Brit. O.S. Earning Rates Higher

Press, Volume CVI, Issue 31101, 2 July 1966, Page 18

Brit. O.S. Earning Rates Higher

(N.Z. Press Association! WELLINGTON, July 1. The record profit earned by British Office Supplies (N.Z.), Ltd., in the year to March 31 brought higher earning rates. The rate on ordinary capital moved up from 22.5 to 25.4 per cent, and that on shareholders’ funds rose from 16.3 to 16.5 per cent. As announced, the group result touched a peak £51,636, which was 27.7 per cent up on last year's figures, which were also a record for the company. As stated earlier, the 11 per cent ordinary dividend will be supplemented by a Li per cent bonus payment. The total distribution will require £25,446 (£19,774) and is covered twice by the group pet earnings. The record profit was achieved after providing

£5246 more for depreciation at £12,253 and £12,499 more for taxation at £52,001. The accounts include for the first time a full 12 months operations of Universal Printers, Ltd., and in his report the chairman (Mr E. G. McGee) says: “The directors’ optimism in the acquisition of this virile business has been more than justified." He said the group profit had doubled since the first accounts were presented five years ago, “a result of which your company may well be proud.” Current sales indicated a continuation of favourable trading, Mr McGee said. While the current credit squeeze must be having its effect on trading, the liquid position of the company was more than satisfactory, with over £33,000 with the bank or on fixed deposit. This is confirmed by the consolidated balance sheet which records a substantial improvement in working capital at £224,861. Current assets total £304,092 (£289,569) and current liabilities were £79,231 (£87,708). Shareholders’ funds were £26,190 higher at £325,856, including steady issued capital of £203,572.