WELLINGTON: New Zealand shares rose to a record today, with Auckland International Airport, Coats Group and Fletcher Building leading the rise, while Z Energy dropped.
The S&P/NZX 50 Index gained 67.8 points, or 1.1 percent, to 6380.87, surpassing the previous record, seen on Dec. 31 2015. Within the index, 34 shares rose, 12 fell and four were unchanged. Turnover was $200 million. Auckland International Airport led the index, rising 4.3 percent to $6.65, the highest level since the company split its shares in 2005.
“It is continuing to run following its minor profit upgrade, despite regulatory risks around the rate of return on the regulated component of their asset base,” said Matthew Goodson, managing director at Salt Funds Management. NZX-listed, UK-based thread-maker Coats Group gained 3.5 percent to 59 cents, a four-month high.
Fletcher Building climbed 3.3 percent to $7.27. The listed building supplies and construction group posted a 51 percent gain in first-half profit on Feb. 19, reflecting changes in one-time items from the year-earlier period and a modest increase in revenue. The stock has gained as people work their way through the earnings and outlook, Goodson said. A management restructuring is understood to be close to fruition, following a review by a change team from global consultancy McKinsey.
Genesis Energy rose 3.1 percent to $2.02, Ebos Group gained 2.9 percent to $16.47, and Spark New Zealand advanced 2.9 percent to $3.53. Sky TV rose 2.6 percent to $4.34. Z Energy fell furthest on the index, down 4.5 percent to $6.35. The transport fuels distributor chain didn’t report earnings in February as it has a March balance date, but had rallied about 6 percent since Feb. 29. Today’s fall reflected some profit taking following that strong run, Goodson said.
Trade Me Group fell 1.3 percent to $4.49, while Chorus dipped 1.1 percent to $3.905 and Orion Health Group fell 1 percent to $3.10. Outside the benchmark index, Wynyard Group gained 5.7 percent to $1 per share.
