{"id":412748,"date":"2026-05-05T11:00:13","date_gmt":"2026-05-05T11:00:13","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/412748\/"},"modified":"2026-05-05T11:00:13","modified_gmt":"2026-05-05T11:00:13","slug":"nz-sharemarket-rattled-by-gentrack-down-0-4-market-close","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/412748\/","title":{"rendered":"NZ sharemarket rattled by Gentrack, down 0.4% \u2013 Market close"},"content":{"rendered":"

Gentrack, which is making a $20m share buy-back<\/a>, said it now expected half-year operating earnings (ebitda) of $7.8m and full-year ebitda of $13.5m-$20m \u2013 well below the market\u2019s expectations of $15.9m and $34m, respectively.<\/p>\n

Half-year revenue is expected to be $110m, below the market expectation of $123m, and the full-year between $229m and $238m, with recurring revenue growing 10% to around $174m. Non-recurring revenue would be lower than in the previous year.<\/p>\n

\u201cWith strong recurring revenue growth, we expect margins to improve to our medium-term target of 15% to 20% ebitda margin,\u201d Gentrack said.<\/p>\n

\u201cWe stand by our medium-term revenue target of more than 15% compound annual growth rate. We have taken the strategic decision to prioritise growth and global leadership over short-term ebitda.\u201d<\/p>\n

Shane Solly, portfolio manager with Harbour Asset Management, said Gentrack\u2019s project pipeline hadn\u2019t come through. The earnings downgrade was quite significant, and the market reacted aggressively.<\/p>\n

The market was also led lower by the transport and logistics companies Mainfreight, which declined $2.10 or 3.41% to $59.40, and Freightways, which shed 30c or 2.25% to $13.05, after Amazon said it was opening up its supply chain to all shippers.<\/p>\n

Solly said the move would likely create a shake-down in the global sector, with Amazon competing with the likes of Mainfreight and other transport businesses.<\/p>\n

Across the Tasman, the Reserve Bank of Australia, as expected, increased its cash rate by 25 basis points to 4.35%, saying inflation is likely to remain above target for some time.<\/p>\n

Higher fuel prices are adding to inflation, and there are indications this is likely to have second-round effects on prices for goods and services more broadly, the bank said.<\/p>\n

The S&P\/ASX 200 Index was down 0.24% to 8,678.3 points at 6pm NZ time.<\/p>\n

In the US, the Dow Jones Industrial Average tumbled 550 points, or 1.13%, to 48,941.9 points, as oil prices rose and investors feared the Iran conflict could intensify again.<\/p>\n

The S&P 500 was down 0.41% to 7200.75 points, and the Nasdaq Composite eased 0.19% to 25,067.8. Brent Crude oil was trading at US$113.50 ($193.42) a barrel.<\/p>\n

Local stocks<\/p>\n

At home, Fisher & Paykel Healthcare was down 30c to $36.50; Ryman Healthcare decreased 5c or 2.25% to $2.17; Oceania Healthcare declined 1.5c or 2.01% to 73c; and Vulcan Steel shed 21c or 3.l3% to $6.15.<\/p>\n

Another transport stock, Move Logistics, fell 1.5c or 6.38% to 22c, and Blackpearl Group declined 2.5c or 3.14% to 77c.<\/p>\n

Contact Energy, which presented at the Macquarie conference, was up 9c to $9.79; a2 Milk gained 9c to $8.14; Ebos Group increased 38c or 1.77% to $21.80; Tourism Holdings rebounded 9c of 4.48% to $2.10; Vista Group improved 4.5c or 2.37% to $1.94; and ikeGPS rose 7.5c or 6.2% to $1.28.<\/p>\n

Meridian Energy, unchanged at $5.80, becomes the only New Zealand company included in the S&P\u2019s Dow Jones Best-in-Class World Index \u2013 a global measure of corporate sustainability performance and ranking in the top 10% of utilities worldwide.<\/p>\n

Westpac decreased $1.76 or 3.72% to $45.50 after reporting a \u201cslightly disappointing\u201d 5% increase<\/a> in half-year revenue to A$11.29 billion ($13.7b) and net profit of A$3.4b, up 3% on the first half of the 2025 financial year and down 5% on the second half.<\/p>\n

The transtasman Banking Group said balance sheet momentum was solid, with both lending and deposit growth of 7% over the year.<\/p>\n

ANZ was down 41c to $43.90 after the High Court ruled in 2015 and 2016<\/a> that some of its lending breached the Credit Contracts and Consumer Finance Act and that customers should be paid all the interest on their loans.<\/p>\n

ANZ estimated it could cost as much as $125m, depending on how the judgment is applied to the 17,000-odd people captured by the class action.<\/p>\n

Transport and logistics software firm Trade Window, up 1c or 5.26% to 20c, reported a 20% rise in revenue to $9.6m for the year ending March, with annual recurring revenue increasing 17% to $10.1m compared with the previous year.<\/p>\n

Stay ahead with the latest market moves, corporate updates, and economic insights by subscribing to our Business newsletter<\/a> \u2013 your essential weekly round-up of all the business news you need.<\/p>\n","protected":false},"excerpt":{"rendered":"Gentrack, which is making a $20m share buy-back, said it now expected half-year operating earnings (ebitda) of $7.8m…\n","protected":false},"author":2,"featured_media":412749,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[1126,138,3595,651,6097,118527,4568,5504,101016,225,212193,111,139,69,3333,8210,2122,1125,78456,3755,1316,80],"class_list":["post-412748","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-1126","tag-business","tag-by","tag-close","tag-down","tag-downgrade","tag-earnings","tag-following","tag-gentrack","tag-market","tag-nearsevenyear","tag-new-zealand","tag-newzealand","tag-nz","tag-price","tag-rattled","tag-share","tag-sharemarket","tag-slashed","tag-third","tag-when","tag-zealand"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/412748","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=412748"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/412748\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/412749"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=412748"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=412748"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=412748"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}