T.N.T. dividend up; profit increased

Press, Volume CXI, Issue 32702, 3 September 1971, Page 23

T.N.T. dividend up; profit increased

(N.Z. Press Association—Copyright)

SYDNEY, September 2. Thomas Nationwide Transport, Ltd, Australia’s leading road-rail transport group, is raising its annual dividend rate from 14 to 16 per cent after a 20.4 per cent jump in the group net profit for the year to June 30, the directors have announced.

Earnings rose from $3,119,021, to a record $3,753,871 after higher tax and depreciation charges, they said.

At the same time they announced the appointment of a leading Australian financier Sir lan Potter, to the board. The company’s latest result comes after a 10.8 per cent increase in tax provision from $2,835,873 to $3,141,305 while provision for depreciation rose 15.4 per cent from $1,806,197 to $2,084,489.

Revenue increased 27.6 per cent from $80.5m to $102.8m. The managing director (Mr E. H. P. Abeles) said that the rise was mainly a result of the consolidation of the group’s activities. He said that during the year th e group’s overseas operations swung into full gear although in North America they were affected by rising costs and a general slowing in the United States economy.

He said that the directors hoped to maintain the growth rate in the current year with

the group’s expansion into South-East Asia. The latest result returns an earning rate of 30.2 per cent on steady issued capital of $12.4m, compared with 25.1 per cent in the previous year. The higher dividend rate includes a final 8 per cent payable to shareholders registered on September 22,