Lichtenstein stocks profitably sold

Press, Volume CXIV, Issue 33665, 15 October 1974, Page 25

Lichtenstein stocks profitably sold

J (New Zealand press Assae'fitioiO J AUCKLAND. n Despite lower wool prices since the balance date, the Auckland woolbroker and scourer, E. Lichtenstein and Company, Ltd. has sold most of n its balance date wool stock of $2,232,581 protitahh (luring the course of . normal trading procedures, the chairman (Mr E. Lichtenstein ) Miys in I his report for the year ended on .lune 30.

The earnings of the com- . pany took a heavy tumble r from last year's peak level. The net profit . was confirmed at $143,886 - — a drop of $88,997 i or 38.1 per cent on the pre- . vious profit of $232,386. i The chairman says that the i major part of the plant modi•ification planned last year had ~now been completed. The sale : of obsolete machinery showed ' a profit above book value of $14,556. I On property revaluation,, i.he says that the last revaluation was in 1961. but since -.then, rapid inflation had resulted in the book value being unrealistically low compared ;:with current values. Accord- • ingly, property now appears in the balance sheet at the I latest Government Valuation ; of $BOO,BBO or. $353,068 ,i higher than last year. 1 The balance date stocks of'

$2,232,581 were $1,446,047 lower than a year previously, when they soared by more than $1.7 million to $3,689,085. The profit was after providing $2605 more for depreciation at $48,483, and $116,139 less for taxation al $60,701. The dividend, which was held at 18 per cent, required $69,525. Shares issued in the cash issue qualified for the second half vear only Last year, the company paid 18 per cent and added a 5 per cent bonus. Minority interests’ share of the profit rose from $lO4 to $lO7. The earning rate on ordinary capital dropped from 75.4 per cent to a more modest 37.3 per cent and the rate on average shareholders’ funds fell from 25.2 per cent to 10.3 per cent.

I Shareholders' funds were ■ >775.532 highe- at $1.779.832 including ordinary capital in teased $154,500 to $483,500 Minorities were $6O lower »' $2572. Deferred taxation liability was $126,210. Joint coal venture Two Japanese and three Australian firms will partm pate in the joint development of a coking coal field in Queensland. Australia. The project has to be approved by the Australian Government and the Queensland state Government Taking pan are Associated Australian Resources. N.L.. 1.0 L Petroleum. Ltd and Western Mining Corporation of Australia. Marubeni Corporation, and Sumitomo Shoji Kaisha, Ltd.