Shares hit a fresh high as Vector, a2 gain
Market stays strong as investors wait for bumper results day
New Zealand shares inched to a fresh record ahead of today’s bumper results day, led higher by Vector and a2 Milk Co. The S&P/NZX50 Index rose 6.63 points, or 0.07 per cent, to 9115.78. Within the index, 21 stocks rose, 21 fell and eight were unchanged. Turnover was $106.8 million.
Vector led the index higher, up 2.7 per cent to $3.37. A2 Milk Co rose 1.8 per cent to $11.13 ahead of its earnings announcement today, while NZX gained 1.8 per cent to $1.12.
Also due to report earnings today are Meridian Energy, which rose 1.3 per cent to $3.25, Trade Me, which rose 0.2 per cent to $4.71, Spark New
Zealand, which fell 0.3 per cent to $3.98, and Fletcher Building, which dropped 1.4 per cent to $6.90.
Westpac Banking Corp was the worst performer, down 2.3 per cent to $32.50. Comvita dropped 0.9 per cent to $5.65. It turned to a full-year operating profit from a loss a year earlier and said it has a positive outlook for the current financial year as it invests in ma¯nuka honey supply.
New Zealand’s only listed honey company posted an after-tax operating profit of $9.3m in the year ended June 30, within its forecast range of $8m-to-$11m, and marking a turnaround from a loss of $5.5m in the year-earlier period. Mercury New Zealand dipped 0.2 per cent to $3.405. It reported a record
$561m in operating earnings on the back of record generation and high wholesale power prices.
The company, the country’s thirdlargest power and gas retailer by accounts, reported a 27 per cent increase in net profit to $234m for the year ended June 30, from $184m a year earlier. Earnings before interest, tax, depreciation, amortisation and changes in financial instruments rose to a record $561m, up 7 per cent from $523m a year earlier.
Pushpay Holdings fell 1.7 per cent to $3.41. The stock has dropped 18 per cent since August 1, when the company delivered first-quarter revenue within guidance and reshuffled its senior management after another abrupt executive exit.
Outside the benchmark index,
SeaDragon was unchanged at 3 cents. The struggling fish oil manufacturer is calling on its shareholders to pay a 10 per cent premium to participate in a $14.9m pro-rata renounceable offer to help it stay afloat.