Spark New Zealand Limited ( (SPKKY) ) has released its Q2 earnings. Here is a breakdown of the information Spark New Zealand Limited presented to its investors.
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Spark New Zealand Limited is a prominent telecommunications provider based in New Zealand, offering mobile, broadband, and IT services across the region. The company is listed on the New Zealand and Australian Stock Exchanges.
In its latest interim financial report for the six months ending December 2024, Spark New Zealand reported a decline in net earnings to $35 million from $157 million in the previous year, attributed to increased operating expenses and transformation costs. The company also highlighted significant transactions, including the sale of its remaining stake in Connexa.
Spark’s operating revenue slightly decreased to $1,939 million from $1,976 million, while operating expenses rose to $1,520 million from $1,446 million, impacting the EBITDAI, which fell to $419 million from $530 million. The company faced higher finance expenses and depreciation costs, contributing to the lower net earnings.
Strategically, Spark New Zealand is continuing its SPK-26 Operate Programme, incurring $29 million in transformation costs aimed at reducing labor and operational expenses. The company also extended its sustainability-linked loan facilities and announced a significant transaction involving the sale of its stake in Connexa, expected to be completed in FY25.
Looking ahead, Spark New Zealand remains focused on enhancing its operational efficiency and pursuing strategic sales to strengthen its financial position, with the management optimistic about achieving long-term growth objectives.
