Hanimex sees growth in earnings

Press, Volume CXI, Issue 32764, 15 November 1971, Page 18

Hanimex sees growth in earnings

(K.Z. Press Association —Copyright)

SYDNEY, November 12.

Hanimex Corporation, Ltd, says in the annual report that consolidated results for the last three or four years do not show fully, in figures, the difficulties experienced and overcome with various operations.

Several subsidiaries were affected adversely by government measures mainly for economic reasons and substantial growth in some areas was masked by difficulties in others, the directors say. Market conditions in the United Kingdom continued to be buoyant with strong consumer demand, and sales since the close of the financial year showed satisfactory increases over the same period of the preceding year. Action to reduce the excess inventory held at June 30, 1970 affected profit margins in the United States and the company contributed very little to group profit. However, it was expected that 1972 would show substantial improvements and growth both in sales and profits. Excellent results were achieved by Hanimex (Deutschland) G.M.B.H. with increased sales and profits, and substantial additional

volume is expected. Prom a new range of Hanimex cassette tape players and radios, as well as further penertation in the photographic field in Germany.

In Canada results for the year were again disappointing and showed'no progress over the previous year. In Hong Kong increased costs severely affected profits for the year and certain contracts were not profitable. Better prices were achieved in the latter part of the year. The 1971 financial year was the first full year of operations since the New Zealand companies became [ wholly-owned subsidiaries. Results were very satisfactory with increases in both sales and profits. Since the end of the financial year land has been acquired at Auckland and it was intended that suitable premises be arrected to meet needs for additional manufacturing and merchandising space.