12.00pm
The sharemarket turned positive this morning, reversing initial weakness and in line with Wall St's positive tone on Friday.
Even for a Monday morning, turnover was pathetic at $9 million.
The NZ50 index was up 3.56 at 1906.06 at 11.30am, while the top 40 capital index was up 2.61 at 1892.96.
There were
a number of stocks ex-dividend including Ports of Auckland (15cps), Port of Tauranga (6cps), Cavalier (7.5cps), Steel & Tube (11cps), Property for Industry (1.48cps) and Ebos (7cps).
The main interest was in The Warehouse's half year result which saw its January half year net profit fall to $58.2 million from $59.1 million.
UBS Warburg head of research Richard Leggat said the net profit was in line with expectations.
He said investors were after more information on same store sales.
The Australian net profit, which was down 30 per cent, was weaker than expectations "but in the scheme of things it is the New Zealand business which is the key and that looks to be okay".
Mr Leggat said that, given the rise of the New Zealand dollar, there was a good prospect for improved margins in the second half and "on the basis of their current guidance it does look as if they will have a pretty reasonable second half".
The Warehouse repeated guidance given in February it would have a net profit of $90 million to $95 million for the full year. The Warehouse shares which have fallen a quarter since January 20, were up 7c to 556.
Market leader Telecom rose 4c to 435.
Fisher & Paykel Healthcare was up 20c to 960 on very light volume, GRD was up 12c to 115, Steel & Tube was up 8c to 317, Contact was down 5c to 443, and Carter Holt Harvey was down 3c to 172.
Ports of Auckland was down 25c to 615, 10c more than the dividend it shed.
There were 30 rises and 29 falls among the 93 stocks traded.
- NZPA
