Revertex Needs Expansion

Press, Volume CIX, Issue 32052, 29 July 1969, Page 16

Revertex Needs Expansion

Revertex Industries (N.Z.), Ltd, Auckland manufacturer of industrial synthetic resins, architectural coatings, rubber compounds and floor tiles, achieved only a very slight profit increase in the year to March 31, the chairman (Mr W. R. Campbell) said in his annual review.

Consolidated net profit rose $204 to $95,713. However, this was after a significantly higher tax provision, up $7247 to $67,090. As announced, dividend is steady at 12 per cent. Although all divisions worked successfully during the year, it is apparent that expansion of the company’s activities will be necessary, Mr Campbell says. For this reason investigations are being made into the group’s management structure, he says. These will be accompanied

by a series of market appraisals. During the year Revertex received its first dividend from the 49 per cent owned Sydney company, Vinylpave Products. This company is a valuable representative for exports to Australia, particularly emulsions needed in the production of polishes, Mr Campbell says. The profit was struck after providing $261 less for depreciation at $34,830. The dividend, steady at 12 per cent again takes $33,216. Earning rate on average shareholders’ funds falls from 19.4 per cent to 17.9 per cent, while that on capital is up slightly from 34.5 per cent to 34.6 per cent. Shareholders’ funds are $19,007 higher at $543,166, including capital, ail ordinary, of $276,800.