Market eases on companies mixed results

The New Zealand sharemarket eased today, reflecting trends in offshore markets and a mixed bag of results from companies.

The benchmark NZSX-50 index closed down 14.481 points, or 0.469 per cent, at 3076.415. Turnover was worth $107.1 million. There were 39 rises and 52 falls among the 120 stocks traders.

Investors took the 90 per cent fall in bottom line profit by Air New Zealand in their stride and applauded a special dividend from Nuplex but were no so keen on PGG Wrightson's loss and capital raising signal and Hellaby's ongoing frustration with the divested BBQ Factory business.

The results filed today were mixed and investors continued to reward good news, said Stephen Wright of ASB Securities.

Air NZ fell 2c to 123 after revealing a profit slump.

"The result was better than expected. Air NZ management have been in front of the curve on reducing capacity at a greater rate than demand is falling," Mr Wright said.

Hellaby fell 10c to 127 after taking a $4.6m impairment for the BBQ Factory after the buyer failed to make payments on an agreed timetable.

"They just can't get away from that thing," Mr Wright said.

Telecom fell 4c to 271 after a watchdog group found wholesale loyalty offers breached the company's separation undertakings.

New Zealand Farming Systems Uruguay is struggling with credibility after inadvertently publishing a "fudge this" remark in its annual financial statements yesterday. It fell 6c to 40.

PGG Wrightson fell 5c to 79 after reporting a $66.4 million loss.

But New Image rose 10c to 72 after reporting a sixfold increase in profit. Nuplex rose 19c to 235 after announcing a 3.5c special dividend.

Metlifecare's result was clouded by non-cash property revaluations. Investors looked through that and the shares rose 8c to 220.

Abano Healthcare rose 90 to 690 after the company announced it had signed a deal to sell Bay Audiology to National Hearing Care for $157.8 million.

Contact fell 8c to 638 and TrustPower was unchanged at 760.

Mainfreight fell 6c to 524, SkyCity fell 6c to 328. Fisher and Paykel Appliances was unchanged at 80 and the healthcare stock rose 6c to 329.

Pike River Coal rose 3c to 102. NZ Refining rose 9c to 534.

In the United States, investors stayed cautious after a rally, leaving stocks little changed despite solid reports on new home sales and durable goods orders.

After a five-month run-up that has pushed the broader S&P 500 up 52 per cent from its 12-year closing low on March 9, analysts have been questioning the rally's strength even as economic data points to improved demand.

The Dow Jones industrial average rose 0.04 per cent at 9543.52, the Standard & Poor's 500 Index added 0.01 per cent to 1028.12, and the Nasdaq Composite Index ended up 0.01 per cent at 2024.43.

- NZPA