In case you missed it: News bites for the week.
Mandy Simpson.
Electricity generator and retailer Meridian has appointed Z Energy executive Mandy Simpson as its new chief financial officer, starting on September 1.
Simpson replaces current CFO Mike Roan, who becomes chief executive on June 30 with incumbent Neal Barclay’s departure.
Roan said he was delighted to welcome someone of Simpson’s calibre to the executive team.
“Mandy has proven leadership capability and a great mix of strong finance skills and broader operational and technology experience. She also has a strong record delivering organisation change and technology transformation.”
Simpson, who has an LLM from Cambridge University, joins Meridian from Z Energy where she was general manager of strategy, delivery and innovation. She has also served as chief operating officer at NZX and CFO at the State Services Commission.
Meridian group financial controller Helen Peters will be acting CFO until Simpson’s arrival.
Scott Technology says it is working with Police and other authorities to establish the circumstances of a "tragic accident" at its Dunedin site last week, which has left one employee dead.
In an NZX disclosure this morning, the listed robotics company said the company was "deeply saddened" by the death, and extended condolences to the employee's family. It asked for privacy and did not disclose any information about the nature of the event.
WorkSafe has reportedly opened an investigation into the incident, which occurred last Thursday at its Kaikorai Valley Road site, which is also its headquarters.
In its most recent annual report, the company noted it had achieved a Lost Time Injury Frequency Rate of zero in FY24.
Simon Woodhams.
Listed industrial landlord Property for Industry expects its adjusted funds from operations (Affo) for its June year to exceed prior forecasts by between 5% and 10%. In a notice to the market, PFI said that would put its cash dividend of 8.50 cents towards the lower end of its dividend policy range, or about 90% of its one-year Affo as opposed to its 100% range. Chief executive Simon Woodhams said the upgrade is in part due to higher levels of tax depreciation than previously expected, after changes to tax depreciation rules and completion of developments at 30-32 Bowden Road and the first stage of 78 Springs Road. The former development, offering a warehouse area of 17,634 square metres, has been recently tenanted by Daikin. PFI said it was also expecting lower levels of maintenance spending than previously forecast, with maintenance capex now expected at about $4 million. The company's portfolio of 91 properties houses about 125 tenants.
Trade Minister Todd McClay is meeting in Auckland over the next three days with Saudi Arabia’s Minister of Environment, Water and Agriculture Abdulrahman A. AlFadley. AlFadley is leading a team of 35 senior Saudi officials to take part in the 9th New Zealand-Saudi joint ministerial commission. McClay said the meeting confirmed the strong momentum in NZ’s relationship with Saudi Arabia and the broader Gulf region, following the conclusion of the NZ-Gulf Cooperation Council Free Trade Agreement last year. “As the Gulf’s largest economy and one of our top export markets, with exporter reaching $1.14 billion last year, Saudi Arabia presents significant opportunities for Kiwi businesses through the NZ-GCC FTA,” he said.
Non-bank deposit taker General Finance has reported robust quarterly growth, with a net profit after tax of $597,571.
The company has released its quarterly unaudited report for the three months ended March 31. Total assets rose 8% from the December quarter to $211.9m, while it held $57.8m in cash, cash equivalent, and bank deposits.
Managing director Brent King said the quarterly performance reinforced the “robust and stable” nature of General Finance. “We are well positioned to build on this momentum and continue our growth journey.”
General Finance is a New Zealand-owned and operated finance company and is a subsidiary of General Capital.
Last month, General Capital announced the resignation of Megan Glen as a non-executive director of the board from March 31.
Chair Rewi Bugo said the board would undertake a “skills review” to determine the next director, with an appointment likely at the next annual meeting.
Service industries all reported growth last month.
New Zealand businesses filled more job positions in March, but a sluggish economy is still expected to drag quarterly unemployment higher.
Statistics NZ data out today showed the seasonally adjusted number of filled jobs rose 0.2%, or 3548 jobs, to 2.36 million filled jobs last month, when compared with February.
The primary sector, goods-producing, and service industries all reported growth last month.
On an annual basis, filled jobs were down 34,542 from March last year, with declines in most areas, including construction; administrative and support services; professional, scientific, and technical services; and manufacturing, while the healthcare and social assistance sector added 4800 jobs.
ANZ senior economist Miles Workman pencilled in a 0.2% increase in the unemployment rate to 5.3% in the March quarter. That data gets published next week.
He said that was a touch above the RBNZ’s February Monetary Policy Statement forecast.
Godfrey Hirst marketing.
Bremworth and Godfrey Hirst have settled court proceedings brought by Godfrey Hirst against Bremworth, which arose from Bremworth's 2020/21 marketing campaign comparing nylon carpet on the floor of the average Kiwi home equating to about 22,000 plastic bags in weight. Bremworth at the time had ceased producing synthetic carpet and moved to manufacturing wool carpets only. Godfrey Hirst alleged that aspects of that campaign mischaracterised the relative environmental and health impacts of synthetic and wool carpets and breached the Fair Trading Act. Godfrey Hirst dropped its damages claim against Bremworth in 2022.
Bremworth denied breaching the Act, but acknowledged that the marketing campaign may have misled some consumers. The campaign was removed and will not be used again.
Radius Clare House in Invercargill.
Business confidence has fallen while inflation expectations have edged slightly higher, according to ANZ’s latest business survey today. Overall, firms’ confidence fell nine points to +49 in April, while expectations of their own activity fell one point to 48. Meanwhile, pricing and cost indicators indicated margin squeeze from ongoing cost pressures. One-year-ahead inflation expectations were up a touch to 2.65%. ANZ chief economist Sharon Zollner said global economic uncertainty could be putting investment and employment plans on ice. “But we’ll have to wait and see whether the impact is short-lived or lasting. That, in itself, will depend not least on whether trade spats de-escalate or worsen from here.” Earlier this month, the NZ Institute of Economic Research’s quarterly business survey found a net 23% of businesses thought the economy would improve over the coming months, up from a net 9% in the December quarter.
Chris Swasbrook.
New Zealand investor and businessman Chris Swasbrook has been appointed chair of Te Papa. He replaces acting chair Jackie Lloyd, who took on the role following the departure of Dame Fran Wilde. Swasbrook has more than 25 years’ experience working in finance, with executive and governance roles in several businesses. He is currently managing director of Elevation Capital and co-founder and director of NZX-listed New Zealand Rural Land Company. He also chairs the Auckland Future Fund, and is an inaugural member and chair of the Auckland Art Gallery Toi o Tamaki Advisory Committee. Acting Arts, Culture and Heritage Minister Chris Bishop said Swasbrook would bring commercial, financial and investment governance experience to the Te Papa role. “His strategic insights and international perspective will undoubtedly prove valuable to our national museum.”
New Zealand’s road freight industry is continuing to navigate through tricky economic conditions, with most transport operators surveyed expecting to be in a tight financial situation over the year ahead. Advocacy group Transporting New Zealand has released the results of the 2025 National Road Freight Industry Survey, with 194 respondents across 128 road freight businesses. The survey was conducted in March by Research NZ. Only 34% of those surveyed expected their financial situation to improve over the next year, and only one-in-four respondents reported ‘sustainable’ operating margins. Transporting NZ's head of policy and advocacy Billy Clemens noted company liquidations in the transport sector were up 79% last year, while other indicators pointed to fewer truck movements around the country. “The survey results, combined with the tough economic data, really highlight the need for infrastructure investment from the Government to support growth, as well as resource management reform."
Wayne McNee.
US startup Hoofprint Biome, which is developing probiotics and natural enzymes that reduce methane while improving cow health, has become AgriZeroNZ’s largest single investment. AgriZeroNZ, the public-private joint venture focused on helping farmers cut emissions, has invested a further US$5m ($8.7m) into the US company as part of a Series A round, which also attracted a host of global venture capital firms, including SOSV. AgriZeroNZ originally invested $4.1m into the startup in 2023 and said its initial stake had already increased by about 2.4 times. CEO Wayne McNee said the follow-on investment underscored the importance of natural, microbiome solutions in its $61m portfolio.
Hoofprint Biome is aiming to launch its first product for dairy cows in early 2027, subject to regulatory approvals. Its enzyme blend, mixed into supplementary feed, aims to reduce enteric methane emissions by more than 80% while also improving digestion to increase milk and meat yield by over 5%.
The Government has confirmed open banking is a priority by the end of this year to improve competition and get a fairer deal for customers.
Commerce and Consumer Affairs Minister Scott Simpson said Cabinet had agreed to designate banking as the first sector under the Customer and Product Data Act. “This sets out the rules for how open banking will work in practice in New Zealand.”
“The Big Four banks – ANZ, ASB, BNZ, and Westpac – will need to make sure their open banking systems meet the new requirements by 1 December. Kiwibank will need to be ready by June 2026.
“Designating the banking sector is necessary to speed up the uptake of open banking in New Zealand. It will ensure the major banks are not creating unnecessary barriers for fintechs and smaller players,” Simpson said.
Open banking allows third parties such as financial technology companies to access data held by banks. Fintechs then use that data to develop products and services that banks might not already offer.
Chlöe Swarbrick.
The Green Party has announced its plan for a Green Jobs Guarantee. Its co-leader Chlöe Swarbrick said it would create at least 40,000 jobs to rebuild infrastructure, plant native trees, restore biodiversity, and build homes.
“We’ve done it before and can do it again. Before politicians took their hands off the wheel of the economy 40 years ago and sold off the assets we all used to own, we had a Ministry of Works. Our Minister of Green Works builds on that proud tradition but is future fit for the climate transition,” Swarbrick said. She said the Greens would also set up the Future Workforce Agency, Mahi Anamata, which would plan for the skills the country needed.
“We’ll revitalise and supercharge the roaring success of Jobs for Nature, and we’ll ensure everyone in this country who wants a good, decent, living wage paying job will get one.”
Broking firm Craigs Investment Partners has posted a net profit of $26.8m for the year to December, up about a third on last year after adjusting for its sale of fund manager Quay Street.
The year featured brokerage revenue up 44% to $62.9m, while fee revenue gained 13% to $186.4m.
However, costs also increased, with personnel expenses rising 17% to $166.4m.
The company paid a dividend during the year to its parent, CIP Holdings, of $18.1m.
On May 1, the previously employee-owned firm completed a deal selling half its shares to US private equity investor TA Associates.
In 2023, Craigs IP reported a profit of $48.7m, including a gain of $30.8m on the sale of management rights to Quay Street funds. The buyer was NZX.
Craigs’ 2024 result included a further $3.2m from the deal in deferred consideration.
Michael Skates.
Electricity retailer Prime Energy has defaulted on its payment obligations and its customers will be switched to another provider, the Electricity Authority said on Friday.
The EA said Prime has about 320 mostly industrial and commercial customers who would be asked to switch by May 9 or be allocated another supplier. None would be disconnected, it said.
Auckland-based Prime, owned and directed by Michael Skates, was named as owing about $17 million to electricity generator Manawa Energy in August.
Skates could not immediately be reached for comment.
The EA said Prime would not be able to supply electricity from May 12 while in default.
The EA’s guidelines for managing a trader default say an event of default could include “failing to pay an invoiced amount to the clearing manager, failing to meet the required level of financial security, becoming insolvent, if a third party takes control of some of a trader’s assets”.
New Zealand consented fewer houses over the past year, with a noticeable divide between the North and South Islands.
Statistics NZ data out today showed there were 34,062 new homes consented in the year ended March, down 3.3% compared with the previous year.
The North Island recorded 23,570 new home consents, down 7.1% from the previous year. In the South Island, 10,491 homes were consented, up 6.4%, driven by Otago, Tasman, and Canterbury.
On a monthly basis, there were 3398 new dwellings consented in March, with 1452 townhouses, flats, and units; 1374 stand-alone houses; 495 apartments; and 77 retirement village units.
Jono Dean.
Skifield operator Pure Turoa has appointed former Ruapehu Alpine Lifts chief executive Jono Dean as CEO.
Pure Turoa, which acquired the Turoa business from RAL’s receivers last year, said Dean had been a strategic adviser for the company for the past 18 months.
Shareholding director Cam Robertson said Dean’s advice had been invaluable.
“The board has determined that the best way to achieve our goals is to formalise his leadership by appointing him chief executive.”
Dean served as CEO of RAL from 2019 until its administration in 2022, after previously working as general manager of RAL’s Whakapapa ski field from 2018.
In a statement, Pure Turoa said its strategy was focused on capital raising, long-term licence renewal, infrastructure investment, strengthening stakeholder partnerships, and skier day growth.
