DB profit of $7.6M

Press, 7 December 1985, Page 24

DB profit of $7.6M

PA Wellington Dominion Breweries, Ltd, has lifted its interim trading profit by 34.8 per cent to $7,650,000 (last year $5,673,000) for the six months ended September 30. In addition, there were non-trading profits of $9,981,000 ($3,792,000), giving a total group interim profit of $17,631,000 ($9,465,000), up 86.2 per cent. The non-trading profits arise from the disposal of assets including those from the sale of the former head office, Waitemata House, the completion of the sale of the balance of the shares in the Mount Cook Group, Ltd, and the disposal of a further 16 non-strategic hotels and taverns.

Turnover was SI72M (SI6OM). Tax took $6,655,000 ($3,971,000) and minorities took $1,084,000 ($459,000). Associates added $848,000 ($1,324,000). Depreciation was $3.57M ($3.16M). The interim dividend will

be 6.25 c a share to be paid on January 8. Books close on December 19. j

DB said beer sales volumes for J the . period showed an increase over the first half of last year, which was adversely, affected by industrial problems. Sales volumes of spirits declined, in line with market trends.

The balance sheet at September 30 showed a strengthening position, with shareholders’ equity now 67.5 per cent DB said that in the improved investment climate, noted by the directors in their report at this time last year, the company had made a, series of commitments to upgrading programmes at its breweries.

These were aimed to achieve further efficiencies and assist the drive for greater profitability. The directors said they could not ignore the possibility of unsettled trading conditions arising from the heavy discounting of wines and the increased marketing of Australian beers. Barring unusual developments, and assuming a stable industrial climate within the company, shareholders should be able to look forward to an improved result for the year.