Fletcher Building's AGM last October. Photo/Jason Oxenham
Fletcher Building is this morning due to announce further losses from its Building and Interiors division, already down by more than $400 million.
The NZX listed giant with a market capitalisation of $5.1b will this morning reveal the true extent of issues with its big construction jobs but already the
business has cut guidance for its full-year earnings by around $415m.
A series of downgrades were announced throughout last year. They were:
• In February, it lowered expectations from that division by $20m;
• In March, it downgraded operating earnings by a further $110m (operating earnings downgraded from $720m to $760m to $610m to $650m);
• In July, it cut earnings by $85m to $125m;
• In October, it cut guidance by a further $160m.
Those four announcements swiped a total maximum of $415m off the balance sheet, due to losses from big construction projects: Christchurch's Justice and Emergency Precinct and Auckland's NZ International Convention Centre.
