DTNZ: Rising number of NZ businesses reporting losses as economic pressures mount

Inland Revenue data shows a growing number of New Zealand businesses are recording losses, with 107,450 companies reporting a current loss in the latest tax year, up from 99,500 in 2022.

Another 40,670 carried forward previous losses, and 157,560 reported no income. Infometrics chief forecaster Gareth Kiernan told state-funded legacy media the share of companies posting a current loss has risen from 32.3% to 34.6% since 2022, warning the worst recession impacts may not appear until mid-to-late 2024.

Accommodation, food services, arts, and recreation sectors are among the hardest hit, while economists note rising business liquidations, stressed balance sheets, and limited ability to pass on high costs amid weakening demand.

Daily Telegraph New Zealand (DTNZ) is an independent news website, first published in October 2021. - where this article was sourced.