FARMERS’ PROFIT

Press, Volume CVI, Issue 31158, 7 September 1966, Page 21

FARMERS’ PROFIT

Slight Dip In Result

Consolidated net profit of New Zealand Fanners’ Co-op-erative Association of Canterbury dipped slightly in the year to July 31, but dividend is a steady 9 per cent on higher capital. Latest result is £153,145 2.1 per cent lower than last year’s £156,372. There has been major expansion by the organisation during the year, directors point out in their preliminary report.

Trading started at Riccarton Mall and the branch at Blenheim was expanded. There was also heavy spending on fitting out grain stores to handle seed in bulk. Heavy development costs and depreciation charges incurred in these new projects will add strength to the association’s trading in future. Directors Pleased Because of this, directors are pleased with the latest result This year’s dividend takes £99,000 with shares from last November’s one-for-10 premium issue ranking fully. Dividend requirement last year was £87,000. General reserve moves up to £600,000 after a transfer of £50,000 and carry-forward is £209,481 against £204,684 brought in. Shares are ex divdend on October 5. Directors say the association’s strength lies in its diversified activities. Commission earnings from wool, livestock and land sales were good and so were earnings from grain and seed exporting. These earnings offset development and depreciation costs on new projects and reduced earnings on new vehicle sales.