Carbonic Ice Has Small Profit Fall

Press, Volume CVI, Issue 31226, 25 November 1966, Page 17

Carbonic Ice Has Small Profit Fall

In spite of a small rise in gross profit of Carbonic Ice, Ltd., Christchurch maker of dry ice, carbon dioxide and fire extinguishers, increased provision for tax reduced the group profit by £3792, or 5.8 per cent, to £61,667 in the year to August 31.

However, the earning rate on average shareholders' funds is high at 22.8 per cent, against 27.2 per cent the previous year. The rate on average capital is 35.0 per cent, or equal to 46.7 per cent before the bonus issue, against 49.5 per cent the year before. As announced, total dividend for the year is down from 25 to 20 per cent but on the higher capital requires £2204 more at £35,267. The dividend is covered 1.75 times by profit. Sales of the subsidiary, Carbonic Industries Ltd., were slightly down partly because of delays in shipping, says the chairman (Mr C. C. Holland). . A substantial value of completed or partly completed machines was on hand at balance date and will be included as sales next year. Two subsidiaries have been formed to market equipment and lease plant in New Zealand and help sales of plant and machines on the Australian market, says Mr Holland. Neither company has begun operations. Alterations

Alterations to the Christchurch factory have been completed and fully utilised during the year. An adjoining property has been bought for further factory space.

The latest profit is after providing £2330 more for depreciation at £11.668 and £4638 more for tax at £50.770. Shareholders’ funds are £26,400 higher at £283,906. Revenue reserves are £107,572 and capital, all ordinary, is £44,084 higher at £176,334 by the one for three bonus issue last December.