Revertex bonus and split

Press, 10 March 1984, Page 21

Revertex bonus and split

PA Auckland Revertex Industries, Ltd, is to make a one-for-one bonus issue and split its shares into 50c units. Announcing this and a 24.9 per cent higher group net profit to $2,421,429 in the year to December 31, the company’s directors said the fire at the Revertex resin plant in Penrose, Auckland, on February 16 would not have a serious effect on the current year’s profit. The burnt-out plant contributed less than 20 per cent of group earnings and the losses were adequately covered by insurance. The improved profit reflected an expanded product range, increased sales, stable raw material prices, and economics of scale, the directors said. The result included extraordinary profits of $33,802 ($25,611 previously), and was

after providing $434,857 more for tax at $1,715,798 and minority interests up $5060 to $151,040. Sales increased 11.9 per cent to $41.9M. A recommended final dividend of 15c a share increases the annual rate from 20c to 25c a share (25 per cent), payable on April 27, ex dividend on April 11. The shares arising from the bonus issue will not participate in the final dividend, but rank equally after that. The directors said that the dividend rate will be reduced on the capital increased by the bonus issue, but the amount distributed should at least be steady. An extraordinary meeting has been called on April 27 to approve both the bonus issue and the share split. The ex bonus and share split quotation date is April 30.