk supply was high. More>>

Scoop Business: Dairy Product Prices Decline To Lowest Since July 2012

Dairy product prices dropped to the lowest level since July 2012 in the latest GlobalDairyTrade auction, led by a slump in rennet casein and butter milk powder. More>>

ALSO:

SOE Results: TVNZ Lifts Annual Profit 25% On Flat Ad Revenue, Quits Igloo

Television New Zealand, the state-owned broadcaster, lifted annual profit 25 percent, ahead of forecast and despite a dip in advertising revenue, while quitting its stake in the pay-TV Igloo joint venture with Sky Network Television. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news