Cyclone first half good but future cloudy

Press, 16 November 1977, Page 27

Cyclone first half good but future cloudy

Commercial '

Cyclone Industries (N.Z.), i Ltd, enjoyed a substantial < increase in profit for the first half f the year but the j directors expect hat the I profit for the second half i will not be anywhere near ; as good. 1 They say in their report that the unaudited group net ■ profit for the six months to September 30 rose to $130,333 compared with $53,604 for the same period last year. This figure includes an unchanged dividend of $31,400 from its associated company, but does not include any, equity share of current r profits, and is after provid- ‘ ing $59,965 more for tax-' ation at $80,586. The board has declared an *■ unchanged interim ordinary J dividend of 2c a share (4 per 1 cent) from realised capital « profits, payable on December 19, ex dividend November 30- , “Sales have dropped I sharply since October,” the directors say, “and there is I

no apparent prospect of an early recovery.” “Wire price increases have placed further pressure on the company, and on merchants’ inventory capacity, and this has been further effected by liquidity pres-

i sures on stock and station firms and the farming com- : muni.ty.” i "Therefore, profits for the ■ remainder of the year will , be well below the level of • the first six months,” they say.