The solid but unspectacular reporting season reflected a good economy underpinned by record immigration numbers, Taylor said. Reviewing the corporate reporting season on the Market Watch video show, Taylor highlighted the fall in Air New Zealand profits as an example of a company that reached peak margins. "In a buoyant economy where the labour market gets tight and interest rates start going up then that will start to impinge on company margins," he said. "So if we're not there now we must be very close to peak profit margins in New Zealand." The national carrier reported a 24 per cent fall in profits - despite it delivering one of the strongest earnings results of the season.

Source: New Zealand Herald March 02, 2017 23:48 UTC