Market Announcements
Market Summary
A dramatic downward move from Ebos Group has helped pull the New Zealand sharemarket down for the second day in a row. The benchmark S&P/NZX 50 fell 0.74% to 12,861.84 points on Wednesday, with 34 million shares trading hands, amounting to $150.1 million in value traded.
Ebos, the health and animal care group fell 13.87% to $33.85 on volumes worth nearly $47m after it reported earnings for the year to June 30.
Elsewhere on the exchange, Scales Corporation lifted 2.85% to $5.05. Earlier this week, Scales reported the first half underlying net profit attributable to shareholders of $49m, up 72% year-on-year. Reported net profit was $57.6m, up 51%. Channel Infrastructure NZ shares were up for a second consecutive day, climbing 0.89% to $2.26. On Tuesday, Channel Infrastructure recorded first-half earnings before interest, taxes, depreciation and amortisation (ebitda) of $48.5m, an interim dividend of 6.25cps, and held full-year dividend guidance.
Precinct Properties shares fell 0.39% to $1.265 after it reported its annual results and announced it was looking to form a new capital partnership involving Auckland's PwC Tower. Comprehensive income swung to a $3.1m gain from a $30.1m loss last year, as property revaluations showed a smaller $27.6m decline versus a $105.2m drop in 2024.
Ryman Healthcare and Summerset Group, both declined. Ryman dipped 3.21% to $2.41, while Summerset lost 1.59% to $10.53. The third company in the sector, Oceania Healthcare, traded flat at 64 cents. Summerset, currently the largest of the three in terms of market capitalisation, will report half-year earnings today.
At 5pm Wednesday, Woolworths Group shares were down 13.2% at A$29.02 (NZ$32.20) on the Australian Securities Exchange (ASX) after group earnings fell and it cut its dividend by 21.1%. Its NZ segment performed relatively well, with normalised earnings before interest and taxes (ebit) growth of 40.6%.
Source: Business Desk
Australian Market Report
Ahead of the local open SPI futures were 3 points higher at 8938.
- close [Morningstar with AAP]: The Australian share market has moderated and finished the day in the green on the back of strong company reporting data after a drop led by unexpected domestic inflation.
By the close, the benchmark ASX200 index was up 24.9 points, or 0.28 per cent, to 8,960.5, while the broader All Ordinaries gained 23.8 points, or 0.26 per cent, to 9,231.1.
The market was lifted thanks to big miners and selected earning standouts even after fresh inflation data cooled expectations for another Reserve Bank interest rate cut, Moomoo dealing manager Paco Chow said.
The ASX200 lost 18 points in the space of a minute after the Australian Bureau of Statistics reported a higher-than-expected jump in consumer prices in July, but had since made up those losses.
The ABS said inflation in the year to July had been 2.8 per cent, up from 1.9 per cent in the year to June.
By the close, seven of the ASX's 11 sectors were higher and four were lower.
The consumer staples sector led the losses, down 5 per cent, with a 14.7 per cent plunge by Woolworths contributing as Australia's biggest supermarket chain slashed its dividend after a 17 per cent drop in profit.
Coles, which appears to be taking market share from Woolworths, was up 3.9 per cent after posting an 8.5 per cent gain on Tuesday.
"It's a reminder that even duopoly players like Woolies and Coles can suffer when cost discipline and consumer sentiment turns against them," Mr Chow told AAP.
He said Woolworths' leadership role in "everyday low prices" does not guarantee it any immunity from losses.
"The key is sustaining customer loyalty while adapting and shifting basket economies."
Wisetech Global dropped 11.9 per cent after Australia's largest tech company delivered a mixed full-year earnings report, beating expectations on profit but missing on revenue.
The heavyweight mining sector led the gains, up 1.4 per cent, with BHP up 1.3 per cent, Rio Tinto advancing 1.1 per cent and Fortescue down 0.8 per cent.
"BHP and Rio were the key contributors, buoyed by commodity prices, commodity demand and update outlook. This highlights how resource measures operate as a market stabiliser," Mr Chow said.
Dominoes Pizza dropped 22 per cent to a decade low due to what Mr Chow described as a "deep discounting cycle" where they have trained consumers to chase vouchers instead of paying full price.
"That compressed margins at the time of higher costs," he said.
"Once the customer chases discounts, or when they expect discounts, it's very difficult to reclaim margin without reinventing the value proposition."
All of the big four banks were higher, with ANZ leading the charge followed by Westpac, CBA and NAB.
The Australian dollar was trading for 64.87 US cents, from 64.80 US cents at Tuesday's ASX close.
ON THE ASX:
The S&P/ASX200 rose 24.9 points on Wednesday, or 0.28 per cent, to 8,960.5
The broader All Ordinaries gained 23.8 points, or 0.26 per cent, to 9,231.1
The NZX 50 added 33.63 points (0.26%) to 12895.47
Companies commencing Ex-Dividend Trading Today (ASX 300):
Beach Energy Limited
Dalrymple Bay Infrastructure Limited
GQG Partners Inc.
IPH Limited
Liberty Financial Group
REA Group Ltd
Ventia Services Group Limited
Woodside Energy Group Ltd
Overseas Market Report
[Morningstar with Dow Jones]:
U.S. stocks ended higher. The DJIA rose 0.3% to 45,565.23, the S&P 500 added 0.2% to 6,481.40 and the Nasdaq climbed 0.2% to 21,590.14.
Among S&P 500 companies, the top three gainers were Albemarle Corp ALB surging 7.54%, Datadog Inc DDOG jumped 4.29%, and CarMax Inc KMX lifted 4.02%.
The biggest decliners were Paramount Skydance Corp PSKY which dropped 6.50%, SBA Communications Corp SBAC fell 4.89%, and JM Smucker Co SJM lost 4.44%.
Asia
Chinese shares closed lower. The benchmark Shanghai Composite Index fell 1.8% to 3,800.35 and the Shenzhen Composite Index slipped 1.9% to 2,394.27.
Hong Kong shares ended lower. The benchmark Hang Seng Index declined 1.3% to 25,201.76.
Japanese shares ended higher. The Nikkei Stock Average climbed 0.3% to 42,520.27.
India shares ended lower. The BSE SENSEX slipped 1% to 80,786.54.
Europe
Stocks in the U.K. finished lower. The FTSE 100 Index declined 0.1% to 9,255.50. In Europe, shares closed mixed. The Germany's DAX fell 0.4% to 24,046.21, and the France's CAC 40 lifted 0.4% to 7,743.93
