Air New Zealand Climbs on Full-Year Forecast: Wellington MoverTracy Withers
Air New Zealand Ltd., the nation’s largest carrier, rose the most in more than seven months after forecasting full-year earnings will surge by more than it earlier projected.
Normalized earnings before tax will be between NZ$235 million ($198 million) and NZ$260 million in the year ending June 30, from NZ$91 million a year earlier, the Auckland-based airline said in a statement today. The shares rose 5.6 percent, the biggest gain since Aug. 31.
The outlook is based on the current market conditions and trading environment, the airline said without providing any other comment. Passenger numbers rose 2.4 percent in the nine months ended March 31, it said in a monthly disclosure of statistics, also released today.
Air New Zealand shares have jumped 23 percent the past six months after it said in late September that full-year earnings would more than double. The stock rose 8 cents today to NZ$1.52 at the 5 p.m. close in Wellington.
First-half earnings were NZ$139 million, the most in five years, the company said Feb. 28, adding that it expected second-half earnings would comfortably exceed the NZ$58 million recorded a year earlier.
Air New Zealand only provides forecasts based on pretax profit that excludes gains and losses on derivatives that hedge exposures in other financial periods.