D.I.C. margin improved

Press, 3 October 1979, Page 20

D.I.C. margin improved

I D.1.C., Ltd, reports that (sales, for the year to July 31 (increased 8.4 per cent to $33.9M, but expenses, other, than tax, increased only 2. per cent, and net profit doubled to $974,000, The profit represents 2.88 cents in every dollar of sales, which is less than satisfactory, in the opinion of the directors. A net tax paid profit of not less than 5c ini the sales dollar constitutes a' (minimum necessary and fair

return from departmental store trading, they say. The forn'*c store in Cashel Street. Christchurch, having closed at the end of July, 1978, made no contribution to the latest result. i The result does include three months’ trading by. shops at Napier, and Dannevirke, which were acquired in April 1979. A shop at Rotorua was 1 acquired after balance-date,, and therefore no sales from that source are included.

Sales from stores which traded in both periods in- 1 creased more than 20 per cent. A final dividend of 8c an ordinary share is recommended, which, together with the interim dividend of 7c a share makes a total of :15c a share (15 per cent) for the year. This compares with an annual rate of 12.5 c a share last year. Five cents of the final dividend will be paid from tax-free sources to shareholders who so elect, making a total of 12c from taxfree sources for the year.