Mt Cook’s Accounts

Press, Volume CX, Issue 32385, 26 August 1970, Page 16

Mt Cook’s Accounts

The full accounts confirm the group net profit at $102,187, an increase of 46.6 per cent The result was struck after providing 555.289 more for depreciation at $217,177, and $22,648 more for tax at $78,570. Total revenue increased from $1,962,377 to $2,301,820 —a rise of 17.3 per cent. As announced, an unchanged dividend of 9 per cent will be paid on September 11, after the annual meeting; it takes $52,112 this year, covered 1.9 times by the profit The increase in dividend requirement is because of the increase in capital by the issue—issued capital is now $630,954. The earning rate on dividend bearing capital, after allowing for the preference dividend of $6OO, improves from 13.8 to 17.3 per cent. The earning rate on average shareholders’ funds declined only slightly, from 10.9 to 10.4 per cent in spite of the fact that the funds—at $1,250,218 almost doubled during the year; the share issue and a revaluation of land and buildings account for the increase.

The company’s liquidity improved during the year, as did the ratio of shareholders’ equity to total funds employed.