Lower profit for H. Bay Motors

Press, Volume CXII, Issue 32861, 9 March 1972, Page 20

Lower profit for H. Bay Motors

(Wet* Zealand Press Association)

NAPIER, March 8.

The profit of the Hawke’s Bay Motor Company, Ltd, Napier bus and rental vehicle operator, for the half-year to December 31 was substantially less than for the corresponding period last year; trading had been adversely affected by reduced returns from rental vehicles and losses incurred in providing local urban bus services, the directors said in the mid-year report.

Long-distance passenger services and coach tours had recorded satisfactory increases in turnover and profit, and had it not been for the poor results from rental and urban buses, record profits would have resulted, they said. “The second half of the financial year covers the period of peak earnings, and indications to date point to satisfactory turnover and profits. "Results for December and January show increased profits compared with the same months last yean rental vehicles operations are slowly recovering, but urban bus services, despite in-

creased fares and a reduction in timetable, still pose serious problems. "Consolidated profits for the year to June 30, while probably not matching the record figures of last year, should still be sufficient adequately to cover the 9 per cent dividend on ordinary shares,’* the report said.