Downer EDI expects earnings hit from Christchurch quake

Australian-based Downer EDI is expecting last month's Christchurch earthquake to reduce its earnings before interest and tax by up to A$10 million (NZ$13.7 million) for the full financial year.

The severity of the earthquake would place significant pressure on maintenance and infrastructure spending across New Zealand, the company said today.

Near term government spending would be reallocated from other areas and clients would freeze spending in the short term as they assessed the earthquake's impact and the required recovery plan.

"Downer expects to participate in the rebuilding and reconstruction of Christchurch, but the timing of that work is unknown at this point," the company said today.

NZPA

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.

Anti-spam verification:

Type the text you see in the image into the field below. You are asked to do this in order to verify that this enquiry is not being performed by an automated process.

Related News:

PFI - Q3 Div & Upgraded FY25 Div Guidance, FY26 Div Guidance
AIA - Auckland Airport announces leadership team change
May 9th Morning Report
May 8th Morning Report
NZME Takeovers Panel determination
MNW - Commerce Commission clears the Contact Energy acquisition
May 7th Morning Report
General Capital Appoints New CFO
SUM - Summerset Considers Retail Bond Offer
SKC - Updated FY25 Full Year Earnings Guidance