Mercury slashes earnings guidance 11%

Mercury slashes earnings guidance 11%
Low rainfall into Lake Taupō has reduced Mercury's hydro-electricity production on the Waikato River. (Source: Getty Images)
Pattrick Smellie
Electricity company Mercury has lost 100 megawatts of baseload generation for several months following the failure of its Kawerau geothermal power station two days ago.Notification of the breakdown accompanied a profit downgrade announcement to the NZX this morning, cutting expected earnings before interest, tax, depreciation, amortisation and changes in the value of financial instruments to $460 million.That’s an 11.2% reduction on previously announced guidance of $520m for the year ending June 30.The Auckland-based generator-retailer at...

More Infrastructure

Govt to fight receivers over $30m Tui oil field tax credit
Infrastructure

Govt to fight receivers over $30m Tui oil field tax credit

Crown bid to have liquidators cover decommissioning costs is subject to approval.

Govt agrees 'in principle' to $10b worth of Northland roading PPPs
Infrastructure

Govt agrees 'in principle' to $10b worth of Northland roading PPPs

The Northland expressway project could be one of the first PPPs out of the gate.

Dileepa Fonseka 23 Jul 2024
PPP costs, schools, and avoiding Transmission Gully
Policy

PPP costs, schools, and avoiding Transmission Gully

Two words linger over the PPP debate, including in schools: Transmission Gully.

Dileepa Fonseka 23 Jul 2024
Fletcher Building nails new director
Infrastructure

Fletcher Building nails new director

Australian aluminium boss and former Carters GM Tony Dragicevich starts Aug 1.