Company News NORVIC NET PROFIT

Press, Volume CII, Issue 30109, 18 April 1963, Page 14

Company News NORVIC NET PROFIT

Latest Year Shows Fall

Norvic Footwear, Ltd., Christchurch, showed a net profit of £15,454 in the year to January 18 compared with £18,677 the year before. This is a fall of £3233 or 17.3 per cent. The year before profit rose 40 per cent. The accounts are the first since Norvic Shoes (New Zealand), Ltd., the former hoicking company, was merged with Norvic Footwear, Ltd: The latest result is reached after providing £2365 less for depreciation at £4758 and £3989 less for tax at £14,672. Earning rate on shareholders’ funds of £138,289 is 11.18 per cent., compared with 14.34 per cent, on shareholders’ funds of £ 130,249 the year before. Liabilities Current liabilities are £16,174 higher at £63,585, lifted by a rise in trade accounts and accruals from £11,335 to £19,824 and overdraft of £7602. Term liabilities, a secured mortgage, are £1506 lower at £22.478. Total current assets stand at £123,639, against £119.636 the year before. Debtors have risen from £35,881 to £45,712, stock in hand at £64,391, compares with £56,868, while holdings of Government stock are down from £lO,OOO to £2475. Total fixed assets are £94,121, compared with £75,508 the year before. The 4 per cent, interim and 4 per cent, final dividend, making a steady 8 per cent, for the year, take £BOOO, while carry-forward is £38,239, against £30,249 the year before. In their report, the directors say the year was one of intense competition and overproduction. Sales of the company’s own manufactured shoes were satisfactory, but reduced import licences reduced sales of imported shoes.