M.K.M. PROFIT HIGHER

Press, Volume CI, Issue 29803, 21 April 1962, Page 15

M.K.M. PROFIT HIGHER

115 Per Cent. Rise (N.Z. Press Association) AUCKLAND. April 18 Consolidated net profit of M.K. Manufacturers, Ltd.. Au-kland millinery, frock and men’s hat maker, jumped 115 per cent (or £20.574) to £38.486 during the year ending December 31.

However, the result included pre-acquisition profit of the Roystyles group, totalling £10.278 Minority interest in subsidiaries, which appeared for the first time took £2572

To bring all the companies' balance dates into line it was necessary to close off accounts of the Roystyles group after only nine months trading, says the chairman <Mr I M Chambers) in the annual report. This means that benefit was obtained from only one season’s sales instead of the normal two from those companies he adds The result was after providing £287 more for depreciation at £7982 Taxation took £18,928 No tax was paid last year as there were losses carried forward

33 P.C. Earning Rate Profit represented an earning rate of 33 per cent on average capital (22 4 per cent last year) and 15 9 per cent on average funds (9 per cent)

Dividend, which was increased from 7 1 per cent to 10 per cent, reouired £5625 more at £11.625 Shares issued in the one-for-two premium issue made last year ranked for half the dividend Net fixed assets rose to £68.771 after a deduction of new mortgage of £12250 Investments increased £27 428 to £27.662 This increase is made up solely of net premium on acquisition of subsidiaries.

Working capital rose £62.140 to £200.766 Current assets are £105.806 higher at £301.107 This increase is mainly due to debtors. which rose £30.928 to £127367, and to stocks which are £62,072 higher at £157.683.

C. L. STURGE and CO. C. L. STURGE Member of the Christchurch Stock Exchange. STOCK and SHARE BROKERS 176 Hereford street. Christchurch. Cable and telegrams: “ Sturco,” P.O. Box 85, telephone 65-746. —Advt.