Mair sales exceed $100M mark

Press, 14 December 1977, Page 23

Mair sales exceed $100M mark

Mair and Company, Ltd, is i recommending an increase in I its annual dividend rate ‘from 10c a share to 12.5 c a share (25 per cent) after its sales exceeded the SIOOM mark for the first time. However, the net profit failed to keep in step with the increase in sales in the year to September 30. Sales ■rose 30 per cent to 5100.7 M, but the group net profit im-| proved only 12 per cent to j $584,076. The directors say in a pre-! hminary report that they are: ‘disappointed that the profit! on $lOO of sales hasi declined from 67 c to 58c. I

During the 1978 financial year, the directors say they are considering making a share issue to support the company’s continued expansion in exports. Details will be announced later. Mair has established its own subsidiary in Bradford. The company, called Mair and Company (Bradford) Ltd, will be used for sales and service for the group’s wool on the European market. It is expected to strengthen Mair’s trading activities in competition with the European wool

merchants who handle most of New Zealand wool exports, the directors say. The recommended tax-tree final dividend of 5c a share (10 per cent) is payable on March 10, ex dividend February 21, and is covered 3 times by the protit. Two interim dividends, totalling 7.5 c a share (15 per cent), were paid in July and November. The return on shareholders’ funds fell from 18.8 per cent to 16.7 per cent, after allowing for the specified preference issue made during the year.