Geneva Finance has been fined and censured for breaking NZX listing rules. Photo / File
Geneva Finance has been fined and censured for breaking NZX listing rules. Photo / File
Geneva Finance has been censured and fined $65,000 after breaching the sharemarket's listing rules.
The finance company released earnings guidance for its March 31 2021 financial year on March 15 indicating a 56 per cent increase in its pre-tax profit.
Geneva also said it would restore its dividend to 2.25cents per share after cutting it back to 1.75cps following the March 2020 lockdown.
The NZ Market Disciplinary Tribunal found the guidance was material information and the company should have released it earlier when it became aware of it on March 2.
The guidance was also released without a "P" flag which signifies price sensitive information.
The tribunal found Geneva to be in breach of rule 3.1.1 and 3.16.2(c) and ordered that Geneva pay a financial penalty of $65,000, pay the costs of NZX and the tribunal, and be publicly censured.
In a statement to the exchange, Geneva Finance said it did not agree with the tribunal's decision in principle.
"It is the board's view that this decision by the tribunal limits the time available to directors to give proper consideration to an unaudited forecast prepared by management, prior to approving that forecast to be released to the market.
"Geneva takes its responsibilities and continuous disclosure obligations seriously and will not appeal the decision."
The Geneva board said it remained focused on building on its expected 21 per cent pre-tax profit increase for the September 21 half-year and increasing shareholder wealth.
