Cardigan Bay recovered surprisingly well from his injuries and returned to racing in Auckland in September 1962. He travelled to Addington for the New Zealand Cup meeting where his was fifth in the Cup and second in the New Zealand Free For All both behind Lordship. However he won the Matson and Smithson Handicaps on the remaining two days of the meeting. Back in Auckland he finished second from 48 yards behind in the Auckland Pacing Cup and won the Champion Hcp from 36 yards. The season saw him start 12 times in New Zealand for 7 wins and 4 seconds.
