F. WAIMAK. PROFIT

Press, Volume CIII, Issue 30562, 3 October 1964, Page 20

F. WAIMAK. PROFIT

Costs Absorb Record Sales In spite of record sales, higher running costs held profit of Farrier Waimak Ltd;. Christchurch shingle . and roading contractors, to £15,202 in the year to Juife 30—a rise of £94. The profit is after lower depreciation . provision, £33,763 (£38,428 last year) but higher taxation, £14,150 (£14,039), Steady ordinary dividend of 7 per cent takes £7OOO and 5} per cent preference dividend £2875, leaving a carry forward of £33,572 (£28,228). Ordinary capital is steady at £150,000. Shareholders’ funds were £5345 higher at £184.718 but earning rate slipped from 8.4 per cent to 8.25 per cent. Industry Competitive

“Highly competitive trends still dominate the industry and low profit margins, particularly in road contracting, prevail,” says the chairman of directors (Mr C. W. Evans) in his report. Sales are £Bll5 higher at £380,011 but expenses rose also, by £12,537 to £314,209.

Capital reserves are steady at £150,000. Total assets are £8093 higher at £308,465, but depreciation of £19,782 on plant, machinery and motor vehicles lowers fixed assets by £16,272 to £187,670. Current assets are £23,958 up at £103,285. Work in progress and contract deposits are £53,054 (£32,245). Total liabilities rose £2748 to £123,747. Largest items are sundry creditors of £48,715 (£47,603) and overdraft, £25,680 (£18,751).