Markets improve for ICI New Zealand

Press, 28 November 1979, Page 24

Markets improve for ICI New Zealand

ICI New Zealand, Ltd, re-i ports a very favourable year for the company, and its subsidiaries in the year to

September 30. Total sales rose 27 per cent to SI4BM, export sales increased 50 per cent to $6.9M, and net profit rose $2.2M, or 42.3 per cent to $7.4M. Increased sales volume, allied with continuing control of costs, increased trading profit significantly, compared with the 1978 performance, the directors say.

! Income tax was $5.2M, [compared with S2M in 1978. [ln the previous year, [the profit after tax included $700,000 trading stock valuation adjustment, and extraordinary items of $lOO,OOO. There were no such items in 1979. The recovery in trading conditions, which commenced in the latter part of 1978, continued through 1979. Government actions gave the initial impetus to this recovery, but higher farm incomes from improved

export prices helped sustain it. Demand for the group’s products, particularly agricultural and industrial chemicals, was strong, and sales to the automotive, arid textile industries recovered to more satisfactory levels, the directors say.

The directors will recommend to shareholders at the annual meeting on January 29, that a final dividend of 10c a share be paid for the year. In conjunction with the interim dividend of 6c a share, which was free of income tax, this will make a total distribution for the year of 16c a share, an increase of 2c. The final dividerid will be paid on February 7.