Investors cash in on record gains

The benchmark index has advanced some 7 per cent this month, recovering from September's volatility.

New Zealand stocks fell, retreating from record levels as investors booked profits. Air New Zealand, MightyRiverPower and Fisher & Paykel Healthcare declined in a broad-based sell-off.

The S&P/NZX 50 Index fell 16.59 points, or 0.3 per cent, to 5986.38. Within the index, 20 stocks fell, 20 rose and 10 were unchanged. Turnover was $160 million.

The benchmark index has advanced some 7 per cent this month, recovering from September's volatility.

Air NZ, whose shares have climbed 17 per cent in October, fell 1.4 per cent to $2.91. Metro Performance Glass declined 0.7 per cent to $1.53, after a 13 per cent monthly gain. F&P Healthcare dropped 0.8 per cent to $7.78, after a monthly gain of 9.6 per cent. MightyRiverPower slipped 1.1 per cent to $2.80 after an 11 per cent gain and Meridian Energy fell 1.3 per cent to $2.22, after advancing 6 per cent in the month.

"It's a bit of profit-taking," said Mark Lister, head of private wealth research at Craig's Investment Partners. "It's been an outstandingly strong month for the local market. It's been a very good month for shares pretty much everywhere."

Australia New Zealand Banking Group led the benchmark index lower, down 5.5 per cent to $28.74.

Xero advanced 3.2 per cent to $15.99. The cloud-based accounting software developer slowed its cash burn in the September quarter as customer receipts rose at a faster pace than its wage costs.

TrustPower rose 1.7 per cent to $7.80 after the utility announced flat earnings for the first half of the year on an underlying profit after tax basis, reporting a 1 per cent uplift on the same period last year at $68.3 million.

Spark New Zealand rose 0.9 per cent to $3.36. The telecommunications operator has pulled a proposal to boost directors' fees by 5 per cent, after negative feedback from shareholders. NZX was unchanged at 96 cents. The stock exchange operator lifted revenue 13 per cent in the third quarter, to $18.6 million.

A2 Milk Co was the best performer on the benchmark index, up 4.1 per cent to 76 cents.

Outside the benchmark index, Briscoe Group rose 3.2 per cent to $2.89. The retailer, whose hostile takeover offer for Kathmandu Holdings was spurned earlier this year, lifted third-quarter sales 7.1 per cent to $115.9 million, and expects a seventh year of annual profit growth.