Sharechat Logo

NZ quarterly retail sales rise 1.7% in 4th-qtr, adding to upbeat electronic cards data

Friday 23rd February 2018

Text too small?

New Zealand retail sales rose in the fourth quarter, as Kiwis spent more on dining and drinking out, cars and parts, and on groceries.

Retail sales volumes rose 1.7 percent in the final three months of 2017, on an adjusted basis for seasonal and price effects, from a revised 0.3 percent gain in the third quarter, Statistics New Zealand said. In actual terms, the value of total retail sales rose 6.3 percent to $25.2 billion in the December 2017 quarter, from the same period in 2016.

The data tracks spending over a period already covered in the monthly electronic cards series. Retail spending on that measure rose for a fifth straight month in January, with the latest month also capturing a pickup in Kiwis dining out, which economists say corresponds with a hot summer.

"Households ended 2017 with a bang," said Westpac Banking Corp senior economist Satish Ranchhod. The 1.7 percent gain "was a bit above our own forecast and market expectations. This followed a very muted gain in the preceding quarter."

"Underpinning the rise in overall spending was a solid 1.8 percent lift in core categories," he said in a note. "That included gains in food and grocery sales, as well as increased spending on items like clothing and electronics. Some of this strength may have been related to the increased prevalence of ‘Black Friday’ sales in New Zealand."

Core industries sales rose 1.8 percent in the latest quarter. Of the two excluded industries, fuel sales fell 0.7 percent, its second quarterly decline, while motor vehicles and parts rose 2.1 percent.

Sales of food and beverage services climbed 3.7 percent, the biggest quarterly gain for an industry. Liquor sales climbed 3.6 percent. Sales at supermarket and grocery stores, the biggest industry at $4.6 billion sales in the quarter, a gain of 1.4 percent.

Accommodation had the largest decrease, falling 2.3 percent, while hardware, building and garden supply store sales fell 1.8 percent.

(BusinessDesk)

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

MARKET CLOSE: NZ shares rise after bumpy week, led by NZ Refining, Synlait while Port of Tauranga, A2 drop
NZ dollar heads for 0.7% weekly decline as trade jitters weigh on markets
Mining industry says no more projects the size of Te Kuha, but smaller ones waiting
Goodman Fielder seeks ComCom permission to buy Yoplait rights in NZ
RBNZ's Orr tipped to stand pat and could signal hikes might take even longer
Consistency across port reporting would boost transparency, deputy Auditor-General says
Fletcher's Ross says no change to B+I provisions, won't comment on delays in Chch airport hotel
SeaDragon auditor PwC struggles to find evidence supporting asset valuations; withholds opinion
Education Ministry's leaky school claim against Carter Holt about a year away
NZ may produce record volumes of milk this season, Rabobank says

IRG See IRG research reports