Fletcher Building and retailers Michael Hill and Hallenstein Glasson Holdings could show signs of a consumption crunch this NZ earnings season. Here's the stocks investors will be watching this month & why.
Chorus hikes dividend
With the cost-heavy UFB rollout behind it, Chorus hiked its full-year dividend to 42.5 cents per share (from the year-ago 35cps) and forecast a 47.5cps payout in FY2024, a big jump, but still shy of the 50cps that Forysth Barr picked for the current year.
Chorus reporteda full-year net profit that fell to $25 million from the year-ago $64m.
The UFB network operator said one-off costs related to extreme weather events trimmed $10m from its operating earnings. But chief executive JB Rousselot said most of the net profit drop was primarily due to higher interest rates pushing up debt servicing costs.
Underlying ebitda (excluding Cyclone Gabrielle costs and other one-offs) rose $22m to $660m and revenue edged up from the year-ago $965m to $980m. The firm forecast ebitda of $680m to $700m for FY2024.
Mercury's Karapiro Hydro Power Station. Photo / Alistair Gutherie
Mercury boosts generation
Mercury has boosted its revenue by nearly 25 per cent to $2.73 billion after record inflows into its hydro catchment boosted its generation.
The country’s largest electricity retailer reported net profits of $103 million for the year to June 2023 - down 78 per cent from $469m as the previous financial year included a one-off boost from the sale of its Tilt Renewables shareholding.
Mercury’s ebitdaf rose 45 per cent from $581m to $841m. Its FY23 dividend will be 21.8cps, up from 20cps.
A2 Milk has released its full-year result. Photo / File
A2 Milk up despite China slowdown
A2 Milk said a strong performance in its biggest market – China – helped drive its net profit up by 26.2 per cent to $144.8 million in the June year.
It has been a difficult year for Freightways. Photo / File
Challenging year for Freightways
Freightways Group has posted a 29 per cent increase in operating revenue in a difficult year for the supply chain sector, and a net profit lift of 7 per cent.
FY23 total revenue was $1.12 billion with total net profit of $75.2 million.
The company said the economic climate had been challenging over the past six months and it expected the situation to continue through the 2024 financial year.
Steel & Tube chief executive Mark Malpass. Photo / Supplied
Steel & Tube result reflects ‘softer trading conditions’
Steel & Tube’s net profit after tax fell 43.7 per cent to $17 million after its revenue dipped slightly to $589.1m - the second highest revenue reported by the company.
