L.W.R. PROFIT INCREASE 25 p.c. To $866,000

Press, Volume CIX, Issue 32073, 22 August 1969, Page 14

L.W.R. PROFIT INCREASE 25 p.c. To $866,000

or 3 Valkei Rpdkm Industries, Ltd, increased consolidated net piofit by 25.7 per cent, from $689,000 to $866,000, the directors sav in a preliminary report for the year to June 19.

There has been a strong demand for the group’s wide range of products, and group sales were in excess of sl7m, an increase of s4m on the previous year’s total. The results include for the first time those of Auckland Knitting Mills, Ltd, and Am-

tex Fabrics, Ltd, the Auckland based subsidiaries whose acquisition was announced earlier this year, and whose figures on this occasion are preacquisition. Commercial Dyers, Ltd, acquired later in the year, is not included in the 1969 consolidation, the directors say. The results are subject to audit. ■

The older subsidiaries in Christchurch, Wellington and Auckland and the associate company, Dominion Yarns and Fabrics, Ltd, have each operated profitably.

“Indications for the first half of the new financial year are for a further increase in the volume of sales, and the directors predict that this situation should be maintained throughout the 1970 trading period,” the report says.

Highlights during the year were the announcement of plans for a s2m expansion programme which launched the company strongly into the flourishing knitted fabrics industry, a one-for-four bonus issue, a movement into the ready-made stretch upholstery covers business, and the opening of the new factory at Greymouth, the directors say.

They forecast earlier this year that dividend would be 11 per cent on the higher capital, equivalent to 13.75 per cent on pre-bonus capital and compared with 12.5 per cent paid in recent years. Accordingly, they recommend a final dividend of 6 per cent, plus a special equalisation dividend of 1 per cent which, together with the interim dividend of 5 per cent paid in March, will provide shareholders with a quanium of dividend equivalent to 11 per cent for a full year on the increased capital. Shares issued to Auckland Knitting Mills shareholders, and the one-for-four bonus share issue thereon, do not participate in the 1969 final dividend.