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New products help P.D.L expand

P.D.L. Holdings, Ltd, report that increasing orders are being received for the products of the company's specialised divisions and electrical equipment. The introduction of new products and the greater demand for exports had contributed to the volume of orders, the chairman (Mr R. H. Stewart) says in the annual report. More business has also been obtained for P.D.L. Plastics, Ltd, P.D.L. Westport, Ltd, continues to increase sales, and the Torro toy section has contributed substantially to group profit. Liquidity continues to be a major problem for the group, because clients were delaying payments. “this is putting a severe strain on our cash-flow, and is a problem that is difficult to solve. “Fortunately our exports are being paid for promptly and the cash-flow generated by the export section is of value to group liquidity,” Mr Stewart says. The Malaysian factory is almost completed and components have been shipped

- to the company ready to s start manufacture in August, s P.D.L. has 81 per cent of the s, company. Group sales rose 18.5 per cent to $12.8M in the year to i March 31. Local sales rose - 15.7 per cent to SII.BM, and . exports rose $387,000 or 67 f per cent to $974,226. As reported group net pro- > fit rose 22.8 per cent to $851,673. > This was after providing . $64,234 more for depreciation , at $263,599 and $31,663 more ! at $482,948 for tax. Interest ■ expenses rose $61,404 to $223,236. The return on shareholders’ i funds rose from 17.1 per cent > to 18.9 per cent. ! The steady 121 per cent (6.25 c a share) dividend re- > quired $317,581, which was I covered 2.7 times. Net current assets rose $291,649 to S3M, but the cur- ; rent ratio was unchanged at' ' 1.9 to 1. I Net current liabilities rose] : $489,094 to $2.5M after de-! ■ ducting $519,993 repayable! this financial year. i At 80c the ordinary shares’ had a dividend yield of 7.8 I per cent; and an earnings; yield of 18.8 per cent Thel price-earnings ratio was 5.3.'

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Permanent link to this item

https://paperspast.natlib.govt.nz/newspapers/CHP19770901.2.138.13

Bibliographic details

Press, 1 September 1977, Page 18

Word Count
337

New products help P.D.L expand Press, 1 September 1977, Page 18

New products help P.D.L expand Press, 1 September 1977, Page 18