MARKET CLOSE: NZ shares slip from record led by Spark 28 Aug 2014
Related articles
- NZ consumers grow more upbeat, may resume spending Business
- Knowles quits as CEO of KiwiBank Business
- NZ migration bolstered by British invasion Migration
- NZ manufacturing activity reaches highest since 04 Business
- NZ dollar hits 22-month high vs euro Business
- OceanaGold finds new gold deposits at Fraser mine Business
- Transpower gets go-ahead for $170m SI upgrade Business
- NZ home sales creep up in March, still subdued Property
- NZ economy expands at fastest pace in two years Business
- New Zealand food prices fall in February Business
MARKET CLOSE: NZ shares slip from record led by Spark; Air NZ extends gain
By Suze Metherell
Aug. 28 (BusinessDesk) - New Zealand shares fell from a record, led by Spark New Zealand, as investors locked in gains ahead of next month's general election, which is creating some uncertainty in markets. Air New Zealand rose for a second day after posting a 45 percent gain in annual profit.
The NZX 50 Index fell 6.186 points, or 0.1 percent, to 5237.514. Within the index, 16 stocks fell, 26 gained, eight were unchanged. Turnover was $93.9 million.
The benchmark index slipped from its high as investors looked past earnings season to the general election next month. An NZ Herald-DigiPoll survey today showed the incumbent National Party is likely to return for a third term in government, though recent polls have shown declining support for the administration.
"Investors are looking to book profit," said James Smalley, director at Hamilton Hindin Greene. "Once we get through reporting season, the next big thing will be the election on September 20. Obviously there is a bit of water to go under the bridge there, and that could create quit a bit of uncertainty, and markets don't like uncertainty."
Stocks that have gained in recent days paced the decline on the benchmark, with Spark, formerly Telecom Corp, falling 3.1 percent to $2.945 from a six-year high. Ryman Healthcare, the retirement village operator, dropped 2.2 percent to $8.00, having advanced 2 percent over the past week. Tower, the general insurer, declined 1 percent to $1.98, after rising above the "psychological barrier price" of $2.00 yesterday.
Air NZ advanced 1.8 percent to a two-month high $2.215, extending yesterday's gain after the national carrier lifted annual profit for third consecutive year to $262 million. Meanwhile, trans-Tasman rival Qantas Airways booked a A$2.84 billion loss as it wrote down the value of its international fleet and faced restructuring and redundancy costs. The numbers also showed its kiwi discount airline, Jetstar Airways, had lost market share in New Zealand. While Air NZ enjoys a virtual monopoly on many domestic routes, Qantas faces stiff competition from discount airlines such as Virgin Australia, which Air NZ has a 20 percent stake, and Tiger Airways.
"The contrasting performance of the two airlines really shows you the difference," Smalley said. "One has very strong market dominance and a monopolistic way in its domestic market, versus Qantas which has very very strong competition both on its international routes, and also on its domestic routes."
A2 Milk Co was unchanged at 65 cents. The company which markets milk with a protein variant said to have health benefits said annual profit tumbled to $10,000 from $4.1 million a year earlier. It plans to ramp up its expansion in the US, the UK and Asia using cash generated in its biggest market of Australia after a year in which a strong kiwi slashed the value of sales.
NZX was unchanged at $1.23. The stock market operator revealed its new market with lighter disclosure requirements will be called NXT, as it waits on the final go-ahead from the Financial Markets Authority.
Fletcher Building, New Zealand's largest listed company, advanced 0.7 percent to $9.29.
Pacific Edge was the best performer on the day rising 2.5 percent to a two-month high of 82 cents, after the Dunedin-based biotech company said Kaiser Permanete, which has more than nine million healthcare users in the US, would trial its non-invasive bladder cancer detecting test, Cxbladder. That added to its 8.1 percent gain yesterday.
Outside the benchmark index, Airwork Holdings rose 3.8 percent to $2.75 after the aviation services firm, which listed last December, boosted annual profit 52 percent to $9.83 million on the strength of its helicopter engineering unit, beating guidance.
Hellaby Holdings fell 5.3 percent to $2.99 after the diversified investment company sank into the red by $1.1 million in the latest financial year, from a previous profit of $18.2 million, as it wrote down the value of its footwear unit in a flat retail market. Still, it sweetened its dividend as underlying earnings grow. Stripping out a $26.8 million charge on the goodwill of its Hannahs and Number One Shoes brands, earnings rose 44 percent to $26.8 million,
(BusinessDesk)
News
Hilary Timmins' Award-Winning UK Documentary Series To Inspire NZ Students
29 Jun 2020 Education
Dream Catchers, produced and directed by Hilary Timmins, celebrates the success stories of more than thirty inspirational New... more
New Zealand reaffirms support for Flight MH17 judicial process
7 Mar 2020 News
Ahead of the start of the criminal trial in the Netherlands on 9 March, Foreign Minister Winston Peters has reaffirmed the need to... more
Business
NZ Government's Economic package to fight COVID-19
17 Mar 2020 Business News
The Coalition Government has launched the most significant peace-time economic plan in modern New Zealand history to cushion the... more
NZ Government announces aviation relief package
19 Mar 2020 Business News
Transport Minister Phil Twyford today outlined the first tranche of the $600 million aviation sector relief package announced earlier... more
Living
Diversity was Key at New Zealand Trade Tasting in London
6 Jun 2022 Food & Wine
New Zealand Winegrowers Annual Trade Tasting was recently held in London, on Wednesday 4 May, in Lindley Hall.
It was the first... more
Kiwi author stuns Behind the Butterfly Gate
12 Jan 2022 Arts
Hidden behind the Butterfly Gate is where the secret has been kept for 76 years...
New Zealand writer Merryn Corcoran’s... more
Property
Fairer rules for tenants and landlords
17 Nov 2019 Property
17 NOVEMBER 2019
The Government has delivered on its promise to the over one million New Zealanders who now rent to make it fairer... more
New Zealand Government will not implement a Capital Gains Tax
17 Apr 2019 Property
The Coalition Government will not proceed with the Tax Working Group’s recommendation for a capital gains tax, Jacinda Ardern... more
Migration
Boosting border security with electronic travel authority – now over 500,000 issued
19 Nov 2019 Migration
19 NOVEMBER 2019
We’ve improved border security with the NZeTA, New Zealand Electronic Travel Authority, which helps us to... more
Christchurch reinstated as refugee settlement location
18 Aug 2018 Migration
18 AUGUST 2018
HON IAIN LEES-GALLOWAY
The announcement that Christchurch can once again be a settlement location for refugees... more
Travel
Gallipoli Anzac Day services cancelled
19 Mar 2020 Travel & Tourism
The New Zealand and Australian Governments have announced this year’s joint Anzac Day services at Gallipoli will be cancelled... more
New Zealanders advised not to travel overseas
19 Mar 2020 Travel & Tourism
New Zealanders advised not to travel overseas
more
Sport
The Skipper's Diary: Sir Richard Hadlee honouring his father and NZ's Forty-Niners
27 Oct 2019 Cricket
NZNewsUK London Editor Charlotte Everett spoke to Sir Richard Hadlee about why he’s chosen to publish his father’s... more
PREVIEW: All Blacks v England semi-final
26 Oct 2019 Rugby
The two most convincing quarterfinals winners are set to square off in a semifinal showdown for the ages when the All Blacks meet old... more
Columns
Gordon Campbell on the Gareth Morgan crusade
11 Nov 2016 Opinion
Gordon Campbell on the Gareth Morgan crusade
First published on Werewolf
The ghastly likes of Marine Le Pen in France and Geert ... more
Gordon Campbell on the US election outcome
10 Nov 2016 Opinion
Column - Gordon Campbell
Gordon Campbell on the US election outcome
Well um.. on the bright side, there (probably)... more
Kiwi Success
Congratulations to Loder Cup winner
26 Sep 2018 People
25 SEPTEMBER 2018
The Loder Cup, one of New Zealand’s oldest conservation awards, has been awarded to Robert McGowan for 2018... more
Appointments to New Zealand National Commission for UNESCO
16 Aug 2018 Appointments
16 AUGUST 2018Appointments to New Zealand National Commission for UNESCO
HON JENNY SALESA
Associate Education Minister Jenny Salesa is... more
Recruitment
Historic pay equity settlement for education support workers
14 Aug 2018 Recruitment
14 AUGUST 2018Historic pay equity settlement for education support workers
RT HON JACINDA ARDERN
HON CHRIS HIPKINS
Prime Minister
The... more
Historic pay equity settlement for education support workers
22 Aug 2018 Recruitment
14 AUGUST 2018Historic pay equity settlement for education support workers
RT HON JACINDA ARDERN
HON CHRIS HIPKINS
Prime Minister
The... more