Marac Half-yearly Profit Up Sharply

Press, Volume CVIII, Issue 31830, 7 November 1968, Page 15

Marac Half-yearly Profit Up Sharply

Manufacturers’ and Retailers* Acceptance Company, Ltd, Auckland, has produced a profit for the half-year to September 30 substantially greater than that for the whole of the previous year, the chairman (Mr J. C. Fletcher) says in the annual report.

The interim profit, which includes the results of Pacific Factors, Ltd, taken over last year, is $89,357, against $66,458 for the whole of last year when a 5 per cent dividend was paid.

So far as can be forecast, the satisfactory trading position should continue over the rest of the financial year, says Mr Fletcher. Earning Rate The latest profit, on an annual basis, improves the earning rate on capital raised from $930,000 to $1,255,000, to 14.3 per cent The results reflect the in-

creased profitability of the company after the take-over of Pacific Factors, says Mr Fletcher. The activities of the two companies are now completely integrated and conducted.

The Commercial Bank of Australia, Ltd, has purchased enough shares from the Fletcher group to maintain the bank’s percentage of shareholding in the company. Total Advances Advances by the group are shown at $10,168,587, with leasing, at $4,958,577 or 48.76 per cent of the total, being by far the largest item. Next is factoring ($2.3m or 22.7 per cent), industrial and commercial finance (sl.2m or 11.35 per cent), and consumer finance (sl.7m or 17.17 per cent).

Funds were fully employed and the group continues its policy of diversification, says Mr Fletcher.

In line with the Increasing emphasis on exports and the development of overseas mar-

kets, the company has started a new export factoring department. Associations have been developed with overseas companies offering similar and reciprocal facilities throughout the world. As well as the export factoring plan, the company’s bills discounting facility is also available to exporters.