The economy expanded by 0.1% in the June quarter - ending five straight quarters of recession, official figures show.
The slight expansion in the economy was driven by an 8% jump in log exports, Statistics New Zealand says.
Manufacturing and construction were down during the quarter while service industries were stable, despite a big increase in services related to the sale of houses.
Spending by Government fell for the first time in five years.
The result has surprised economists, most of whom had picked a 0.2% contraction.