Beath’s sales rose during re-building

Press, Volume CXIII, Issue 33382, 14 November 1973, Page 15

Beath’s sales rose during re-building

Beath and Company, Ltd, retailer, had a healthy increase in sales during the first quarter of.the current trading year, the chairman (Mr T. W. Perry) said at the annual meeting.

To counter the disturbance caused by the demolition of the old building in Cashel Street, much greater selling space was provided in the existing buildings, and Beath’s now has more earn-ing-space than before the demolition. The new building will have 21,000 sq. ft of selling-space, and it is expected to be completed about August, 1974, The board is confident of a continuation of sales-growth during the rebuilding period.] Sales - growth in the branches continued to be at a very satisfactory level, Mr Perry said. To assist in providing funds for the company’s development, it will make a convertible note issue on the basis of one note for every] three shares held, in March, 1974. The issue has been underwritten. Costs were higher, particularly in salaries, which had been affected not only by the 8.5 per cent cost-of-living increase, but also by the first step towards equal pay for women,” Mr Perry said. However, the biggest threat to a reasonable retailing profit comes from the Government’s pending legislation, he said. “The Government is threatening to reduce margins of mark-up against a background of unprecedented affluence.

“Clearly, the Government’s wish to restrict profits is politically motivated, and there is no economic justification for such action. Retail prices are cheaper today than in 1965, reckoned in time to earn purchase money. “Average retail pre-tax profits of 51 per cent are no higher today than those earned by the industry in the years of economic depression during the mid-19305,” Mr Perry said. Mr E. J. McGregor, who is the assistant general manager, was elected to the board at the meeting.