Mogal confident

Press, 20 July 1984, Page 8

Mogal confident

PA Auckland In spite of intense competition in transport, the directors of Mogal Corporation Ltd, are confident the company will continue to perform, well, says the chairman, Mr D. O. Walker, in the annual report. The managing director, Mr R. H. Fisher, says that in the year to March 31, all divisions in the group traded profitably, with particularly pleasing results from Mogal Freight Services, Mogal Rigging JV, Mogal Bin Services, and Mogal Road. Changes to the road transport regulations intro-

duced open competition between rail and road, and the delicensing enabled the company to offer a complete service with the flexibility of multiple channels of distribution using rail, road, sea, or air. In spite of a lack of sufficient airfreight space at peak times, which restricted airfreight export volumes, Mogal Coolstores exceeded its previous year’s volume. During the year the Mogal Burnett horticulture project produced its first harvest of raspberries, all of which were graded as export quality. The expectation is that the 1984-85 harvest will be between 80 and 100 tonnes

of high-quality export product. Entry into the security services industry was achieved with the purchase of a controlling interest in KM Security Group, Ltd. The directors see this as one of the growth areas in New Zealand, he says. The balance sheet shows shareholders’ funds rose $1,787,000 to $10,680,000. Deferred tax increased $146,000 to $759,000. Dividends required $825,000, which was covered 3.5 times by net earnings. Working capital totalled $1,611,000 compared with a deficit of $128,000 previously. The current ratio was 1.1 to one.