Baillie Motors net falls 13 per cent

Press, Volume CXII, Issue 32848, 23 February 1972, Page 20

Baillie Motors net falls 13 per cent

(New Zealand Press Association) WELLINGTON, February 22. The net profit of Baillie Farmers Motors, Ltd, Hastings, declined by 13 per cent in the year to October 31. The annual report shows that net profit was $101,294, compared with $116,661 for the previous year.

It was reached after pro- ; viding $66,964 ($50,781 in the previous year) for depreciation, $82,000 ($112,000) for income tax and $11,418 ($2150) payroll tax. The unchanged 12 per cent dividend will require $54,000. After bringing back into account $5480 surplus tax provision from an earlier period and providing $28,000 for loss on the sale of the Tensilon division, $543,909 ($519,135) was carried forward. The chairman of directors (Sir Edwin Bate) says in the report that the Tensilon division had not reached profitable proportions when it was

sold, and the overseas funds its exports earned became less significant with the Government’s decision to allow cars to be imported. Sales during the year increased to a record of more than $6 million, much of it because of high prices. He says that in the absence of abnormal conditions the directors expect to continue the 12 per cent dividend on the capital enlarged by the one-fdr-five bonus issue.

The merger of Baillie Motors, Ltd, with Farmers’ Motors (Hawkes Bay), Ltd, to form Baillie Farmers Motors, Ltd, became effective on November 1.