Lend Lease bonus; profit, div. up

Press, Volume CXI, Issue 32677, 5 August 1971, Page 16

Lend Lease bonus; profit, div. up

Confirming its reputation as one of Australia’s leading growth stocks, Lend Lease Corporation, Ltd, announced a lift in dividend, a 25 per cent rise in net profit, and a one-for--10 bonus issue.

Profit in the year to June 30 rose from $3,051,527 to $3,824,605 despite a sharp rise in tax, from $2,130,421 tc $3,275,561. An annual dividend rate of 16 per cent, foreshadowed when the interim rate was increased from 7 to 8 per cent, has been established with a final and unchanged payment of 8 per cent. The bonus issue will be made to shareholders registered on October 11, and directors say they expect that at

British car exports

British car exports for the first half of 1971 were 8.2 per cent higher than for the first half of last year, the Society of Motor Manufacturers and Traders reports. Total exports were 395,711 units worth a record £200.2m. Commercial vehicle exports were also a record, totalling 104,121 units for an 18.6 per cent increase on the first six months of 1970. They were worth £116.5m.

least the 16 per cent dividend rate will be maintained. The latest result returns 42.5 per cent on unchanged ordinary capital of $9.4 million, compared with 33.9 pet cent in the previous year. Depreciation in the latest year took $971,859 (previous year $832,549). Total external revenue was $lO5 million, compared with $75 million previously.

Reserves increased by 24 per cent, from $9.8 million to $12.2 million.

Lend Lease has never stayed put for very long, in relation both to the growth of its dividend rate and of its earning rate.

Earning rate at June 30, 1968, was only 22.4 per cent: dividend at that time was 11 per cent. In both cases, an increase has been made every year since, and the company’s prospects appear unclouded. This would explain the share’s current dividend yield of only 2.5 per cent at sharemarket price of about 3250one of the lowest rates on the boards. .