Morrison P.I.M. aims for further progress

Press, 31 August 1977, Page 37

Morrison P.I.M. aims for further progress

| PA Auckland | Morrison-P.I.M. Holdings, Ltd, printing ink and graphic 1 I arts supplier increased sales iand profits in the three I months to June 30, but the ‘months ahead contained jmany uncertainties and the: [company must manage its/ resources carefully to main- ‘ tain the progress made last [year, the chairman (Sir i Peter Phipps) says in the [annual report. As announced, the groups [ net profit in the year to , March 31 rose $101,083 or 52.7 per cent to $292,908. The annual dividend rate was increased from 11 per cent to 12.5 per cent (12.5cj' ja share) requiring $91,200: [compared with $81,170 pre-] iviously. ■ Trading conditions in thej [year were not easy, but des-, jpite this all divisions in-j [creased sales and the total: 'turnover rose 34 per cent.

Greater efficiencies in manufacturing resulted in improved profitability. The devaluation of the New Zealand dollar increased the cost of all imported raw materials as well [as the cost of the capital equipment that the company sold. The programme of improving manufacturing facilities improved most effective. New plant was installed, and considerable time and effort spent on technical training. New equipment was on order, and this when installed would again raise

[productivity and the quality! • of products sold. [ The latest profit was after /depreciation $10,653 higher -iat $73,230. and tax $101,083 -[higher at $292,908. I! The earning rate on capit-i l!al was up from 26.3 per cent' ,-ito 40.1 per cent, and that on: (shareholders’ funds im- ■ proved from 8.8 per cent to • 12.4 per cent. During the year the com- - pany sold the Auckland and > Wellington assets of Printers I i Engineers. The subsidiary, J. M. Ken-1 1 nedy and Co, Ltd, traded ■ well, and showed an im-l » proved profit.