Revertex takes steps to escape downturn

Press, 24 February 1978, Page 13

Re vertex takes steps to escape downturn

In the immediate future! Revertex Industries (N Z ) Lid. cannot expect to escape the effect of the downturn in »; on r? my ' the chairman R - Campbell) says in • tull interim report. The directors have already acted to minimise the result ° f r? C u-. an eflect on group profitability, he says. A satisfactory profit is expected in the full year to March 31, “but it is unlikely profit in the sec-; ond-half will reach, the level; attained in the comparable; period last year.” j The company is placing I increasing emphasis on exports. “A senior technical and l marketing executive has

been transferred to Australia to promote the company’s products more actively. “Also a market survey has been carried out ir SouthEast Asia with encouraging results,” Mr Campbell says. As announced, group net profit rose 5.4 per cent to a record $251,506 in the six momhs to September 3C “In the present circumstances the result must be considered highly satisfactory.” he says “It has been achieved in difficult trading, in a confused and uncertain economic climate which has seen a sharp decline in business CONFIDENCE. Highlights for the halfyear included turnover up 8.7 per cent to S6.IM, in-

creased profits from the Australian subsidiary, Revertex Industries (Australia) Proprietary, Ltd, and improved trading by Titan Chemicals, Ltd, particularly in export of synthetic resins to South-East Asia. In the preliminary interim report, the directors said that there was a decline in demand for the products of the parent company because of the recession in the building industry and the effect of a wetter winter than normal on the paint industry. A steady interim, dividend of 7c a share (7 per cent) was paid on December 16. The shares allocated in the one-for-three bonus from the share premium account were not eligible for the dividend.