Market Announcements
Market Summary
Heavyweights Freightways, a2 Milk and Contact Energy all produced strong half-year earnings, but they couldn’t move the New Zealand sharemarket on another down day yesterday. The S&P/NZX 50 Index fell during the afternoon and closed at 13,117.91, shedding 80.27 points or 0.61% after reaching an early-morning high of 13,211.23. The index has fallen more than 3% over the last two trading days and is at its lowest level in five and a half months. There were 60 gainers and 83 decliners on the main board with 30.1 million shares worth $112.7m changing hands.
The market was weighed down by Contact’s $525m capital raise to help fund renewable energy projects, and a slump in the property sector as the housing market remains soft.
Freightways was up 9c to $14.61 after reporting a strong half-year result with revenue increasing 8.5% to $718.15m and net profit rising 17.2% to $52.46m. Operating earnings (ebitda) were up 12.2% to $96.5m. The express delivery company, a bellwether stock for the NZ economy, is paying an interim dividend of 21c per share on April 1, an increase of 10.5%. Freightways said, “We expect a steady improvement in same-customer volumes in the second half of the 2026 financial year, particularly in New Zealand, driven by a level of economic recovery.”
Global infant milk supplier a2 Milk was one of the day’s biggest movers, gaining 50c or 5% to $10.50 after reporting an 18.8% rise in revenue to $993.49m and 9.4% increase in net profit to $112.3m for the six months ending December. The share price hit an intraday high of $11.17. It is paying an interim dividend of 11.5c a share on April 2. A2 Milk’s revenue grew 13.6% in its main market of China, with the China label infant milk formula achieving record market share. The company upgraded its full-year revenue growth guidance from low double-digit to mid double-digit per cent with improved operating earnings (ebitda) margin. A2 Milk said it is on track to achieve the $2b sales ambition this financial year – 12 months ahead of the plan.
Contact Energy, last traded at $9.59, reported a 43.9% increase in half-year net profit to $204.95m and 5.3% fall in revenue to $1.617 billion. It is paying an interim dividend of 16c a share on March 25. However, Contact entered a trading halt before announcing the capital raise and development plans. Contact has also made an offer to buy the remaining 24.98% of King Country Energy for $47m. Other stocks Fellow energy stocks Meridian was down 18c or 3.13% to $5.58, and Mercury declined 9c to $6.24.
The property sector on the NZX fell more than 2%. Argosy was down 3.5c or 2.94% to $1.15; Goodman Trust declined 5.5c or 2.87% to $1.86; and Investore shed 2.5c or 2.24% to $1.09. Vital Healthcare Trust declined 5.5c or 2.76% to $1.94; Precinct Properties was down 3c or 2.59% to $1.13; and Stride eased 2c to $1.25. Property for Industry, down 5c or 2.19% to $2.23, has sold two properties in New Plymouth and Christchurch for a combined total of $19.05m, representing a 1.06% increase on the most recent valuations.
Fletcher Building was down 9c or 2.48% to $3.54; Summerset declined 18c to $10.67; and Ryman Healthcare fell 14c or 5.36% to $2.47 – stocks that are also affected by the health of the housing market. Infratil was down 28c to $10.94; Port of Tauranga declined 20c or 2.53% to $7.70; and Vista Group decreased 16c or 8.89% to $1.64. Amongst the few gainers, Mainfreight was up $1 to $63; Vulcan Steel increased 16c or 2.06% to $7.94; and Winton Land gained 5.5c or 2.85% to $1.98.
Tourism Holdings, up 4c to $2.35, has a conditional agreement to sell its UK and Ireland assets to Portugal-based recreation vehicle rental company Indie Campers for an expected $58.3m. The company said the timing of the transaction will negatively impact operating earnings by $1.1m in the second half of the 2026 financial year because of the loss of UK and Ireland high-season income in the fourth quarter.
Source: Business Desk
Australian Market Report
Ahead of the local open SPI futures were 13 points higher at 8943.
- close [Morningstar with AAP]: The local share market has closed modestly higher as traders digest a spate of earnings reports from companies including JB Hi-Fi, Treasury Wine Estates, A2 Milk and BlueScope Steel.
The benchmark S&P/ASX200 index recovered from a midday lull on Monday to finish up 19.5 points, or 0.22 per cent, to 8,937.1, while the broader All Ordinaries gained 25 points, or 0.27 per cent, at 9,163.8.
The gains came after a cooler-than-expected US inflation readout at the weekend was seen as increasing odds the Federal Reserve will cut interest rates three times in 2026, rather than twice.
Eight of the ASX's 11 sectors finished higher, with materials and utilities lower and financials basically flat.
The bourse's battered tech sector rebounded dramatically on Monday, rising 5.7 per cent in its best single-day performance since a 7.6 per cent rise on April 10.??
That still leaves the sector down 20.2 per cent for the year, however, having lost ground every week so far in 2026 amid fears artificial intelligence could disrupt the business models of software-as-a-service firms.
Xero on Monday rose 7.6 per cent, Wisetech Global climbed 12.9 per cent, Life360 grew 6.8 per cent and Treasury One lifted 5.6 per cent.
The consumer discretionary sector rose 1.6 per cent after JB Hi-Fi reported a 7.3 per cent lift in first-half sales and an 8.1 per cent rise in earnings.
"In a retail environment where customers are seeking value, our brands continue to resonate strongly," chief executive Nick Wells said.
JB Hi-Fi shares rose 7.5 per cent to $82.40, while Harvey Norman gained 1.3 per cent and Lovisa added 1.7 per cent
On the flip side, Treasury Wine Estates was the worst performer in the ASX200, falling 5.2 per cent to a two-month low of $4.97 after the Penfolds owner scrapped its dividend while reporting a statutory loss of $649.4 million following poor sales in the US and China.
A2Milk gained 6.8 per cent to $9.10 after lifting its full-year guidance following a strong first half, including a 19.6 per cent rise in underlying profit.
In the heavyweight mining sector, Rio Tinto slid 4.1 per cent to a one-week low of $162.75 after a weekend fatality at its Simandou iron ore project in the West African nation of Guinea led to a halt in its operations there.
BHP dropped 1.5 per cent to $50.36, Fortescue fell 4.7 per cent to $20.21 and Mineral Resources subtracted 1.2 per cent to $51.60.
Goldminers were mostly higher, however, as the precious metal traded about $US5,047 an ounce. Northern Star advanced 0.3 per cent and Newmont added 2.7 per cent.
Elsewhere in the sector, BlueScope Steel fell 2.7 per cent to $28.37 as the nation's largest steelmaker reported a half-year net profit of $391 million, more than double the number from a year ago.
The big four banks were mixed, with ANZ falling 3.1 per cent to $39.63 and NAB dropping 1.0 per cent to $45.54, while CBA added 1.2 per cent to $178.28 and Westpac advanced 0.2 per cent to $40.61.
Bendigo and Adelaide Bank dropped 2.2 per cent after the regional bank reported $256.4 million in half-year cash earnings, down 3.3 per cent from a year ago.??
Eighty different ASX-listed companies will report earnings this week, one of the busiest stretches of the earnings season.
The Australian dollar was trading for 70.88 US cents, up from 70.68 US cents at 5pm on Friday.
ON THE ASX:
The S&P/ASX200 rose 19.5 points, or 0.22 per cent, to 8,937.1
The broader All Ordinaries gained 25 points, or 0.27 per cent, to 9,163.8
The NZX 50 added 8.51 points (0.06%) to 13126.42
Companies commencing Ex-Dividend Trading Today (ASX 300):
Bravura Solutions Limited
Computershare Limited
Insurance Australia Group Limited
Overseas Market Report
[Morningstar with Dow Jones]:
U.S. stocks ended mixed. The DJIA climbed 0.1% to 49,500.93, the S&P 500 was unchanged at 6,836.17 and the Nasdaq declined 0.2% to 22,546.67.
Among S&P 500 companies, the top three gainers were Coinbase Global Inc COIN surging 16.46%, Applied Materials Inc AMAT jumped 8.08%, and DexCom Inc DXCM lifted 7.59%.
The biggest decliners were Constellation Brands Inc STZ which dropped 8.09%, Norwegian Cruise Line Holdings Ltd NCLH fell 7.44%, and NVR Inc NVR lost 7.35%.
Asia
Chinese shares closed lower. The benchmark Shanghai Composite Index slipped 1.3% to 4,082.07 and the Shenzhen Composite Index declined 1.1% to 2,680.39.
Hong Kong shares ended higher. The benchmark Hang Seng Index climbed 0.5% to 26,705.94.
Japanese shares ended lower. The Nikkei Stock Average slipped 0.2% to 56,806.41.
India shares ended higher. The BSE SENSEX gained 0.8% to 83,277.15.
Europe
Stocks in the U.K. finished higher. The FTSE 100 Index lifted 0.3% to 10,473.69. In Europe, shares closed mixed. The Germany's DAX dropped 0.5% to 24,800.91, and the France's CAC 40 added 0.1% to 8,316.50
