Scott Technology says high kiwi, slowing mining sector squeezing margins

Scott Technology, the industrial automation firm, says a global mining slowdown and a high New Zealand dollar are squeezing its margins in the short term.

The strong kiwi dollar has been an ongoing battle for the company that gets 37 percent of sales in North America and just 13 percent in its home market. Dunedin-based Scott cited the currency's strength when reporting a 16 percent drop in annual profit last year.

"Scott's Technology's revenue line remains solid and our order book is at good levels, providing us with a level of comfort over our forward work situation," the company said in a statement. "The company continues to review its operations with a view to mitigating the risk of further dollar appreciation."

Scott's shares fell 3.9 percent to $1.75 and are down about 4.2 percent this year.

BusinessDesk.co.nz

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:

MNW - Senior management changes
June 19th Morning Report
GEN - Dividend Reinvestment Plan Strike Price
Scott Secures $27M in Global Contracts
June 18th Morning Report
June 17th Morning Report
PEB - Chair to Seek Re-Election; Director Nominations
Devon Funds Morning Note - 16 June 2025
TRU - Key Markets Update
THL receives unsolicited non-binding offer