Rapid changes in market

Press, 25 July 1985, Page 22

Rapid changes in market

Wilkins and Davies Construction company, Ltd, continued to broaden its ability to secure work, says the chairman, Mr L. H. Southwick, in the annual report. The Government’s deregulatory policies and the cutting of the deficit have also caused rapid changes in the construction market. The managing director, Mr P. D. Mataga, says that the company has formed a marina division Construction of the Westpark marina has continued and, in spite of some set-

backs, it should be ready for use in the third quarter of this year. More than 90 per cent of the berths have been sold. The total group net profit rose 43.5 per cent to $3,257,997 in the year to March 31, compared with the previous corresponding period. Included in the result were extraordinary earnings of $189,034 ($173,636 previously) and equity losses of $23,938 ($165,476). Also there was a loss of $18,488 ($8756 profit) from a minority interest. Sales increased 17.7 per cent to $108,183,000. The profit was after providing $920,918 more for tax at $2,526,060, and $12,079 more for depreciation at $2,169,770.

A recommended final dividend of 8.5 c a share raises the annual rate from 10c to 11.5 c a share (23 per cent) on capital increased by last year’s one-for-10 bonus issue. The shares arising from the recommended one-for-six bonus issue are included in the final payment. The ” dividend requirement is $831,875 and it is covered 3.9 times by the profit. Shareholders’ funds improved $2,465,226 to $14,162,512, including ordinary capital up $349,108 to $3,220,163, after the bonus issue, a small rights issue, and shares to staff. Working capital dropped $4,221,412 to $1,151,983 and the current ratio eased from 1.5 to 1.06 to one.