New Zealand Professional Investment Services Firm

Forsyth Barr

We are proud to be a New Zealand owned firm, with 21 offices throughout the country and over 300 employees. We assist personal, institutional and corporate clients providing a full range of investment services.

Forsyth Barr is a foundation New Zealand Exchange firm (NZX) and accredited market participant. We have been confirmed by the Financial Markets Authority as a Qualifying Financial Entity (QFE).

Research is the cornerstone of our advice. We have one of New Zealand's leading teams of analysts. Our global affiliations ensure comprehensive research coverage of all major investment markets.

New Zealand Professional Investment Services Firm, Forsyth Barr

Equity Bottom-Up

<ul><li>Mercury's (MCY) 4Q24 operating statistics highlighted the challenges in the gas market as it was forced to acquire gas on the spot market at elevated prices.</li><li>Gas costs more than doubling relative to recent quarters is a key factor in our lower FY24 and FY25 earnings outlook.</li><li>The other key factor is 4Q24 wind and geothermal generation coming in below expectation, with low hydro storage negatively impacting our FY25 hydro generation assumption. </li></ul>

Mercury's (MCY) 4Q24 operating statistics highlighted the challenges in the gas market as it was forced to acquire gas on the spot market at elevated prices.Gas costs more than doubling relative to recent quarters is a key factor in our lower FY24 and FY25 earnings outlook.The other key factor is 4Q24 wind and geothermal generation coming in below expectation, with low hydro storage negatively impacting our FY25 hydro generation assumption. 

Mercury - Gas Scarcity Starts to Bite — 4Q24 Op Stats

Mercury NZ Ltd

Mercury - Gas Scarcity Starts to Bite — 4Q24 Op Stats