“Comvita had a better result, and Winton Land and Property for Industry were solid. There was a good bounce from a2 Milk after they gave an underwhelming outlook but they still have a little way to go for people to have renewed confidence,” Solly said.
In the United States, the 10 Year Treasury Note yield hit a 13-year high of 4.346 per cent, increasing the view that the economy will avoid a recession. The NZ 10 Year Government Bond yield was up 9.5 basis points to 5.16 per cent.
Global marketer a2 Milk increased 15c or 3.21 per cent to $4.83 after falling 12.52 per cent the day before when it released its latest annual report.
Freightways gained 25c or 3.02 per cent to $8.54; Contact Energy was up 10c to $8.32; Mercury, now the country’s largest electricity retailer with 860,000 customers, added 14c or 2.2 per cent to $6.49; and Genesis collected 4c to $2.585.
Skellerup Holdings, up 9c or 2.13 per cent to $4.31 and KMD Brands, gaining 1c to 84c, rebounded after being removed from the MSCI Small Cap Index. Pacific Edge, down 0.001c to 11c, was also removed from the index.
Other gainers were Argosy Property up 3c or 2.65 per cent to $1.16; Turners Automotive increasing 10c or 2.9 per cent to $3.55; Oceania Healthcare adding 3c or 4 per cent to 78c; 2 Cheap Cars rising 4.5c or 9.89 per cent to 50c; Smartpay Holdings gaining 11c or 7.14 per cent to $1.65; and Vista Group up 4c or 2.21 per cent to $1.85.
Developer Winton Land gained 3c to $2.58 after meeting guidance with $211.42m revenue, up 33 per cent, and $64.63m net profit, up 104 per cent for the year ending June. It is paying a final dividend of 2.16c a share on September 12.
Winton said it was a record year for delivery and settlements on 565 units, and gross profit margin increased from 45.4 per cent to 51.4 per cent.
Manuka honey producer Comvita, down 1c to $3.29, reported record revenue of $234.19m, up 12 per cent, and net profit of $11.06m, down 13 per cent for the year ending June – in line with market expectation. Comvita is paying a final dividend of 3c a share on October 26.
Comvita told the market that Greater China (including Taiwan and Hong Kong) exceeded $100m for the first time and second-half revenue increased 17 per cent compared with the previous corresponding period. The ecommerce share of revenue was 41.7 per cent, an increase of 19.1 per cent.
Operating earnings (ebitda) were $33.5m and Comvita is forecasting double-digit growth for the 2024 financial year. It is on track to deliver $50m ebitda by the end of the 2025 financial year.
Property for Industry, unchanged at $2.34, reported steady half-year revenue of $46.41m and a net loss of $30.52m due to a $55m reduction in the value of its portfolio. The company said Auckland industrial vacancy remains at all-time lows, driving a 4.7 per cent increase in rent on 61 leases worth $32.8m during the first half of the year.
Chorus, which has completed the broadband fibre rollout and has 1.031 million fibre connections, fell a further 23.5c or 2.88 per cent to $7.915 with investors disappointed the company didn’t increase its dividend.
Fonterra Shareholders’ Fund was down 7c or 2.12 per cent to $3.23; Vital Healthcare Property Trust shed 6c or 2.64 per cent to $2.21; Task Group declined 2c or 3.85 per cent top 50c; and TradeWindow decreased 1.5c or 4.11 per cent to 35c.
Fast food operator Restaurant Brands was down 16c or 3.51 per cent to $4.40. It has fallen from $16 set on August 31, 2021. Sky TV declined 5c or 2.01 per cent to $2.44, and PaySauce was down 1.5c or 6.67 per cent to 21c.
Colonial Motor Company, up 5c to $9.25, reported steady revenue of $997.22m and trading profit of $30.34m, down 9 per cent, for the year ending June. It is paying a final dividend of 42c a share on October 2.
Colonial said light vehicle trading conditions were inconsistent through the second half of the financial year, particularly due to changes in the clean car scheme and taxes on higher emitting vehicles driving short-term, artificial demand.
