Nuplex Gains Most in 12 Months as Profit Beats Forecast
Nuplex Industries Ltd. (NPX), a New Zealand resin manufacturer, rose the most in 12 months in Wellington trading after full-year earnings were better than analysts’ and company expectations.
Net income rose 3.6 percent to NZ$66.5 million ($54 million) in the year ended June 30 from NZ$64.2 million a year earlier, the Auckland-based company said today. Profit beat the NZ$60.5 million average estimate of analysts and the NZ$65 million forecast the company published in May.
Nuplex, which sells resins used in paints and construction materials, said it was able to recover about 90 percent of higher raw material costs through price rises as European and Asian markets recovered. The company is building new plants in Vietnam and China and reducing other costs at its existing factories, it said.
The stock closed 6.8 percent higher at NZ$2.53, the biggest gain since Aug. 26 last year after earlier surging as much as 11 percent. Before today, the stock had slumped 33 percent this year.
Full-year operating profit, or earnings before interest, tax, depreciation and amortization, fell 6.1 percent to NZ$130.9 million, better than the NZ$125 million to NZ$129 million range forecast in May.
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