General Foods N.Z. Profit Up 63p.c.

Press, Volume C, Issue 29616, 12 September 1961, Page 17

General Foods N.Z. Profit Up 63p.c.

(New Zealand Press Association)

AUCKLAND, Sept. 11. Consolidated net profit of General Foods Corporation (N.Z.), Ltd, soared by 63.3 per cent, or £55,603. to a record £143.490 in the year ended April 30, after a 50 per cent, rise in group sales turnover to more than £3-2m. The profits reflected the first full year of operation with the Tip Top Ice Cream Company (Wellington), Ltd, with which the company merged on May 1, 1960. Trading figures for the Apex Ice Cream Company, Ltd, of Christchurch, which was acquired in October, i 960, also contributed to the increase. The latest profit represents an earning rate of 11.6 per cent, on shareholders’ funds

increased from £770.638 to £1.232,543, and compares with 11.4 per cent, in 1960. Tax provision rose by £48.483 to £117.583, while provision for depreciation increased from £70,424 to £141.271 The dividend was maintained at 11 per cent, on capital raised from £438.180 to £878.088 by means of a one-for-10 bonus issue and the issue of shares in part satisfaction of the Apex Ice take-over. The dividend appropriation of £95,292 compares with £48,200 in 1960. General Reserve General reserve received a transfer of £l5OOO (£lO,OOO last year), raising it to £lOO,OOO. A steady £lO.OOO transfer to dividend equalisation reserve lifted this to £70.000. After deducting underprovided tax of £l2O. compared with a £253 surplus in the previous year, and dividends totalling £lBO (£228) paid to minority shareholders in subsidiaries, the carryforward was lifted by £27.898 to £130.948. Group trading profit showed an increase of £161.753. or more than 71 per cent., to £387.978, while other income was £23.790 higher at £33,198. Expenses were steady at £18.931 (£18.221 last year). Net profit of the parent companv was un from £73,660 to £115.359 after tax of £38.993 (£38,000) and depreciation of £51.799 (£36979). Dividends totalling £72.310 (£29,000> were received from subsidiaries. Fixed Assets In the consolidated balancesheet fixed assets have been written up from £749,184 to £1.599.420. Current assets of £725,824 (£456,808 last year) include stocks £144.670 higher at £330.619 and debtors higher by £122.830 at £393,282. Creditors totalling £145,296 more at £332,374 include £70.593 being the balance owing at the balance-date on freehold property at Mount Wellington. Trade creditors totalled £74,703 more at £261.781. Bank overdraft was £186,117 higher at £299.412. Mortgage liabilities amounted to £316,708, a rise of £164,420, bringing total liabilities to £1.242,273, Total assets of the group exceeded total liabilities by £1,232,543, compared with £770,638 a year before.