Steel and Tube rights issue

Press, 4 December 1979, Page 22

Steel and Tube rights issue

, Steel and Tube Holdings,’ Ltd, plans to make a ane-fore-10 issue of 50c ordinary shares at 75c a share, the directors say in the half-year report. “Despite an unexpected decline in turnover in September, sales during the half-year were close to budget, principally because of good performances from merchandising and manufacturing units. Contracting activity was depressed, and will remain so until further investment in energy projects commences.” the report says. “Profits were affected by the lower levels of activity in the contracting and building sectors of the economy and this was also reflected in our associated interests,” lit says. > Realised capital nrof'ts of I $105,000 are included in the I announced result (■ 8 ■ The group’s total unaudited net profit for the halfyear to September 30 was [down 7.4 per cent at $2.5M Taxes at current rates have been provided to the extent of SI.BM (1978 S2.IM). Sales, at S63M were 5 per cent ahead of those for the corresponding 1978 halfi year. “A recent reassessment of the group’s prospects for the remainder of this financial year indicates that profits for the full year will be much in line with the $5.3M profit achieved in the previous year,” the report says. An unchanged interim dividend of 4 a share (8 per cent) will be paid on December 14. This dividend will be tax-free in the hands of the shareholders.