Dalgety profit well up

Press, 8 March 1984, Page 28

Dalgety profit well up

PA Wellington Dalgety Crown Corporation’s first interim figures released yesterday showed a profit to February 1 of $6,055,000.

The company said the figures included six month results from Crown Consolidated, Ltd (now Dalgety Crown Corporation, Ltd) and seven months from Dalgety New Zealand, Ltd (now Dalgety Crown, Ltd), as Dalgety previously balanced on June 30.

The unaudited tax paid trading profit for the first half compares with an inadequate combined profit last year of $2,648,000, which is an increase of $3,407,000 or 128 per cent. This represents a return of 8.7 c a 50c share. Tax of $4,567,000 has been provided for (1983, $1,692,000). Group turnover for the first half year was $771,465,000 (1983, $691,466,000), which is an increase of $79,999,000 or 113 per cent. Extraordinary items have not been included but will be reported on in the full year’s results. The company already has realised capital

profits of $3.4M but has provided SI.7M for extraordinary expenses due to the merger and recent share issue.

The directors of the corporation have declared an interim dividend of 5c a share, or 10 per cent. It is proposed to pay this dividend from share premiums so that it will be tax free in shareholders’ hands, other than to those shareholders who wish to receive the dividend from revenue reserves.

The directors will call an extraordinary general meeting on April 13. Assuming the current projected dividend rate and Dalgety PLC London, sourcing dividends from revenue reserves, the company has the capability to pay taxfree dividends for about eight years. The chairman of the corporation, Mr R. B. Weir, said that the results achieved to date were extremely satisfactory and well ahead of budget, and reflected the principles of the merger last year. The dividend will be paid on May 15.